Investor Perceptions of Cryptocurrency: A Study as an Alternative Investment Instrument
DOI:
https://doi.org/10.31305/trjtm2023.v03.n02.006Keywords:
Cryptocurrency, Indian investors, how investors see it, technology-driven optimism, risk tolerance, regulatory protectionsAbstract
Cryptocurrency has quickly become important in the global financial scene, and it is also becoming more popular with Indian investors. But because it is quite volatile, the government doesn't seem to be clear on how to regulate it, and it is hazardous, investors still have mixed feelings about it. This study examines the perception of cryptocurrency among Indian investors from this standpoint. The research indicated that investors' perceptions are predominantly influenced by technology-driven optimism, anticipations of substantial returns, insufficient regulatory and institutional safeguards, and individual risk tolerance. Young investors who are good with technology are more hopeful because of new technologies and the chance to make money. Older investors who aren't as good with technology are still wary because of market volatility and security issues. Additionally, global and local occurrences, including the exchange collapses of FTX and Mt. Gox, have impacted Indian investors' skepticism and prudent dispositions. The research indicates that investor perceptions extend beyond mere economic advantages to encompass psychological, social, and behavioral aspects. This study seeks to comprehend the influence of investor views, their risk tolerance, and regulatory safeguards in evaluating the behavioral inclinations of Indian investors and their prospective acceptance of cryptocurrencies.
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