Bring It On! Evidence Mounts Of Public’s Desire For Cryptos

The sceptics have had their day. In case  you hadn’t noticed, cryptocurrencies have almost certainly gained critical mass in their acceptance by mainstream finance. Moreover, the enthusiasm for cryptos among the general public is strong and growing, with evidence to this effect appearing daily for those who want to see it.

The commonest criticism of bitcoin and other cryptocurrencies is that they are a solution without a problem (while also not being great for the planet). The opposing view is that they could underpin a totally new and more ‘democratic’ financial ecosystem. 

To do this, however, cryptocurrencies needs to be functional and not just a speculative asset. From loans to payments, people have to use them. 

A recent survey of UK adults, however, has thrown up some bullish signs of the potential for this next stage of consumer adoption. 

In the research, which was sponsored by crypto exchange Coinbase, 5000 adults were initially gauged on their familiarity with crypto. This was then whittled down to 2000 of those who answered affirmatively, who were asked about their attitudes to crypto adoption.

In there survey 41 per cent of Brits said that their key motivation for investing in crypto was to invest long-term and earn a return.

Over half of respondents (51 per cent) though also said they would be “very interested” in taking out a loan by using crypto holdings as a guarantee, in place of traditional methods. 

More than a third meanwhile (39 per cent) of respondents also said they were very likely to use crypto to send money abroad or receive money from outside the UK from friends and family.

Historical Performance And IFISA Process Guide

  • Money&Co. lenders have achieved an average return of more than 8 per cent gross (before we deduct our one per cent fee). 

That figure is the result of over £24 million of loans facilitated on the site, as we bring individuals looking for a good return on capital together with carefully vetted small companies seeking funds for growth. Bear in mind that lenders’ capital is at risk. Read warnings on site before committing capital.

  • Money&Co. has been lending for over 5 years and has only had two bad debts so far, representing a bad debt rate of 0.03 per cent per annum.

All loans on site are eligible to be held in a Money&Co. Innovative Finance Individual Savings Account (IFISA), up to the annual ISA limit of £20,000. Such loans offer lenders tax-free income. Our offering is an Innovative Finance ISA (IFISA) that can hold the peer-to-peer (P2P) business loans that Money&Co. facilitates. For the purposes of this article, the terms ISA and IFISA are interchangeable.

So here’s our guide to the process:

  • Step 1: Register as a lender. Go to the login page, and go through the process that the law requires us to effect. This means we have to do basic checks on you to comply with money-laundering and other security requirements.
  • Step 2: Put money into your account. This is best done by electronic transfer. We can also process paper cheques drawn in favour of Denmark Square Limited, the parent company of Money&Co.
  • Step 3: Buy loans in the loan market. Once you’ve put cash in your account it will sit there – and it won’t earn interest until you’ve bought a piece of a loan. It’s this final step that requires lenders and IFISA investors to be pro-active. Just choose some loans – all loans on the Money&Co. site can be held in an IFISA – and your money will start earning tax-free interest.

The ISA allowance for 2020/21 is unchanged from last tax year at £20,000, allowing a married couple to put £40,000 into a tax-free environment. Over three years, an investment of this scale in two Money&Co. Innovative Finance ISAs would generate £8,400 of income completely free of tax. We’re assuming a 7 per cent return, net of charges and free of tax here.

Once you have made your initial commitment, you might then consider diversifying – buying a spread of loans. To do this, you can go into the “loans for sale” market. All loans bought in this market also qualify for IFISA tax benefits.

Risk: Security, Access, Yield

Do consider not just the return, but the security and the ease of access to your investment. We write regularly about these three key factors. Here’s one of several earlier articles on security, access and yield.


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Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.