Cryptocurrencies are a fairly new phenomenon that have taken the investment world by storm, offering alternative options for people keen to see their financial pots grow.
However, knowing which digital currency to buy into – especially with over 3,500 to choose from – can be tricky and time-consuming doing all the research before deciding where to drop your cash – if at all.
To help more people understand the current cryptocurrency landscape, virtual office provider, Rovva, analyzed where in the world is leading the way in terms of funding for innovative forward thinking companies in this space, which firms are the main beneficiaries of this funding, the explosive growth in the amount of companies being formed each year since Bitcoin was founded, and other valuable industry insights.
The virtual office provider also carried out a survey of 2,000 general consumers to get a bit more insight into the UK’s general attitudes towards cryptocurrency.
The survey revealed that 21 per cent of those questioned agree that cryptocurrency will eventually replace existing traditional forms of currency.
However it also revealed that 61 per cent admitted to not knowing how blockchain technology actually works.
Additionally, 17 per cent have now invested in some form of cryptocurrency, with 66 per cent of those who have invested having made money.
It also seems that those who do invest are keen to spread the word, with 56 per cent going on to try and convince others that they should invest too.
USA leads the way
In terms of the number of cryptocurrency firms, the US takes first place as it is home to 1,225 firms in the crypto space, the UK is in second place with nearly 350 companies, followed by Singapore, Canada, and India.
Although the USA still dominates in terms of the number of firms and investment, London dominates on a city level, with 289 firms.
The cryptocurrency industry is no different from many others, in that the companies rely heavily on funding.
The top five companies in the world receiving the most funding are:
- Robinhood – £4.1 billion
- Bakkt – £590 million
- Sorare – £540 million
- Circle – £519 million
- Blockchain.com – £424 million
Interestingly, the findings revealed that Robinhood, Bakkt and Circle are all American companies, and the US actually has the most funding for crypto companies at nearly $18.7 billion (nearly £14 billion).
At number two was the UK, with nearly $1.9 billion (£1.4 billion) invested, followed by France and Canada, which both have cryptocurrency companies worth more than a billion dollars.
Analyzing the organizations that have had patents granted, Rovva can reveal the most innovative crypto companies.
- Cantaloupe – 35 patents
- Ripple – 14 patents
- Robinhood – 12 patents
The crypto market is currently thriving and getting larger by the minute, and this is also reflected in the large numbers of retail investors that are moving towards the crypto market to invest.
Commenting on the investigation, Jon Abrahams from Rovva, said: “The cryptocurrency market is maturing more and more each year, so it’s fascinating to be able to look under the hood of this booming industry which is set to change all our lives at some point in the future.
“The research clearly shows that the UK is among the great leaders in blockchain technologies and the crypto industry, something we should be proud of.”
There are a number of ways you can stay up to date with the latest stories from the Daily Record.
You can join the conversation on our Money Saving Scotland Facebook group for money-saving tips, benefits news, consumer help and advice, plus the latest shopping deals.
Sign up to our Record Money newsletter to get the top stories sent straight to your inbox every Tuesday and Friday – you can sign up here.
You can also follow our Twitter account @Recordmoney_ for regular updates throughout the day.
He continued: “Our survey showed that although many people admit to not knowing how blockchain technology works, there does appear to be potential money to be made in investing as 38% of the nation who have invested have made money.”
Read the full results of the investigation on Rovva’s website here.
WARNING: Nothing in this article should be read or understood to be financial and/or investment advice. Readers should take their own financial advice from a suitably qualified independent financial adviser before making any investment decisions.
Get the latest money-saving and benefits news sent straight to your inbox. Sign up to our weekly Money newsletter here.