Younger Germans More Likely To Invest In Cryptocurrencies, Suggests Survey

A recent poll conducted by the German Consumer Centers of Hesse and Saxony shows that more than a quarter of younger Germans are willing to invest in the cryptocurrency ecosystem.

The Consumer Centers are basically government-backed non-profit agencies operating at state level unions. Their main focus is to protect the consumer along with providing advisory services. The aforementioned survey is conducted by two German federal states with a total population of over 10 million people. Both centers conducted a joint survey among internet users.

Local business media Wirtschaftswoche suggests the survey polled 1,000 Germans between the ages of 18 and 39. Published Monday, Nov. 5, the survey concludes that around 55 % of respondents have had heard of cryptocurrencies. Around 77% of the crypto aware section would ae not inclined towards the virtual assets.

Upon asking their view on risk related to cryptocurrencies, 70% of respondents thought that crypto trading is a  ‘risky’ or ‘very risky’ endeavor. The inference report also established a strong correlation between the estimation of risk and the age of the respondent. 54% of participants between the age of 30 to 39 deems crypto investments as dangerous, while 28% of participants between the age of 18 to 29 found the prospect of cryptocurrency to be “conceivable.”

Interestingly, the survey itself upheld a warning about the potential risks of cryptocurrencies. The finance markets team  leader at the Consumer Center of Hesse, Wolf Brandes, writes:

 “Investors need to know: cryptocurrencies in terms of investment are gray capital markets. There is no regulation or investor protection.”

A sentiment that is also shared by the  German government. The German Finance Minister Olaf Scholz stated in September that digital assets won’t be able to replace fiat money as they do not pose “an economically significant importance”. He even went so far as to compare them with tulip fever bubble in the Netherlands in the 17th century.

A similar kind of poll was conducted in the U.S. recently, by research service YouGov Omnibus inferred that American millennials are inclined towards cryptocurrencies, with 36% claiming that they might prefer them over the dollar. While another poll by U.S. blockchain-analytics firm Clovr found that millennial men earning $75,000–$99,999 annually are more interesting in cryptocurrencies.

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