New Coinbase Research Shows Generational Gap in Crypto Investments

Investing is a way to accumulate long-term wealth. However, each generation has its own way of investing, and as it turns out, there has been a shift in how the younger generation invests.

In general, the younger generation has a different view of financial risk and diversification compared to previous generations. This was the conclusion made by Coinbase after researching 4,350 adults in the United States.

The research, reported last Tuesday, was conducted by Ipsos Research on behalf of Coinbase to understand the similarities and differences between younger generations (Gen Z and Millennials) and older generations (Gen X and Boomers) in how they invest. Coinbase also researched what both groups are looking for in traditional financial markets.

The research shows that younger investors’ behavior and views differ from those of older generations.

Looking for new ways to accumulate wealth

Young investors are more optimistic about the current economic landscape. However, 73% of them believe that it is more difficult for the current generation to achieve wealth through traditional means.

These include owning a home and trading stocks. Many young investors feel that they cannot achieve wealth through these conventional methods, so 86% of them are looking for new ways to earn income through investment.

More interested in cryptocurrency

Coinbase research shows that 45% of young investors already own crypto, and 25% plan to buy it. Meanwhile, among older investors, only 18% hold crypto, with 11% planning to buy.

Young investors are also more interested in exploring new assets. 47% of them are interested in investing in newly launched crypto assets, while only 16% of older investors express interest in doing so.

Finally, young investors are more interested in non-traditional assets. According to Coinbase’s research, 25% of young investors' portfolios are invested in non-traditional assets. This comparison is three times greater than older investors, who only hold 8% of their portfolios in non-traditional assets.

More active in trading

Young investors generally seek high profits when investing, so they are willing to take higher risks. In fact, 29% of young investors trade at least once a week.

Meanwhile, older investors stick to safer, more conservative strategies, so only 10% trade regularly.

Conclusion

Coinbase research shows that cryptocurrencies and other non-traditional assets are popular among young investors. Combined with young investors' views on the global economic situation, the popularity of non-traditional assets will continue to grow.

For Coinbase and other crypto platforms, this is an opportunity to develop products and features that meet the needs and interests of young investors. Meanwhile, for investors of any generation, this is an encouragement and reminder to stay updated on financial news and new investment instruments.

Examples include crypto and NFTs, digital assets that carry both speculative value and real utility. Learn more about various non-traditional assets in DRX Token's educational articles!