Students have not been deterred by cryptocurrencies by its recent extreme highs and lows, and many remain confident in its long-term future as a store of value. The study of over 24.000 UK students, conducted by UNiDAYS, found that 24% now own some form of digital asset, with an additional third planning to purchase within the next 3 months. The most popular cryptocurrency currently is Bitcoin (26%), followed by Dogecoin (11%), Ethereum (10%) and Ripple (3%). Recall, that for invest in cryptocurrencies you have to rely on reliable and safe trading platforms.
Cryptocurrencies instead of Fiat money
Nearly half (40%) of respondents believe cryptocurrency will replace traditional currency within the next 10 years, and 43% think retailers should have the option to pay with cryptocurrency, 1 in 10 say they have already paid for goods or services with it.
However, despite the popularity of cryptocurrencies, many Gen Zs remain unconvinced. Following Elon Musk's announcement that Tesla will no longer accept Bitcoin due to environmental concerns related to mining, 40% of Generation Z agree that digital currency is bad for the environment. About a third (37%) even believe that cryptocurrencies are a scam.
Gen Z is embracing investment in general. Over the past 12 months, half of respondents have invested money in cryptocurrencies (16%), ISAs (16%) or stocks and shares (17%). A small amount (1%) has even invested in alternative digital assets such as NFT (Non-Fungible Tokens).
Gen Z: Investors who are careful about their money
Students are realistic about their investments and don't look for get-rich-quick schemes. Only 1 in 10 say they expect quick financial returns on their investments. This is because Generation Z is extremely risk averse. Of those who invest, only 8% classify themselves as a high-risk investor, while 47% avoid risk as much as possible.
The remaining 45% admit they are comfortable with moderate risk. This approach has mostly protected them from substantial losses and, for about a third, has helped them make money: 34% say they have made at least one profit in the past 12 months, 43% are more or less an event but an unfortunate 23% say they have lost money.
Josh Rathour, CEO of UNiDAYS, said, “The study disproves the myth that today's young people are reckless with their money. Generation Z are generally more careful and thoughtful with their financial choices than many attribute to them and are both sensitive investors and conscious consumers. Cryptocurrency markets can be extremely volatile now, but our results show that many Gen Zers see its long-term potential as an alternative and more democratic value system. The fact that many of them want retailers to accept cryptocurrencies as payment is food for thought for brands looking to connect with Generation Z ”.
