Reasons why Americans Financing in Virtual Coins


Cryptocurrency is riskier than many other more developed financial assets classes but as it says: high risk, high returns, it also possesses the potential to pay off higher returns. Therefore, the number of Americans who are investing in cryptocurrencies like Bitcoin and Ethereum is increasing.

A survey recently was carried out by SurveyMonkey to find out why Americans find it attractive to invest in cryptocurrency. Below are the findings of its survey to answer the motivation of Americans behind investing in digital coins.

The promise for long-term growth

According to survey findings, approximately 60% of investors see cryptocurrency as an investment that promises long-term growth.

A belief that crypto’s value will grow over time means that people do not need to act when the price of a coin goes up and down. Instead, it is hoped that one would end up making a profit as the prices would increase well over time price.

The potential for high growth over a short time

As opposite to investors waiting long term growth patiently, there is 44 percent of crypto investors want to earn profit in a short period of time. Although, this is one of the riskier motivations to invest in virtual currency. As success in quick profit-making scenarios significantly depends upon the ability of an investor to buy and sell assets at the perfect time. It would be difficult to predict what will happen with the prices of volatile assets like digital currencies.

The excitement of investing

Last but not least reason for investment in cryptocurrency by US citizens is that they found it thrilling to invest in virtual coins. In fact, over 26 percent of crypto investors made investments because of that reason.

It`s not incorrect for being excited about increasing your wealth. But if the only purpose behind investing in an asset is excitement, then it would become gambling rather than investing.

If one is willing to invest your income in prospects of growing it, oneself should take the time to thoroughly explore each financing option available. Examine the asset from each dimension like the performance track record, business model, growth potential, volatility, and the possibility it will deliver an encouraging return over time through various economic circumstances.

In numerous cases, less exciting securities have a far better track record of making money. And you may be more thrilled to watch your brokerage account`s total grow over time than to put up investments in coins that may not give off for you in the extended run.