A new survey finds that a strikingly large proportion of private cryptocurrency investors are following the advice of a celebrity for their crypto investments. According to a survey of 2,200 American adults from Morning Consult:
Kim Kardashian, Cryptocurrency and Celebrity Clout https://t.co/zdM2OdMkQA through @CharPrincipato pic.twitter.com/VqIdB2s85j
— Morning Consult (@MorningConsult) September 21, 2021
According to the research, as many as 45% of crypto investors would invest in a particular crypto like bitcoin (BTC) or ethereum (ETH) if a celebrity recommends it. That’s more than double (20%) among general investors.
In addition, 53% of crypto investors follow the advice of a journalist from a corporate publication, compared to 27% of regular investors. 76% of crypto owners follow the advice of family or a friend, compared to 49%. 81% follow the advice of a financial advisor compared to 57% of the average investor.
“While crypto owners are more likely than the average investor to turn to celebrities for crypto advice, those who own crypto give more value to what a traditional financial advisor would recommend.”
According to the research. In addition, the publication reports that crypto investors are also quicker to seek advice on social media and on trading apps. This concerns 29% of crypto investors versus 21% of general investors:
“Crypto owners tend to be younger and younger investors are more likely to say that social media has influenced their financial decisions. Investment leaders will need to remember that while financial advisors are still a trusted source of advice, they compete with more sources of information for crypto investors.”
Ethereum Max (EMAX) and Kim Kardashian
Furthermore, the survey reports that 31% of crypto investors saw Kim Kardashian’s post on Instagram about Ethereum Max (EMAX). No less than 19% of these followed her advice and invested in EMAX. At the end of May, the EMAX price shot up from $0.00000000298 to $0.000000597636, an unprecedented increase of 200,000% in one day. Subsequently, however, the EMAX price plummeted again by 97%.
Ethereum Max was a totally unremarkable new crypto. There was no white paper available, the team was anonymous and the website was full of spelling mistakes. Normally signals to stay away from it. However, these types of celebrities apparently have no trouble doing paid promotions. Floyd Mayweather also participated again and he already received a hefty fine from the US Securities and Exchange Commission (SEC) for such a promotion.
Roughly 1 in 5 Americans heard about @KimKardashian‘s Instagram post promoting the cryptocurrency Ethereum Max. https://t.co/zdM2OdMkQA pic.twitter.com/vB2dHeanJS
— Morning Consult (@MorningConsult) September 21, 2021