Generational Investment Strategies: Bridging the Divide in Cryptocurrency Adoption

Abstract

This paper investigates the generational divide in cryptocurrency adoption, highlighting the different investment behaviors and attitudes of younger and older generations. The study finds that Millennials and Gen Z are more likely to embrace cryptocurrencies due to their comfort with digital technologies and openness to new financial models. However, their decisions can be influenced by biases such as overconfidence and herding behavior. In contrast, older generations often exhibit risk aversion and skepticism towards cryptocurrencies due to anchoring bias and information overload. The paper concludes by suggesting that clear communication and education about cryptocurrencies can empower investors of all ages to make informed investment decisions.

Keywords: Investment Strategies, Cryptocurrency, Investment Biases, Asset Allocation, Risk Tolerance, Digital Assets, Wealth Management JEL Code Classifications: G23

JEL Classification: G23, G41, O30, O33, F36