Unless you’ve been living under a rock, you probably know at least a little bit about Bitcoin and what it is. Bitcoin has become increasingly popular as an investment type in recent years and a recent survey by Finder shows that since January 2021, more and more Gen Z Australians are beginning to invest in Bitcoin and other cryptocurrencies. But why are younger Australians shunning more traditional investment types, such as stocks and shares, in favour of Bitcoin?
Ease of Investment:
Gen Z are certainly the most tech-savvy generation – and it’s not just TikTok that they’re making full use of. Bitcoin and other cryptocurrencies are often an attractive investment opportunity for Gen Z’ers who are looking to build an investment portfolio due to the user-friendly and modern opportunities for investing. Today, cryptocurrency exchanges offer smartphone apps that investors can download and use to buy and sell Bitcoin and other coins from their iPhone in the comfort of their own home, which makes sense to the younger, connected generation who have grown up using these technologies. If you’re looking to buy Bitcoin, Australia’s CoinSpot exchange is regarded as one of the most trustworthy crypto platforms in the country with 5 star service.
Lack of Trust:
Another main reason why Gen Z are choosing to invest in cryptocurrency is that they often have a lack of trust in the more traditional investment options. This generation is super online and into technology and they know how to utilize the tools available to them to perform their own research into investment opportunities, rather than trusting the information that is provided to them by traditional institutions such as banks and financial advisors.
Coupled with their feelings of distrust and disconnection from traditional investment opportunities, another main driving factor behind the younger generation and their decision to invest in Bitcoin is that they often have a genuine positive outlook when it comes to cryptocurrency and blockchain technology. Many have been able to define the crypto space as not only an investment opportunity but also somewhere that they can find community and even fun.
The Future of Finance:
Last but not least, Gen Z’ers have been brought up in a world that is constantly changing and evolving due to modern technologies. As a result, many see Bitcoin and other cryptocurrencies as the future of finance, which is a significant reason behind why many of them believe that it is one of the most worthwhile investments to make. Many are firm believers in the long-term use and applicability of cryptocurrencies. They are intrigued by how cryptocurrency has been used for community outreach in many different parts of the world. For example, at a time when humanitarian aid was prohibited in Venezuela, cryptocurrency stepped in as a way for citizens in need to receive money from friends and relatives overseas.
Cryptocurrency is often the top choice for young Gen Z investors as it allows them to avoid the traditional financial institutions while still building wealth. This generation is more likely to do their own research and invest with the main aim of effecting future change.