Every fifth American student got into debt to invest in cryptocurrencies

Every fifth American student got into debt to invest in cryptocurrencies

In the period from March 16 to March 20, The Student Loan Report together with Pollfish conducted a survey of 1000 students from American universities who use loan funds for education. Respondents were asked only one question: have you ever used the student loan money to invest in cryptocurrency such as bitcoin? The results surprised even the organizers of the survey.

The head of The Student Loan Report drew cloud, commented on the results:

Young Americans are definitely more enthusiastic about the cryptocurrency; they are the most active investors and want some way to participate in this process. However, I was sure that the percentage will be lower. The College budget is more than limited and the extra money usually spent on rent, groceries or books.

The survey “showed that 21.2 percent of current students who use loan funds for education, used part of the loan funds for investment in cryptocurrency”. The survey was conducted over five days and every fifth Respondent answered in the affirmative to this question.

The authors of the survey claim that the debtors can invest in cryptocurrency since the end of the semester, they usually remain part of the borrowed funds. They are supposed to send these funds back to the lender. And while many do, some students spend the money on its own needs, as there is no strict control over the spending of the borrowers.

Now it turned out that every fifth borrower is spending the funds for investing in cryptocurrency. In addition, students usually undertake to begin to return the loan only upon completion of training, and not immediately, but only after six months. This is another factor that contributes to cryptocurrency investments.

Cryptocurrency is the hottest topic among investors in 2017, especially for young Americans, so it’s easy to understand why many students consider it a good investment. Many of them obviously hoped to be able to pay off their loans quickly enough, as the cryptocurrency at the end of the 2017 growing uncontrollable pace.

Unfortunately the survey lacks data about how much on average invested students in cryptocurrency, as data about which of cryptocurrencies prefer students.

Do they have options to use the balance of the borrowed funds more wisely? Mr. cloud believes that Yes. One option is a Bank Deposit. This is a much less risky investment, but at the same time, it can’t compare in impact with cryptocurrencies that in 2017 showed crazy growth.

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