Youth and Digital Assets: Crypto as a New Pillar of Future Investment

Amid global economic pressures, rising living costs, and career uncertainty, the younger generation has begun turning to cryptocurrency as a new investment option.
For many Gen Z and Millennials, digital assets are no longer seen merely as tools for short-term speculation but are increasingly viewed as part of a long-term financial strategy—one that adapts to the demands of a rapidly evolving era.

Young Generation Dominates Crypto Ownership

Recent data indicate that young people have far greater exposure to cryptocurrencies compared to previous generations.
A Bitget Research survey found that around 40% of young respondents have invested in digital assets, while more than 60% regard crypto as a viable alternative to traditional investment or retirement instruments.

Similar findings were reported by Coinbase, which revealed that 38% of young respondents see blockchain technology and crypto assets as emerging economic opportunities beyond the traditional financial sector a figure notably higher than the 26% recorded among older generations.

Why Young People Are Turning to Crypto
This phenomenon did not arise without reason. Several key factors have driven this generational shift in investment interest:

• Challenging economic conditions  from high living costs and student debt to limited career opportunities — have encouraged young people to seek a more independent and transparent financial system.

• Digital familiarity, having grown up in the era of the internet, social media, and digital finance platforms, this generation finds it easier to grasp the concepts of digital assets and blockchain technology.

• Desire for financial autonomy cryptocurrencies offer portfolio diversification and high growth potential, despite the inherent risks of price volatility.

Opportunities and Risks of Crypto Assets
While crypto presents substantial potential, it also carries challenges that cannot be overlooked.

Opportunities:

• Crypto provides access to global asset classes previously out of reach for young investors, including real-world asset tokenization and decentralized finance (DeFi).

• Blockchain technology enables inclusive participation in a borderless digital financial system.

Risks:

• Extreme volatility — crypto prices can fluctuate drastically in short periods, making them unsuitable for investors with low risk tolerance.

• Limited financial literacy — according to an OECD report, many crypto users do not fully understand the risks and regulations associated with digital assets.

• Regulatory uncertainty — investor protection in the digital asset sector remains under development in many countries, including Indonesia.

Implications for Indonesia’s Young Generation

For Indonesian youth, who are increasingly open to digital finance, cryptocurrencies can form part of an effective asset diversification strategy. However, young investors are advised to prioritize education, discipline, and risk management.

Steps such as consistent saving, gradual investing, understanding personal risk profiles, and choosing credible platforms can serve as safer strategies for building a sustainable digital portfolio.

Crypto as a Symbol of Financial Paradigm Shift

Cryptocurrencies have emerged as a symbol of financial paradigm change among the younger generation. Although not without risks, global trends suggest that crypto could become a key pillar of future investment particularly for those who can navigate its mechanisms wisely. Ultimately, the success of utilizing crypto as a “future asset” depends not on sheer risk-taking, but on understanding the fundamentals, complying with regulations, and building a long-term financial plan in an ever-evolving digital marketplace.