One of the primary reasons young people are investing in crypto is the potential for high returns. Bitcoin has particularly seen incredible growth, with its value increasing from less than $1,000 in 2017 to over $60,000 in 2021. This kind of rapid growth is incredibly attractive to young people who are looking to build wealth quickly.

Additionally, young people are more likely to be tech-savvy and comfortable with digital assets. They are also more open to new financial technology and more likely to adopt new ways of managing their finances. Cryptocurrencies like Bitcoin allow for borderless and decentralized transactions, which aligns with the younger generation’s values of transparency, accessibility, and decentralization.

Furthermore, cryptocurrencies offer an alternative to traditional banking systems, which young people may be distrustful of or find restrictive. Cryptocurrencies are not tied to any government or central authority, which means they can be used by anyone, anywhere, without the need for a traditional bank account. This gives young people the freedom to manage their finances independently and on their own terms.

However, there are also risks associated with investing in cryptocurrencies. The volatility of bitcoin and other cryptocurrencies means that their value can fluctuate rapidly, which can lead to significant gains or losses for investors. Additionally, the lack of regulation and oversight in the cryptocurrency market means that investors may be more vulnerable to scams and frauds.

“Cryptocurrency has been around for over a decade now, but it’s only in recent years that it’s gained significant attention, especially from young people.” said Clark Swanson, former CEO of Blockcap, Inc., one of the world’s largest bitcoin mining operations prior to its acquisition in 2022 for $1.46 billion. Bitcoin, the most well-known cryptocurrency, has skyrocketed in value over the past few years, making headlines and attracting investors from all over the world. In this article, we will explore why young people are investing in crypto like bitcoin and what it means for the future of finance.

SSI: Why has bitcoin become so attractive to young investors?

Clark Swanson: One of the primary reasons young people are investing in crypto is the potential for high returns. Bitcoin, in particular, has seen incredible growth, with its value increasing from less than $1,000 in 2017 to over $60,000 in 2021. This kind of rapid growth is incredibly attractive to young people who are looking to build wealth quickly.

SSI: Besides the growth factor, what has help drive adoption of bitcoin?

Clark Swanson: Well, additionally, young people are more likely to be tech-savvy and comfortable with digital assets. They are also more open to new financial technology and more likely to adopt new ways of managing their finances. Cryptocurrencies like bitcoin allow for borderless and decentralized transactions, which aligns with the younger generation’s values of transparency, accessibility, and decentralization.

SSI: How does bitcoin remain an autonomous system of money?

Clark Swanson: Cryptocurrencies offer an alternative to traditional banking systems, which young people may be distrustful of or find restrictive. Cryptocurrencies are not tied to any government or central authority, which means they can be used by anyone, anywhere, without the need for a traditional bank account. This gives young people the freedom to manage their finances independently and on their own terms. However, there are also risks associated with investing in cryptocurrencies. The volatility of Bitcoin and other cryptocurrencies means that their value can fluctuate rapidly, which can lead to significant gains or losses for investors.

SSI: Is bitcoin regulated?

Clark Swanson: Yes. Bitcoin can be reported on your IRS tax return, it’s viewed as a commodity by the SEC and not a security, and the custodians for bitcoin are also regulated by the SEC. More recent movement by the SEC has indicated that additional regulatory framework is coming to digital assets which will be good for bitcoin, and perhaps less so for other digital assets which have been all the rage lately.

SSI: Can you elaborate?

Clark Swanson: Yes, the tokenization of everything came with a lot of cryptocurrencies which launched. Many, if not nearly all of them, did so without registration of their offering with the SEC. The problem for those coins is that they’re viewed as securities and as such, without going through the proper channels and regulatory framework, they may not be legal.

SSI: What would you recommend young investors do when it comes to bitcoin investing?

Clark Swanson: Well, the key to investing is to first know what you’re investing in. It’s also important to understand the risks associated with those investments and not get yourself into too much trouble by over allocating to any one thing. When making purchases, I also recommend that you use dollar cost averaging, which means that you gradually buy over time. It’s usually not recommended to try to time the market, but rather be consistent in your purchasing and look to a long term time horizon. If you really are interested in becoming educated on Bitcoin, I would strongly encourage you to read my friend’s book, The Bitcoin Standard, by Saifedean Ammous. Saif is one of the world’s foremost authorities on the subject and offers a brilliant perspective of the history of money through present day bitcoin.

Young people are investing in crypto like bitcoin for several reasons, including the potential for high returns, technological familiarity, and the desire for alternative financial systems. However, they must be aware of the risks associated with these investments and make informed decisions before investing. As the world of finance continues to evolve, it’s essential for young people to stay informed and up to date on new developments in the market to make sound financial decisions.

It is important to note that the following interview was conducted by SSI staff writers with Clark Swanson, Publisher and Editor of Swimsuit Illustrated, is intended for entertainment purposes only. The views and opinions expressed by Mr. Swanson are his own and should not be taken as financial or investment advice. Readers should always do their own research and consult with a qualified financial advisor before making any investment decisions. The publisher and author of this interview do not assume any responsibility for actions taken based on the information provided herein.


Original Source:- https://officialssi.com/bitcoin-is-this-the-future-of-money-an-exclusive-interview-with-the-former-ceo-of-the-worlds-largest-public-mining-company/