According to data from CryptoMonday.de, 54% of all crypto-enabled accounts in the US are in the hands of millennials.
Speaking on the data, CryptoMonday CEO Jonathan Merry said:
“What we are seeing is that the young investor demographic is flocking to cryptocurrency as an investment opportunity. This is likely because they are more comfortable with digital assets and the technology behind them.”
He added, “given the current economic conditions, with inflation eating into the value of traditional investments such as bonds and equities, it’s no surprise that millennials are turning to cryptocurrency as an alternative investment.”
The Significance of Cryptocurrency to Millennials
The bank’s inflation and low-interest rates have made many millennials turn to cryptocurrency for long-term investment. The dollar’s purchasing power has also declined, furthering the incentive to invest in digital assets.
For many Millennials, crypto trading has become a means of financial independence. It offers millennials an alternative means to riches. The prices of digital assets are still volatile, but they have shown a willingness to rebound after any sell-off. The volatility is also an opportunity for traders to make a profit.
Confidence and Enthusiasm Are High, but So Is Confusion
Some people are also worried about the regulatory environment around digital assets. The US SEC has been hesitant to approve crypto ETFs, dampening some of the industry’s enthusiasm.
Baby boomers didn’t grow up with computers. As a result, cryptocurrency doesn’t bother them much. Stocks and investment funds have been working for them very well. Thus, most of them find it comfortable to maintain this plan rather than diversify to crypto.