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Indonesia Placed 5th in Being Degen Crypto Investor – Here Is Why

Friday, 24 May 2024

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The term “Crypto Degen” has emerged in the world of cryptocurrency, referring to a specific type of investor who embraces a high-risk high-return approach. This ‘aggressive’ investment style chases novice projects with the promise of significant growth of returns. While it seems thrilling, the investments carry potential significant risks. Despite the risk-seeking type of investment, it shows from CoinGecko data report that 77.8% of on-chain speculation interest originates from the top 25 degen crypto countries worldwide. Interestingly, the same data uncovered that Indonesia ranks 5th out of 25 global countries in terms of degen crypto trading, accounting for 3.96%, marking Indonesia as the second largest degen crypto investor in Southeast Asia, behind The Philippines. 

Degens and the Indonesian Crypto Market

Indonesia’s crypto market has exponentially increased, reaching 19.18 million registered cryptocurrency investors in February 2024. Transaction values also skyrocketed, reaching a total of 33 trillion Indonesian Rupiah in February 2024. This confirms that Indonesia shows a high interest in cryptocurrency, with a significant percentage of the population actively participating in the cryptocurrency market. However, a closer look at the report by CoinGecko revealed Indonesia’s dominant contribution of degen crypto investors. It is crucial to understand the motivations and behaviors behind these risk-seeking investors in pursuit of navigating the future landscape of the cryptocurrency market in Indonesia. 

Young and Tech-Savvy Population

One of the factors in Indonesia’s investor rise in degen crypto is the accessible technology and tech-savvy population in Indonesia. With 353.3 million active mobile connections and 185.3 million internet users, Indonesia has a high penetration rate for crypto trading. This accessibility encourages users to comfortably utilize technology and reach the learning and trading platforms of crypto assets more easily. This coincides with Indonesia’s current demographic bonus, where the working-age population significantly outnumbers the dependents population. The dependency ratio is expected to reach its lowest point in 2030, at 47%. This results in increased productivity, driving innovation and development across various sectors.

Degen Crypto Appeals

Indonesian high profit-seeker investors aim to diversify their investment portfolio and select potentially higher returns. They are willing to take on greater risks in pursuit of the returns. Exploring degen trading pushes the younger generation of investors to choose the alluring high-risk assets as a way to build quick wealth, even with its volatility and risks. Also, Om King, an Indonesian degen crypto investor since 2021, successfully earned billions of Indonesian Rupiah by investing in degen crypto. Similar to other investors, he started his crypto degen journey because he is interested in making high-return profits.

In conclusion, Indonesia’s position as the fifth largest degen crypto investors is majorly contributed by young, tech-savvy investors with their advanced technology to access more cryptocurrency learning and trading facilities. Thus, degen crypto is more accessible and has become an interesting opportunity for Indonesian investors to explore riskier investments. Even so, the future of cryptocurrency market demand looks promising for the growth of the cryptocurrency market in Indonesia. If you are considering expanding your market into Indonesia’s crypto market, connect with Indonesia Crypto Network to explore exciting opportunities and insights tailored to your products to be adapted to this market.

Cynthia Amanda


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