2030 Generation Leaving 'Coin' Behind... Extreme Choices Amid 'Crash Market' [Heo Midam's Youth Report]

6 out of 10 New Coin Investors This Year Are in Their 20s and 30s
20s Male Who Committed Extreme Suicide Presumed to Have Been Discouraged by Coin Investment Failure
Experts Say "Young Generation Has No Suitable Means for Asset Growth"

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On the 28th, the coin prices are displayed on the price board at Bithumb Gangnam Center in Gangnam-gu, Seoul.
[Photo by Yonhap News]

[Asia Economy Reporter Heo Midam] "'I'm aiming for a life-changing hit with 'coin.'"

Recently, a cryptocurrency investment craze has been intensifying mainly among people in their 20s and 30s. They are entering the cryptocurrency market, where high returns can be expected in a short period, to alleviate the bleakness about the future caused by soaring housing prices and job insecurity.

However, due to extreme price volatility, a considerable number of investors are suffering from 'coin addiction symptoms.' In particular, some of them not only check cryptocurrency prices on their phones all day long but also complain of relative deprivation and depression caused by the plummeting prices. Experts analyze that the lack of jobs among the younger generation has influenced the cryptocurrency craze.

Kim (26), a college student, recently started investing in cryptocurrency on a friend's recommendation. Kim said, "My friend said he made quite a bit of money in a short time with Bitcoin. Hearing that, I thought, 'If I don't invest, I'll be the only one losing out,' so I hurriedly jumped into the cryptocurrency market."

He added, "Nowadays, you can't buy a house just by putting money in the bank," and "That's why my friends are enthusiastic about stocks or Bitcoin."

As with Kim, a significant number of investors in their 20s and 30s have entered the cryptocurrency market. According to data submitted by the Financial Services Commission to Kwon Eun-hee, a member of the People's Party, among approximately 2.495 million new members of the four major domestic cryptocurrency exchanges in the first quarter, about 1.585 million (63.5%) were in their 20s and 30s.

The photo is unrelated to specific expressions in the article. [Image source=Yonhap News]

The reason they show interest in cryptocurrency investment is interpreted as 'expectation of high returns.' Because the cryptocurrency market experiences sharp fluctuations without clear reasons, investors flock to it with the hope that 'maybe they can make a big profit.'

In particular, the proportion of investments in 'altcoins,' which have relatively high volatility, has surged recently. Altcoins refer to cryptocurrencies other than Bitcoin and are also called 'junk coins.'

Altcoins have larger price swings compared to Bitcoin and require lower initial investment costs, attracting those dreaming of a 'big hit.' However, since they often fluctuate sharply without any particular positive news, the possibility of losing investment funds is also high.

According to the global cryptocurrency market status site 'CoinMarketCap,' Bitcoin accounts for about 51% of the global cryptocurrency market capitalization and 30% of trading volume. However, in Korea, Bitcoin trading accounts for only 6%. The remaining 94% is altcoin investment.

The photo is unrelated to specific expressions in the article. [Image source=Yonhap News]

The problem is that, due to the nature of the cryptocurrency market, which operates 24 hours and experiences extreme price fluctuations even with minor variables, many investors are looking at prices all day long, disrupting their normal lives.

Jeon (29), an office worker who started investing in cryptocurrency earlier this month, also confessed, "Since I started investing, I have been checking prices more frequently on my phone." He said, "Many people around me invest in cryptocurrency, so I bought out of curiosity. But I was surprised that the money grew rapidly. Stock returns seem dull in comparison," adding, "At work, I was often staring at my phone and was even reprimanded by my boss."

On online communities, there are quite a few posts complaining about cryptocurrency addiction. One netizen said, "I keep staring at my phone, neglecting work. Even though it doesn't go up, I think I've become addicted to coins," and "I can't think of anything but coins all day. Even when I meet friends, I only think about coins."

Another netizen also said, "I lost some money in coins in the past. So I thought I would never do it again and just live my life. But recently, I keep hearing people around me say they invested in coins, and I want to do it again so badly," adding, "It feels no different from gambling addiction."

Recently, there have been cases of extreme choices due to the plummeting cryptocurrency prices. On the 24th, when the prices of Bitcoin and other cryptocurrencies crashed, a man in his 20s in Gangwon Province took his own life.

The man did not leave any messages hinting at his extreme choice, but his parents reportedly told the police that they learned belatedly that he had failed in coin investment.

Earlier, a famous YouTuber also raised concerns by posting a message implying an extreme choice after losing the principal after investing 1.3 billion won in Bitcoin.

Experts analyze that young people enter the cryptocurrency market because they have no proper means to increase their assets.

Professor Kim Taegi of Dankook University's Department of Economics said, "Young people know that cryptocurrency is a high-risk means," but added, "Because young people have no proper means to increase their assets, they become interested in cryptocurrency. They should earn labor income through stable jobs, but since jobs are scarce, this phenomenon inevitably occurs."

He continued, "Cryptocurrency cannot be simply regarded as 'speculation.' Young people think that cryptocurrency can become an alternative currency and believe that the value of coins will rise according to the principle of scarcity. Ultimately, there are rational reasons unique to young people for investing in cryptocurrency."