Retail Investors’ Cryptocurrency Investments

Download This Paper Open PDF in Browser Add Paper to My Library Share: Permalink Using these links will ensure access to this page indefinitely Copy URL Retail Investors' Cryptocurrency Investments 32 Pages Posted: 14 Nov 2022 Last revised: 18 Nov 2022 See all articles by Vesa PursiainenVesa PursiainenUniversity of St. Gallen; Swiss Finance InstituteJan ToczynskiUniversity of Zurich Date Written: November 4, 2022 Abstract We use transaction data gathered by a large fintech firm to study retail investors' investments in cryptocurrencies. Crypto investors tend to be young, male, and have high incomes. Crypto investments are positively associated with stock investments and the use of robo-investing apps. They are also positively correlated with gambling and the use of round numbers. Crypto investors tend to live in wealthy urban areas with high levels of self-employment and low levels of volunteering. Net flows into cryptocurrencies are negatively correlated with short-term past returns but positively correlated with longer-term ones. Investors do not exhibit high market timing ability, although earlier adopters do better. Controlling for the timing of entry into crypto, women do better at market timing, while stock investors do worse. Keywords: Cryptocurrency, retail investors, market timing JEL Classification: G11, G23, G42, G51 Suggested Citation: Suggested Citation Pursiainen, Vesa and Toczynski, Jan, Retail Investors' Cryptocurrency Investments (November 4, 2022). Available at SSRN: https://ssrn.com/abstract=4268236 Vesa Pursiainen University of St. Gallen ( email ) Swiss Institute of Banking and FinanceUnterer Graben 21St.Gallen, 9000Switzerland Swiss Finance Institute ( email ) c/o University of Geneva40, Bd du Pont-d'ArveCH-1211 Geneva 4Switzerland Jan Toczynski (Contact Author) University of Zurich ( email ) Rämistrasse 71Zürich, CH-8006Switzerland Download This Paper Open PDF in Browser Do you have a job opening that you would like to promote on SSRN? Place Job Opening Paper statistics Downloads 8 Abstract Views 41 PlumX Metrics Related eJournals Behavioral & Experimental Finance eJournal Follow Behavioral & Experimental Finance eJournal Subscribe to this free journal for more curated articles on this topic FOLLOWERS 3,628 PAPERS 16,274 This Journal is curated by: Victor Ricciardi at Tennessee Tech University Cryptocurrency Research eJournal Follow Cryptocurrency Research eJournal Subscribe to this free journal for more curated articles on this topic FOLLOWERS 1,096 PAPERS 1,352 International Finance eJournal Follow International Finance eJournal Subscribe to this fee journal for more curated articles on this topic FOLLOWERS 1,007 PAPERS 25,505 Household Finance eJournal Follow Household Finance eJournal Subscribe to this fee journal for more curated articles on this topic FOLLOWERS 748 PAPERS 11,282 This Journal is curated by: Peter Tufano at Harvard Business School Financial Literacy eJournal Follow Financial Literacy eJournal Subscribe to this fee journal for more curated articles on this topic FOLLOWERS 347 PAPERS 1,381 This Journal is curated by: Annamaria Lusardi at George Washington University - Department of Accountancy Alternative Asset Investments eJournal Follow Alternative Asset Investments eJournal Subscribe to this free journal for more curated articles on this topic FOLLOWERS 254 PAPERS 492 Investments eJournal Follow Investments eJournal Subscribe to this fee journal for more curated articles on this topic FOLLOWERS 229 PAPERS 2,845 International Political Economy: Monetary Relations eJournal Follow International Political Economy: Monetary Relations eJournal Subscribe to this fee journal for more curated articles on this topic FOLLOWERS 66 PAPERS 4,112 Feedback Feedback to SSRN Feedback (required) Email (required) Submit If you need immediate assistance, call 877-SSRNHelp (877 777 6435) in the United States, or +1 212 448 2500 outside of the United States, 8:30AM to 6:00PM U.S. Eastern, Monday - Friday. Submit a Paper Section 508 Text Only Pages SSRN Quick Links SSRN Solutions Research Paper Series Conference Papers Partners in Publishing Jobs & Announcements Newsletter Sign Up SSRN Rankings Top Papers Top Authors Top Organizations About SSRN SSRN Objectives Network Directors Presidential Letter Announcements Contact us FAQs Copyright Terms and Conditions Privacy Policy We use cookies to help provide and enhance our service and tailor content. To learn more, visit Cookie Settings. This page was processed by aws-apollo-5dc in 0.215 seconds