Why Should Students Keep Their Money in Cryptocurrency?
Cryptocurrency is a relatively new payment system that emerged from the world of finance and offers anyone who appraises its benefits a bankless, virtual-borderless system of finance that is more attractive to today’s tech-savvy student population than a bank account. Some people are skeptical of it; others are certain it holds great promise. Some even say that “Cryptocurrency will be the biggest opportunity for wealth creation in our lifetime” (as confidently stated by Anthony Pompliano, CEO of Pomp Investments). Many students find the concept of crypto fascinating and are eager to explore its potential. So, today we decided to highlight five reasons why modern students would benefit from keeping their savings in cryptocurrency.
1. Familiarity with Digital Technology
Students are digital natives. They understand the ecosystem of the 21st century, with technology changing at breakneck speed and cryptos an integral part of it. Modern learners easily surf the treacherous waters of the www, researching materials and getting academic help online with equal ease. All they need to do is Google “Study resources” or “Who can write my lab report for me?”, and they are set with the best aid the web can conjure. So, crypto is just another tech thing they can file away.
Cryptocurrency is part of the same tech craze as smartphones, Facebook and Instagram. So, for an average young student, using cryptocurrencies is a new way to use their natural tech skills. It’s a means to use digital wallets and other foundational technologies for blockchain that reputedly will define the economy of the future. And, learning that today’s gizmos are connected to big systems can help students who compete for jobs in fields where digital money will likely play a big role in the future.
As learners get more acquainted with crypto, they discover that there are many types of cryptocurrencies worldwide. Here are the most popular ones:
Data provided by Statista
2. Potentially High Returns
Many people choose to use crypto – it’s predicted to have almost 100 million users by the year 2028. This is all due to the possibility of earning high returns. These types of investments are very volatile and risky, but they can pay off since a smart investment in a new and booming market can promise much larger returns compared with very low-interest banking products such as savings accounts. A small percentage of a savings fund gambled on cryptocurrencies should be able to bulk up significantly for a risk-willing student. This extra dip into one’s pocket money could mean a great deal of freedom during a student’s college years and later in life.
3. Enhanced Control Over Personal Finance
With cryptocurrency, students don’t necessarily need a bank account to be involved in managing assets. The direct control of holding currency by students can also help them to be more responsible and mature with their funds. Moreover, through its immutable transaction recording, cryptocurrency transactions can be made much more flexibly across places and countries, bypassing the usual slow and burdensome fees and processes of international transfers with conventional banks when studying abroad.
4. Educational Opportunity
Exploring cryptocurrencies offers valuable educational benefits, such as:
- Blockchain Insights: Gain practical knowledge about how blockchain technology operates.
- Digital Security: Learn important aspects of securing digital transactions.
- Financial Markets: Understand the dynamics of financial markets through the lens of digital currencies.
- Career Relevance: For students in finance or technology fields, understanding cryptocurrencies can be directly applicable to future careers, as these sectors increasingly embrace fintech and blockchain technologies.
5. Privacy and Security
While traditional banking is plagued with privacy and security vulnerabilities, private digital money transactions have more potential for security and lack of personal information being stolen. Because no personal information is disclosed to perform the purchase or transfer, this lowers the likelihood of a data breach, which, unfortunately, has become a frightening inevitability in the digital age. Using digital money allows the type of transaction that is not tied to personal information can appease the worries of those who are concerned about their financial privacy and resist giving institutions that much personal data to use at their discretion, as consumers often do when buying, especially when abroad and using a Visa card.
Riding the Crypto Wave
Sure, crypto is volatile. But it’s also compatible with modern-day undergraduates’ needs and skills, a way to get them thinking about future technologies. The bottom line: crypto is a potentially useful tool for students willing to experiment and throw a few dollars at it to test the waters. Of course, students should do their due diligence before making any purchase. Start small and with something that you feel comfortable holding your money in. For many students, the real benefit to learning about cryptocurrency isn’t so much to grow their money as it is to boost their knowledge and prepare for the brave new world of digital-first living. Thus, playing with crypto could be an educative adventure rather than just a chance to grow your financial portfolio.
