Social media users are more likely to invest in cryptocurrency
February 12, 2025
According to the research, users of platforms like YouTube, Reddit, and X are more likely to invest in cryptocurrency. The survey found that around 50% of active social media users own digital assets, whereas only 10% of those who do not use social networks hold such investments.
The study revealed that the more social networks a person uses, the greater their interest in cryptocurrencies. The most engaged users are on YouTube, Reddit, X, and Clubhouse, whereas Instagram’s audience is less active. This is attributed to content format—text-based discussions and long videos are more conducive to cryptocurrency discussions.
UGA Associate Professor Lu Fan notes: "The popularity of cryptocurrencies is growing due to social media discussions and celebrity endorsements. When friends, family, or idols invest, it encourages others to follow their example."
Demographic factors of crypto investors
The survey also identified certain demographic trends. Men and individuals with a high tolerance for risk are more likely to invest in cryptocurrency, while those with higher education levels are less inclined toward such investments. Age also plays a role: older individuals show less interest in digital assets.
Investment growth and risk awareness
UGA data confirms trends from the National Financial Capability Study: cryptocurrency ownership increased from 15% in 2018 to 28% in 2021, while the share of those considering investments grew from 20% to over one-third.
However, researchers are concerned about misinformation on social media. Young investors may overestimate their knowledge and fall victim to scams.
Professor Fan advises a thoughtful approach: "Cryptocurrencies should align with financial goals, not just be a trendy fad."
Regulation and media literacy
UGA researchers called for the development of effective regulatory measures in the crypto market, considering the influence of social media. They also recommended strengthening media literacy programs to help investors distinguish reliable financial advice from misinformation.