Digital Currency Revolution Series: eToro Research Indicates Crypto-Assets, Commodities and Real Estate as Safe-Havens Amid Recessionary Phase

Amid an impending recession, U.S-based millennial investors appear to prefer investing in crypto assets, global trading platform eToro said in a new report.

eToro appointed a market research firm ‘Provoke Insights’ to conduct an online survey from July 18th to July 31st2019 among 1,000 U.S. online investors. Two-thirds of respondents said that they fear a recession is looming.

Amongst these investors, 43% of the millennials are inclined to invest in crypto-assets than stock markets amid cut-throat conditions of recessionary phase. On the flip side, 38% of Generation X preferred commodities, whereas 50% of generation Z inclined towards real estate opportunities. 

The managing director of eToro, Guy Hirsch, said that recession led investors towards various trajectories other than the stock market. He claimed that negligible ownership; being one of the alternative possibilities for investment, was once the forte of the elite but is now available to all investors due to global innovation and the demand backs up his words as well.

The crypto interest is luring with the pre-emptive investment. The survey also showed that 74% of crypto traders and 45% of those who don’t trade crypto, would like to see some of their 401k (pension) plans allocated to crypto-assets. “While there is clearly a demand for crypto assets in 401k portfolios, there are a number of regulatory and market changes that need to occur before it becomes a mainstream offering. We would need to see more advisors become educated in crypto-assets and getting comfortable recommending their customers to shift into crypto markets from traditional equity markets. Mainstream traction will also be aided by the approval of ETFs that track crypto assets. At that point, we could see crypto offerings in 401k portfolios,” Hirsch concluded.