• Despite describing themselves as risk averse, nearly a third of young Australian investors hold or have traded cryptocurrencies in the past year.
• The median holding of cryptocurrency for 18-24 year olds is $2,700, representing 6% of their total portfolios.
• Cryptocurrency is still up for debate about whether it can become fully accepted in mainstream investing.
Young Australians and Crypto
Despite seeing themselves as more “risk averse” than their older counterparts, nearly a third of all young Australian investors hold or have traded cryptocurrencies over the last year, according to an Australian investor study from the Australian Securities Exchange (ASX). The median holding of cryptocurrency for “next generation” investors — those aged 18 to 24 — stands at $2,700, representing a 6% weight in their total portfolio.
Older Investors and Crypto
While young investors owned the most crypto relative to their portfolios, it was the “wealth accumulators” — investors aged 25 to 49 — who owned the most cryptocurrency overall, accounting for 69% of the total investment in digital assets. Investors aged 50+ accounted for just 19% of overall crypto ownership.
Crypto Interest Among Intending Investors
The ASX study also revealed that 29% of all “intending investors” — people who don’t currently invest in any capacity — are considering investing in cryptocurrency. This suggests that there is considerable interest among those who are new to investing.
Why Young People Invest In Crypto
Researchers said the reason that younger people invested in crypto boiled down to a desire to do things differently from their parents combined with the observation that “many of the 1.2 million new investors who’ve taken up investing since 2020 are tech-savvy and connected to social media.”
Mainstream Acceptance Still Up For Debate
Despite its popularity among investors, cryptocurrency remains a subject open for debate when it comes to mainstream acceptance. The report noted that it’s still unclear whether cryptocurrencies can become “fully accepted in mainstream investing.”