In Russia, cryptocurrency is more popular investment than gold, a new survey shows. However, both of them can't compete with bank deposits and real estate.
The international organization World Gold Council published a report on investments in gold in Russia. As part of the study, the authors conducted online interviews with 2023 investors from Russia. According to the poll, 68% of respondents stated that "gold is a good safeguard against inflation/currency fluctuations."
"Most Russian investors believe it holds its long-term value and protects against currency and inflation fluctuations. Two thirds of them say that it evokes feelings of long-term security," the WGC study reads. But gold gave way to cryptocurrencies in popularity. According to the survey, over the past 12 months, respondents were more likely to invest in cryptocurrency than in gold (17% versus 16%).
The most popular investments are still a bank deposit (74%), savings in foreign currency (38%) and real estate (33%).
Thus, the cryptocurrency is one of the five most popular investment instruments in Russia.
Cryptocurrencies continue to enjoy popularity and benefit from their affordability, as do foreign currencies, which investors see as a store of value in light of the weak ruble. Both assets now have some advantage over gold in the formation of the portfolio, the report says.
Russian investors show a clear need for more information around gold investing. Education is needed around the affordability of gold, how to buy it and the factors that drive the gold price.