- A consumer financial services company, Banrate has done a survey.
- According to the survey, US millennials are not that excited about crypto as compared to the last year.
In 2021, 50% of the population were confident about doing crypto investment but, in this year the ratio slipped to 30%, the Principal Reporter at Bankrate, James Royal revealed.
Younger generations like millennials and Generation Z, are one of the most excited demographic groups of crypto industry. The analysis done by Banrate has dic=sclosed that the generation has lost enthusiasm for the industry.
The reason of enthusiasm in 2021 was the inflated prices of Bitcoin, Ethereum and other cryptocurrencies. Most of the youngsters believed that crypto is the way to make money quicker at that time.
Crypto Investment is based in “greater fool theory”
According to James Royal, the crypto investments is totally based on the greater fool theory. The theory suggests that one can make money just by selling their holdings to that person who is ready to pay extra than the price of that initially. The consequence of this theory is that the great investor like Warren Buffett are critics of the asset class.
Royal suggested Americans to concentrate on the stock market, particularly the S&P 500 index rather than entangling into crypto investment in order to secure their money at the time of financial crisis.
“Purchasig a S &P 500 index fund continuously and holding on by thick and thin has benefited the majority of American millionaires.”
From the last few months, the trend in the USA has changed and due to which citizens of other countries have shown enthusiasm for crypto investment.
Argentina and Turkey bullish towards crypto investment
Like, the concerning inflation rate along with political turmoil in Argentina and Turkey has led the citizens towards crypto investments, specially stablecoins.
Furthermore, when Bitcoin touched its all-time high in November 2021 valued at $69,000, about 36% millennials disclosed that they were willing to get half of their salaries in crypto assets rather than fiat.
At that time, the chief executive officer and founder off deVere Group, Nigel Green described the interest of youngsters with the fact that they are most fascinated by technology innovations and are the one to acknowledge the “great potential of crypto investment.”
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.