Crypto Exchanges More Trusted Than Stock Exchanges
In a recent study related to millennial investment attitudes, published by investment platform eToro, indicates that almost half of millennial traders have more trust in digital currency exchanges than in U.S stock exchange.
According to the report, 43 percent of the surveyed millennial online traders show less trust in the traditional stock market and rely more on crypto exchanges. The data shows that 93 percent of millennial cryptocurrency traders prefer investing in digital currency if traditional financial institutions proposed such an alternative.
Whereas, 71 percent of millennials that don’t trade cryptocurrency said that they would prefer investing if it were offered by conventional institutions. The Managing director of eToro, Guy Hirsch noted that the market is now in a phase of transition as the new generation is moving from traditional exchanges to digital ones. Hirsch explains:
“Immutability is native to blockchains and that makes real-time audit to be sensible and cost-effective and that is why millennials and Gen X perceive crypto exchanges as less likely to be subject to manipulation and less likely to be a place where bad actors get rewarded with taxpayer money.”
Meanwhile, 45 percent of the respondents showed interest in placing cryptocurrency in their 401(k) retirement savings plan, and 74 percent of digital currency traders would like to receive that option from their 401(k) plan providers.
The market and strategy firm Provoke Insights conducted the research on behalf of eToro in September 2018. The company surveyed 1,000 online investors from age 20 to 65, with the margin of error being around 3 percent.
The research published last November indicated that cryptocurrency investment is most popular among millennials having an income from $75,000 to $99,000 annually, further, responses were collected from over 1,000 Americans between the age of 18 and 80. Nearly 40 percent have reportedly been drawn into the crypto market one way or the other.