It was shown that Bithumb investors out of people who use 3 major South Korean exchanges saw the highest profit ratio.
A market research company called Embrain announced its results of its survey on how cryptocurrency exchanges are used by 800 adults in South Korea who are aware of cryptocurrency.
Out of 3 major South Korean exchanges, it was shown that Bithumb users made the most success with 13.7% of profit ratio. Bithumb also had the most investors who made more than 100% of profits, which is classified as a group of high profit, with a ratio of 8.1%.
Investors of “A” cryptocurrency exchange only saw 4.8% of profit ratio while investors of “B” cryptocurrency exchange that has the most items listed out of the three exchanges actually saw 3.1% of loss. 30.6% and 5.3% of investors of “B” exchange lost more than 41% and 80% of principal respectively.
It was shown that 6 adults out of 10 adults who have experiences in trading cryptocurrencies made profits. Out of investors, 58.6% of them said that they made profits while 34.2% of them said that they made losses. 7.2% of them said that they did not see much difference from their original principals. Average profit ratio of 9.6% while amount of investments was about $5,061 (5.41 million).
Comparing profit ratio and duration of investments, it was shown that investors who made investments for more than a year, investors who made investments between 6 months and 1 year, and investors who made investments between 3 months and 6 months saw 28.8%, 22.1%, and 7.9% of profit ratios respectively. Investors who made investments less than 3 months actually saw 4.4% of loss.
Adults in their 50s made the most investments with $8,729 (9.33 million KRW) followed by adults in their 30s with $6,025 (6.44 million KRW), adults in their 40s with $5,061 (5.41 million KRW), and adults in their 20s with $1,937 (2.07 million KRW). Looking at profit ratio based on age, adults in their 50s saw 17.9% of profit ratio followed by adults in their 30s with 15.3% of profit ratio. Adults in their 40s who actually invested more than adults in their 20s saw a profit ratio of 3.2% compared to 4.5% for adults in their 20s.
Dividing amount of investments into 3 groups, average price for a group of investments with high amount was $20,850 (22.3 million KRW) while average price for a group of investments with low amount was only $215 (230,000 KRW). Average price for a group of investments with medium amount was $2,179 (2.33 million KRW). Profit ratios for each group were 10.9%, 12.4%, and 6.0% respectively, and there was not any meaningful difference between each group based on amount of investments.
Curiosity was the biggest factor why these 800 adults started trading cryptocurrencies. 41.0% of them said that curiosity was the reason why they started trading cryptocurrencies while 40.3% of them said that they had grown more interests in cryptocurrencies as they became hot issues recently.
“It is estimated that most of investors who invested early into cryptocurrencies made profits.” said a representative for Bithumb. “It is desirable to invest into verified and excellent cryptocurrencies with extra money from a long-term point of view rather than with speculative goal of trying to make lots of profits in short-term.”
Staff Reporter Gil, Jaeshik | osolgil@etnews.com