The new financial era has begun and celebrities have led the way in the acceptance of crypto. Some celebrities are fascinated by block chain and virtual currencies, which only adds to their appeal to the average person. People’s confidence in the crypto space has increased. Therefore, it is becoming increasingly popular as a speculative investment choice.
According to market researchers and specialists, the growth of its trajectory will be unprecedented in the coming years. Celebrities, especially in the United States, had a great influence on their followers. At present, these celebrities have made most of their fans invest money in different areas of the crypto space.
Why are celebrities obsessed with the crypto industry?
Cryptocurrencies have evolved into something that meets almost all of our requirements through the use of advanced technology. Celebrities recognized the benefits and started a fashion around it. Here are some key reasons why cryptocurrencies have become popular among our favorite celebrities.
The power of social media has been essential in the world of crypto. Social media celebrities have used their platforms to boost cryptocurrency around the world. The basic idea of Blockchain technology establishes a connection for most citizens of the world who have been dissatisfied with conventional financial systems.
On the other hand, social media platforms have become sites where celebrities can reach more of their fan base. Moreover, it creates a deceptive identity: that of being a renowned celebrity and an active investor in the financial market. Celebrities who make informed decisions on social media, like musicians and actors, have a long-term influence on investors.
The majority of crypto investors follow the high risk and high investment model. Despite their inherent volatility, tumultuous markets offer excellent returns. The extreme trend is something that triggers an adrenaline rush in people and makes it very appealing to millennials.
One of the reasons celebrities take such a deep interest in the crypto space is because they are in control of their money, as they are not subject to central government or regulatory oversight. The blockchain network handles all issuance and transaction processing through smart contracts between the two parties.
Market mechanisms are not subject to any form of government intervention. They are entirely demand- and supply-driven, without any possibility of third-party intervention. Another desired aspect of the system is that the non-involvement of a third party in the transaction increases the speed at which money moves from one source to another.
The COVID-19 outbreak has given the online financial network a one-of-a-kind opportunity, making digital currency the world’s most popular means of payment. According to financial experts, the global demand for digital currencies and gold has increased significantly in response to the economic crisis.
An increase in demands for the influx of money through cryptocurrencies has occurred as a result of this. In other words, the financial worry and panic of the outbreak had fostered an interest in cryptocurrencies. among celebrities.
Celebrities are pushing crypto adoption, but at what cost?
Social media influence is expected to grow across all verticals due to the current situation. As more and more investors use blockchain and virtual assets, the number of investors investing their money through these methods is growing.
Various factors have influenced the rise of cryptocurrency in the financial world. Moreover, as technology advances, it will get the boost it needs to become the preferred and desired way to handle money in the years to come.
On the other hand, the influence of celebrities in the cryptocurrency market has not been so great. A few months ago, the idea of buying and selling non-fungible tokens (NFTs) to acquire and sell crypto art seemed absurd, but internet trends seem to be moving at a higher speed.
Celebrities like Paris Hilton, Snoop Dog, Mila Kunis, Matt Damon, and Eminem have helped increase crypto adoption rates around the world. The list goes on (and goes on), and the answer is obvious in some ways. Celebrity endorsement deals usually include a hefty salary for the celebrity.
The problem is that these celebrities have a lot of money to invest and are willing to take big bets. Their followers, not so much. In an area that is currently largely unguarded, this has caused massive losses for investors. This, by the way, is why stars are allowed to make crypto endorsements in the first place.
A traditional financial institution like a bank would not be able to hire a famous actor/actress to promote a risky program, as they are legally bound to act in the best interests of their customers.
In theory, cryptocurrency should provide a fantastic platform for individuals previously overlooked by traditional banks. In other words, it is definitely doable. Simultaneously, recent years have seen these same people endure disproportionate economic suffering.
If so, the crypto market is an exciting get-rich-quick sector and break free from financial constraints. However, like other traditional markets, it has been cheated by frauds and pyramid scams. These celebrities deliberately excluded part of the crypto industry from their pre-planned marketing campaigns.