Author: Kailyn Rhone, The New York Times
Compiled by: Peggy, BlockBeats
Original Title: Cryptocurrency as a Christmas Gift? Gen Z's Perspective on Investment Choices
Editor's Note: As Bitcoin and Ethereum have become symbols of pop culture, cryptocurrency is no longer just a speculative tool but is also packaged as a "gift for the young." However, amid real economic pressures and market pullbacks, Gen Z's attitude toward crypto assets is far more complex than imagined.
Through the real experiences of several individuals in their 20s, this article reveals a divided and restrained mindset: they are not opposed to cryptocurrency and are even willing to "receive" it during the holidays. But when it comes to personal asset allocation, they prefer stable, predictable investments aligned with long-term life goals. For them, cryptocurrency symbolizes both a changing era and a reminder of coexisting risks and uncertainties.
Below is the original article:
Wyatt Johnson still remembers constantly refreshing the Coinbase app during the crypto frenzy of 2021. He and his friends were convinced they were witnessing history, so Johnson decided to invest about $5,000.
But instead of making money, the value of his cryptocurrency—Solana—plummeted by nearly half within months.
22-year-old Wyatt Johnson suffered losses when his Solana holdings halved in value. Despite this, he is still open to receiving cryptocurrency as a Christmas gift. Image: Jenn Ackerman / The New York Times
Now 22, Johnson hasn't invested in cryptocurrency since but continues to follow the space and stay updated. Although he wouldn't risk his own money due to the recent crypto market downturn, he wouldn't turn down digital currency if someone gifted it to him for Christmas.
"Money is being democratized in ways we've never seen before," said Johnson, who lives in Hustisford, Wisconsin. "Things are changing. I think it's important for our generation to keep up with these changes."
Depending on one's perspective, a crypto gift can either feel like a scratch-off lottery ticket or a gift card with limitless potential. Even amid market volatility, some young Americans, especially Gen Z, seem willing to unwrap gifts of Bitcoin or Ethereum this holiday season.
This doesn't mean cryptocurrency tops many wish lists. As retailers, payment companies, and crypto platforms package digital assets as "holiday-friendly" gifts, a bigger question emerges: Against a backdrop of economic uncertainty, does Gen Z actually want to receive cryptocurrency during the holidays?
Early signs indicate a divide within Gen Z. Those in their 20s, especially with investment experience, tend to be cautiously open—they're okay with crypto, but most would prefer support for savings, help with rent, or stable, traditional assets like stocks. Johnson, for example, said he'd rather receive gifts related to real estate or funding for his AI startup than cryptocurrency.
Teens and younger Gen Z members who are new to investing are more enthusiastic. Financial experts believe this is likely because they haven't deeply experienced market volatility. According to a recent Visa report, about 45% of Gen Z said they would be excited to receive cryptocurrency as a holiday gift.
"Gen Z isn't as afraid of volatility as older generations; what they're really afraid of is stagnation," said Will Reeves, CEO of Bitcoin financial services company Fold. He added that traditional wealth-building paths like homeownership seem out of reach for many young people, while Bitcoin feels more accessible.
22-year-old Russell Kai began exploring investing after a friend introduced him to the stock market two years ago. He is open to cryptocurrency but prefers holding stocks. Image: Alana Paterson / The New York Times
Part of crypto's appeal is cultural. Rick Maeda, a research assistant at algorithmic trading firm Presto Research, noted that Gen Z grew up watching Bitcoin and Ethereum rise on social media. Even after a series of pullbacks, some young investors see high volatility as normal, even expected.
For many young people, receiving a small amount of cryptocurrency often serves as an entry point into the world of investing. Research from FINRA and the CFA Institute shows that cryptocurrency is frequently the first asset young investors hold. The study found that nearly one-fifth of Gen Z investors hold only crypto assets and non-fungible tokens (NFTs), or both; in contrast, Gen X investors primarily focus on traditional products like mutual funds.
But this openness comes at a complex time for the industry.
A year ago, Bitcoin briefly surpassed $100,000. With that milestone and the election of a pro-crypto president, many enthusiasts predicted the 16-year-old cryptocurrency would reach $250,000 by year's end.
Those predictions did not come true.
After climbing to about $126,000 in October, Bitcoin fell to around $81,000 in late November, a drop of nearly 35%, erasing almost all its gains for the year. (Bitcoin has since rebounded, approaching $95,000 on December 9.) Other major cryptocurrencies also declined, with Ethereum falling nearly 40% since August.
This volatility isn't unique to cryptocurrency but reflects broader economic conditions, such as shifting interest rate expectations and tariff policies. As Gen Z grapples with job difficulties, moving back home to save money, or delaying major life milestones, they prefer stable investments—assets that won't "backfire" in the coming years, let alone fluctuate wildly in months.
But some Gen Z see this year's decline as an opportunity, not a warning. Stephen Kates, a financial analyst at Bankrate, said many young people are putting money into cryptocurrency while prices are low. However, financial experts caution that cryptocurrency and lesser-known digital tokens are high-risk and should only make up a small part of a diversified portfolio.
For Russell Kai, a finance major living in Vancouver, Canada, cryptocurrency has always seemed like the wildest corner of the financial world—too much volatility, too few safety rails. Two years ago, while in college, a friend persuaded him to buy his first stock, sparking his interest in investing. Since then, he's stuck to a principle: choose stable or government-issued assets over trendy digital products.
The 22-year-old Kai said that if he received cryptocurrency as a gift this year, he wouldn't refuse it but would likely sell it quickly and reinvest the cash into stocks he follows daily.
Clay Lute, 24, also said he's open to receiving crypto as a gift but wouldn't actively ask for it. Based in Queens, New York, and working in fashion, Lute believes Bitcoin will recover from its current slump and grow in both value and utility; however, he doesn't believe in a future where hundreds of cryptocurrencies thrive simultaneously long-term.
"If I were to curate my own holiday wish list, putting money into my Roth IRA would obviously be more beneficial for my long-term future than betting on cryptocurrency," Lute said.
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