The recent crypto bear market that is still ongoing has apparently not harmed the reputation of crypto assets among young adults.

This is suggested by the results of a survey conducted on behalf of Wisdom Tree, a provider of exchange-traded index products, among 1,001 people aged 18 to 30 throughout Germany.

Martin Hock

Editor in Business.

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Four out of ten respondents said they are more positive about cryptocurrencies today than they were in November 2021, when the price of the best-known crypto asset Bitcoin had reached an all-time high of more than $68,000.

At the time of the survey in early July, Bitcoin was at a low of around $19,000.

The openness towards crypto investments is also expressed in the fact that at 27 percent a slightly larger proportion of those surveyed invested in these than in conventional investments (25 percent).

According to Wisdom Tree, this suggests a change in the investment behavior of young adults.

They would not have been deterred from buying by the price slumps this year.

Almost 60 percent also stated that an investment was likely for them in the future.

knowledge and half-knowledge

As for knowledge, the survey results are somewhat contradictory.

On the one hand, almost all respondents indicated that they were at least somewhat familiar with crypto assets.

Almost everyone was also familiar with the so-called NFTs, digital certificates, which usually certify a claim to a specific object.

30 percent said they were very familiar with it, twice that of crypto assets.

On the other hand, 39 percent had no knowledge of how crypto assets work, and more than half complained that they did not have enough trustworthy information.

The times of great hustle and bustle are probably over.

Only one in six stated that they take recommendations from well-known personalities into account when making an investment.

On the other hand, 35 percent want to know more about fundamental data and 29 percent want more information material.

It is therefore important that traditional and crypto finance companies provide quality and accessible information.

More than half of respondents said they would feel more comfortable about investing if the asset class received broader government and regulatory support.

Young adults are increasingly treating crypto assets like a mature asset class, according to Wisdom Tree.

Recent changes in US, UK and EU policies are positive signs that digital assets are being incorporated into existing regulatory frameworks.

More people could benefit from this.

Recent volatility may have provided a favorable entry point.

However, it is crucial that investors acquire more knowledge.

Companies that offer access to cryptocurrencies have an obligation here.

If you believe another survey by the manager of digital investments CoinShares among fund managers who invest in cryptocurrencies, it shows that the mood has changed among them too.

For the first time since the survey began in September last year, the main reason for purchases is that crypto assets are perceived as cheap.

Significantly fewer investors see them as a speculative investment.

But increasing demand is also mentioned much more frequently as a reason for increases.