Experts compute the trust index for the Bitcoin market

When choosing cryptocurrency companies, users are more inclined to rely on service predictability. This is stated in the new report by BDC Consulting.

Experts developed a methodology to form an overall trust index for various directions, participants and institutions of the crypto market. More than 2,000 users from 60 countries participated in the study.

Crypto users — who are they?

76.13% of survey participants are employed. Half of them earn less than $2,000 per month, which is explained by the geographic distribution of the audience — 45% live in Asia. Overall, the income of the average cryptocurrency holder is in line with the regional median where they reside.

Nearly 40% of the audience are people over 35 years old.

51.3% of respondents hold cryptocurrencies, 45.4% engage in trading. 30.2% are stakers, 32.1% are miners.

Whom do crypto users trust?

Analysts divided market actors into four main categories: information sources, market participants, assets and various services.

• Crypto services

Modern crypto services have long kept pace with financial apps and are often more convenient than fiat counterparts. Wallets, payment systems, exchanges and marketplaces have trust indices above 70 points, indicating a high level of user loyalty.

Users highlighted predictability as one of the most important components of trust in services. By contrast, prior crypto-user experience rarely affects trust in this category, suggesting a broad openness to novelty.

• Information sources

The highest trust scores went to Telegram channels, community chats and reputable crypto bloggers — more than 66.71 points. A key trust factor for information sources is the honesty and competence of the authors.

Less trusted are individuals allegedly providing “insights” and “signals.” This may indicate a good level of awareness and education among the crypto audience, according to BDC Consulting.

• Market participants

In this study, the term refers to entities that constitute the market structure or influence it. Large exchanges, teams and founders of crypto projects managed to win the greatest trust in this category, scoring over 66 points.

At the bottom were state regulators with a score of 58.57 points. This result still sits in the positive range for trust.

Information from exchanges, crypto teams and major projects looks valuable in the eyes of most users, as the statistics below show:

• Assets

Bitcoin and Ethereum enjoy the highest recognition among cryptocurrencies. They have a trust index of 80.29.

Despite their minimal volatility and full backing, stablecoins lag four places behind the largest coins in the ranking, scoring 71 points.

In this category, investor trust depends less on the risk that the asset will turn out to be a scam and more on its ability to generate returns. For example, it does not matter whether an NFT is a scam if investing in it is profitable.

Conclusion

The study shows that the crypto-industry audience as a whole is loyal to all major actors and other components of the crypto market. No market component received a low trust index, which is likely linked to the idiosyncrasies of respondents and the crypto audience more broadly, according to BDC Consulting.

Earlier, the company’s analysts presented forecasts for the market after the FTX collapse by top Bitcoin-company executives.

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