Have millennials lost faith in the financial system? Looks like it

Millennials have lost faith in the financial system- looking to become Entrepreneurs instead of Investors

Millennial financial expert Amanda Abella, author of Make Money Your Honey, discusses the unique issues facing millennials with Douglas Goldstein, CFP®, director of Profile Investment Services, Ltd. Why do so many young people have financial fears? How can they overcome them and begin investing? Find out what millennials need to know in order to plan for the future.

Don’t use email for financial transactions

Emails and other quick forms of messaging leave open the possibility of miscommunication. Douglas Goldstein, CFP®, shares an example of what happened when an email with financial instructions was misunderstood and gives advice on how to communicate effectively with your financial advisor. goldsteinongelt.com

Millennials have lost faith in the financial system and this is perhaps one of the reasons

The CEO of Bitcoin exchange Amber has claimed that millennials are turning to Bitcoin because they have lost faith in banks. Speaking to Yahoo! Finance, Aleksandar Svetski said that the 2008 financial crash made young people realize that banks were not infallible, and that seeing them get a multi-billion-dollar bailout while their savings tanked has caused them to look seriously at financial alternatives like cryptocurrencies.

Bitcoin Is not Just for the Young

Svetski cites a number of surveys and studies to back up his claim, including recent findings that “a third of millennials have noted that they’d prefer to hold Bitcoin over shares” and that millennials are five times more likely to say that Bitcoin is the best way to save for the future than older adults are.

Svetski adds that it is not just young people who are buying into Bitcoin, but traditional investors too:

We experienced this first hand at a recent Investor conference. A number of traditional investors, all who are familiar with currencies and precious metals such as gold were enquiring into how to buy and hold some Bitcoin for the very same reasons as they hold gold and other international currencies. Fullycrypto

Bitcoin and other cryptocurrencies have gained a lot of traction in the past few years. Even though Bitcoin has been around since 2009, its mainstream adoption started to gather steam only during the last 3-4 years. While one side of the argument states that its notoriety due to increased usage on darknet marketplaces to be the reason, the answer may lie somewhere else.

A recent survey conducted by Facebook IQ has shown that a majority of the millennials (individuals between the age group of 18 and 34) do not have faith in the conventional banking system. The report published by the world’s leading social network states that about 95 % of millennials are not satisfied with the way banks are treating them. This is mainly due to the credit-driven economic practices where the financial institutions are more driven towards keeping the customers in debt, instead of offering sound financial guidance.

The opinion of millennials means a lot, especially when it is this strong. Millennials currently comprise of a majority of the world’s working population. According to the report, millennials who stand to inherit over $30 trillion from their parents have found financial guidance from sources other than formal financial institutions to be more reliable. Except for the 5% of the millennial population, the rest believes that the financial institutions do not understand their needs. Also, the global economic slowdown resulting from the greed and mismanagement by the financial institutions had a negative impact on many millennials during the crucial period of their life and career. Newsbtc

Don’t use email for financial transactions

Bitcoin Is not Just for the Young

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