Investment in Bitcoin has been growing in popularity among young people over the last several years.
As Cointelegraph reported on 26 October 2022, according to a poll conducted in October 2022 by U.S. asset management Charles Schwab, a little less than half of Gen Z and Millennials want crypto to become a component of their 401(k) retirement plans.
The company discovered that 46% of Gen Z and 45% of Millennials wished they could invest in cryptocurrencies as part of their 401(k) retirement packages, based on an informal survey asking participants what they would want to see added to these products. In addition, the poll indicated that 43% of Gen Z and 47% of Gen Y are already investing in crypto outside their 401(k) plans.
Awareness and comprehension of the technology behind cryptocurrencies are two factors contributing to their rising appeal among millennials. Since many millennials will have grown up using the internet and other digital technologies, they are more likely to be receptive to the concept of digital currency. Cryptocurrency’s growing widespread adoption has also helped to simplify and popularise the underlying technology.
The present economic situation is also contributing to millennials’ increasing interest in Bitcoin. Many millennials are trying to find new methods to generate money in light of the fact that interest rates are at record lows and many conventional assets are declining in value. As a result of its high return potential, crypto has become a popular investment choice among younger investors.
Younger generations are more prone to distrust conventional banks because of their perceived complicity in the 2007-2008 financial crisis. For this group, the decentralised and self-sovereign nature of cryptocurrency as an asset means that they may have more influence over their own financial destiny.
Another factor contributing to cryptocurrency’s rising popularity among millennials is the proliferation of ATMs and smartphone applications that facilitate its purchase and sale. Additionally, the emergence of crypto-related material on some of the most prominent social media platforms, such as Twitter, TikTok, Instagram, and YouTube contributes to the generation Y’s growing familiarity with and acceptance of cryptocurrencies.
Last but not least, the rising number of celebrities and high-profile persons who have openly embraced cryptocurrencies has also contributed to the rise in popularity of cryptocurrency among millennial investors. Tesla and SpaceX CEO Elon Musk is very well-liked among young people and has been a loud advocate of Bitcoin ($BTC) and meme-based cryptocurrency Dogecoin ($DOGE), with the latter especially gaining in popularity as a result. In fact, in April 2019, Musk said that $DOGE might be his favorite cryptocurrency.
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