Bitget Report: Half of Cryptocurrency Copy Traders Are Gen Z
According to Bitget, Generation Z or Gen Z crypto users are more likely to participate in social or copy trading, a type of investment strategy that involves following the trades of experienced traders.
The popular crypto exchange released a report on Tuesday that revealed 51% of copy traders on its platform were below the age of 25. Copy traders between the ages of 25 and 35 accounted for 41%, while those aged 36 and above were only 8% of the total.
Although it’s growing in popularity now, copy trading is not a new concept. It was introduced by stock brokerage firms, such as eToro, over a decade ago. Today, Bitget and other top crypto exchanges like Binance, MEXC, BingX, and Bybit offer copy trading services.
Why Copy Trading is Popular Among Gen Z
In its report, Bitget said copy trading was popular among Gen Z because of their heavy reliance on social media influencers for financial and investment advice. That couldn’t be far from the truth, considering that Forbes Advisor’s January survey showed that 85% of Gen Z have been taking investment advice from popular social media platforms, with Reddit and YouTube being the most trusted sources.
Gen Z Prefer Crypto Investments, Research Shows
Cryptocurrencies were found to be the most popular financial assets for Gen Z following research conducted in January by the Financial Industry Regulatory Authority Foundation in collaboration with the CFA institute. The study revealed that 44% of Gen Z investors in the United States and 43% in the United Kingdom preferred starting with a cryptocurrency investment.
Meanwhile, Bitget’s latest report suggests that most crypto copy traders live in Western Europe. East Asia and Latin America take the second and third positions, respectively. Despite accounting for only 1.2% of Bitget’s copy traders tally, 70% of African crypto users have shown interest in participating in copy trading.
Bitget’s Copy Trading Service
Bitget offers its copy trading service in two markets: spot and futures. While the service is free, traders who allow others to copy their trading strategies charge a fee on every closed profitable trade.