According to the Australian cryptocurrency exchange, BTC Markets, Aussie boomers have become more familiar with crypto-asset investment.
The country’s largest crypto exchange Bitcoin Markets have witnessed a rise in users in the past year. This is due to the increased number of older clients utilizing the platform.
Following the data from one of the country’s largest exchanges, more older citizens view crypto assets as a good investment. BTC Markets, in an annual investor report, recorded that investors over the age of 65 years increased by 15%. The report also shows that their group makes the biggest deposits.
Related Reading | Investors Turn To Bitcoin In Turkey As Lira Value Slips
They categorized Baby Boomers as investors born between the years 1946 and 1964. These investors make up 5% of the customer base of the platform, estimated to be 325,000.
Caroline Bowler, the CEO of the BTC Markets, said that young male crypto traders had designated their crypto monopoly. Since the growth value of the boomer after the age range of 18-24 has become the 2nd highest.
Crypto market is still facing a decline of over 1% | Source: Crypto Total Market Cap on TradingView.com
Over a quarter of investors using the exchange are above 44 years; they are more buoyant financially. A report from the platform shows the average initial deposit of those over 65 years is the highest. The value is $3,200, and the average size of their cryptocurrency portfolio is $3,700.
Lower Cryptocurrency Interest Rates
Bowler explained that the key factor backing boomers’ search for investment alternatives like cryptocurrency assets is low interest rates. He added that the Baby Boomers are mostly people that have acquired significant assets and wealth.
Therefore, they already have years of experience as regards financial market investments and can easily allocate a small portion of their wealth to cryptos.
In the other Generation Z class, younger traders between 18 to 24 years have smaller portfolios and initial deposits. Theirs are a quarter of what their senior counterparts have.
The Australian crypto exchange surveyed about 1,800 customers to determine their aim of investing their funds in crypto. The result shows that 34% of these people seek early retirement, 23% have FOMO (fear of missing out). The remaining 28% want to diversify their portfolio.
Related Reading | SEC Is Too “Short-Staffed” To Regulate Crypto Properly, Chairman Gary Gensler
On Wednesday, while addressing Bloomberg Crypto, Bowler stated that the exchange has been considering the Singaporean model of embracing the community and handling regulatory challenges for the cryptocurrency industry.
She reported that 28% of the Australian citizens confirmed lack of local regulation to be among their biggest challenges. This has a negative effect as financial advisors are restricted from advising on digital assets investment. This would have aided investors in mitigating risk.
Featured image from Forkast, chart from TradingView.com