1 in 3 crypto investors would move banks over crypto

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December 14 2021
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Rising interest in cryptocurrencies ownership and trading may help them become a selling point for traditional Australian banks.

The Commonwealth Bank of Australia made headlines earlier this year when it announced plans to support cryptocurrency trading, but it’s unlikely to be the last major big bank to make a play in the space.

According to research published by Visa, as many as one in three Australians who already own crypto said that they would be willing to switch banks to one that offered crypto products within the next year.

More broadly, Visa found that 82 per cent of Australian crypto owners were interested in the possibility of buying crypto directly through their bank.

Visa head of innovation and partnerships for Australia, New Zealand and the South Pacific Anthony Jones said that the case for cryptocurrencies within traditional financial institutions has only grown stronger in recent times.

“Digital currencies and crypto assets signify a technology shift not only for money movement but also digital ownership, with growth in this space poised to continue,” he said.

Desire and interest from Australian consumers who own cryptocurrencies are also growing when it comes to crypto-linked rewards cards.

Visa found that 73 per cent of those surveyed said that they were interested in earning crypto as a reward for their spending.

Thirty-six per cent of cryptocurrency owners said they would be very likely to use it to pay friends or family during the next 12 months, while 33 per cent said that they were very likely to invest in crypto-based goods like non-fungible tokens (NFTs).

Among the motivations of those investing in cryptocurrencies like bitcoin, Visa found that wealth-building accounted for 40 per cent.

In contrast, the desire to take part in the “financial way of the future” followed at 34 per cent, while the fear of missing out on the potential gains ranked third at 28 per cent.

Pointing to research that found that 27 per cent of Australian respondents had either engaged as an investment vehicle or a medium of exchange, Mr Jones argued that the rising mainstream appeal of the crypto sector demanded a response from traditional financial players.

“As consumer investment into this new asset class gains momentum and Australians start to evolve how they think about the future of money, every financial institution will require a strategy for crypto,” he said.

About the author

Fergus is a journalist for Momentum Media's nestegg and Smart Property Investment. He likes to write about money, markets, how innovation is changing the financial landscape and how younger consumers can achieve their goals in unpredictable times.

About the author

Fergus is a journalist for Momentum Media's nestegg and Smart Property Investment. He likes to write about money, markets, how innovation is changing the financial landscape and how younger consumers can achieve their goals in unpredictable times.

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