In the period between 16th and 20th of March, it was a research with the teenagers from an University. The Student Loan Report in collaboration with Pollfish made a survey where the students responded if they used borrowed money for cryptocurrencies investment like Bitcoin. The result was astonishing.
University Students Buy Crypto with Financial Aid
Founder of the Student Loan Report, Drew Cloud, explained: “Younger Americans are certainly the most enthusiastic about cryptocurrency. They are the most active investors. They want to involve in the space in any way possible. However, I truly thought the percentage would be lower. As a college student, your budget is thin and that extra money could be used on rent, groceries, or books,” he told the Boston Globe.
The survey shows that 21.2 percent of college students have used additional finance for cryptocurrencies investment. For four days, the students’s response if they buy cryptocurrencies with loan money was affirmative.
The Student Loan Report asserted: “Student loan borrowers would be able to bring out such an operate because they receive their remaining student loan funds to be used on ‘living expenses.’ Sometimes, student debtors borrow more than they need for that semester of classes. .”
Another important factor is that student loan debt payments usually do not occur until after graduation, and typically six months after.
Understanding or Stupid the Loan for Cryprocurrencies Investment?
“Cryptocurrencies investment was the hottest investment of 2017,” Mr. Cloud detailed, “especially for young Americans. It is easy to understand why many students borrowers think it was a savvy way to spend their refund checks. Some seemed to be able to quickly pay off their student debt. That’s why long ago every single virtual currency was experiencing seemingly unstoppable growth.”
From the survey is missing a percentage related to students that spend financial aid for cryptocurrencies investment.
“Could they spend, or even save, this money more prudently?,” Mr. Cloud mused. “Absolutely. A perfect example would be stowing that money away in a high-yield savings account. They could later use to chip away at their student debt. But there is always the chance that there is another period of explosive growth for virtual currency. These borrowers will be laughing all the way to the bank. Or, they could just as easily lose all of that financial aid money that they just invested in Bitcoin.”