Just 43% of Germans Still Trust European Central Bank, Cryptocurrencies as Alternative Currency Benefit from Development
- Only 43% still have faith in the European Central Bank
- Confidence in decline since autumn 2018
- Lack of trust a potential driver for Bitcoin & Co’s price rallies
A mere 43% of German citizens have confidence in the European Central Bank (ECB). Trust in the European Union institution has been falling since autumn 2018–and the pandemic seems to be fueling the trend even further. As can be seen in a new infographic from Kryptoszene, skepticism could be one of the reasons behind Bitcoin & Co.’s rally.
Citizens’ confidence in the ECB rose between 2016 and autumn 2018, but has been fading since then. The central bank’s specific policies aside, there is a growing mistrust in the stability of the financial and monetary system.
This development seems to be working in cryptocurrencies’ favor. 5% of professional investors are convinced that distrust in the current monetary system is a strong price driver, with the value of Bitcoin rising by around 412% within the last 365 days.
Meanwhile, Germans also seem to be relying increasingly on cash. As shown in the infographic, just under one in five Germans believe that people hold cash in order to protect themselves from bank and state failures.
“Trust is a central bank’s most precious asset. This has been damaged recently, possibly in part due to loose monetary policy in response to the corona crisis,” according to Kryptoszene analyst Raphael Lulay. “Although the damage does not seem to have reached a critical level just yet, alternative currencies are already benefiting.”
To read further and see more statistics, please visit Kryptoszene.de’s website.
About Kryptoszene.de
Kryptoszene.de is a news and information platform that publishes cryptocurrency forecasts, investment news, background reports, analyses and instructions for buying and trading cryptocurrencies and other assets.
