Are new generation of investors more into gambling? - page 5.

mindrust

legendary

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Quote from: bittraffic on December 12, 2021, 10:28:57 AM

Robinhood is turning the new generation into gamblers and regulators are concerned because options trading is now preferred by the newer generations over stock trading or investing. We all know options trading is not investing because with options trading you are just betting what the price will be of a company's stock.

LoL wat? Who decides that it is a gamble to buy options? If options investing is gambling, then everything is gambling. Buying stocks on spot is also gambling if you follow this same logic. Why would anybody care anyway if people want to gamble? It is their money and they can do whatever they want with it.

If trading options is gambling, so is buying stocks, so is starting your own business, so is eating outside.

When you own a company's stock, you still bet on the price of the company's stock. You want it to go higher. It is the same thing. (almost)

tbct_mt2

hero member

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You always see gamblers or degens in any market. In crypto market, you have more because it is a more volatile market that satisfies need to gamble.

But don't turn yourself to be one of them. Do your own research and be knowledgeable investor.

Crypto market can make you rich if you can hold Bitcoin. I emphasize, hold Bitcoin and if you want to do investment in altcoins. Ethereum and BNB are my choices.

jackg

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https://bit.ly/387FXHi lightning theory

Weren't casinos shut last year? And wallstreetbets rose up in popularity a bit (and there were probably a few other communities too that did).

I'm not sure if options also includes just using leverage too - that's the extent we have it too over here anyway.

If it's just trading with leverage, blind picks might not make you lose too much either (if you long something that normally goes up over time and don't have many fees to pay then)...

Lucius

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I can agree that the vast majority of them actually gamble with their money, because while we all know that crypto trading is very risky, and all these additional options raise the whole thing to an even higher level of risk. The possible profit is simply irresistible with a relatively small investment, and with all these stories that cryptocurrencies are some kind of magic money that makes you a millionaire overnight, I'm not surprised that younger generations see it as a great opportunity.

Consequently, there are understandable concerns from the relevant government agencies and the government of a particular country, because some people become addicted to such things and lose virtually everything they have and then becomes a problem for society. I am for everyone to be responsible for their actions and their money, but people who lose money in this way should take full responsibility for it and become aware of their actions.

bittraffic

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#SWGT PRE-SALE IS LIVE

Quote

Around 39 million options contracts have changed hands on an average day this year, up 35% from last year and the highest level ever, according to Options Clearing Corp. data as of the end of November. Retail traders recently made up around one-quarter of all options activity.

A quote from the article Investors Are Using Robinhood, Other Platforms to Jump Into Options Trades, Worrying U.S. Regulators

Robinhood is turning the new generation into gamblers and regulators are concerned because options trading is now preferred by the newer generations over stock trading or investing. We all know options trading is not investing because with options trading you are just betting what the price will be of a company's stock.

Regulators worry is that companies like Robinhood and Ameritrade easily approve users to gain access to options which makes the surge of these new gamblers. Retail investors are also enticed to join this frenzy because leverage is quite high while zero transaction fees.

Robinhood also offers crypto trading so I wonder if Bitcoin Futures & Options are also the most preferred today by the new generations of traders than on the spot market?

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