- A major Australian regulator found that over one in four Gen Z investors now hold cryptocurrency, often influenced by social media.
- ASIC discovered that 63% of young Australian investors use social media for financial information, with 52% trusting “finfluencers.”
- The watchdog is closely monitoring AI tools providing financial advice and has warned that unregulated recommendations are unlawful.
Australia’s Securities and Investments Commission (ASIC) released a study this month urging young investors to independently verify financial advice sourced from social media and Artificial Intelligence, according to the agency. Consequently, the survey of 1,127 Gen Z respondents found that 23% own crypto and 29% of those trade based on influencer content.
However, the regulator cautions that these sources can set unrealistic expectations about returns and market volatility. “We’re conscious that there’s a lot of marketing activity on social media to encourage crypto investment, and our work has shown some that is actually encouraging people to invest in scams,” ASIC commissioner Alan Kirkland told the Australian Financial Review.
Meanwhile, the study revealed that 64% of young people find AI platforms trustworthy for financial guidance. Kirkland noted that ASIC is “watching very closely” how AI tools are used for financial information, adding that any entity giving personal advice must be licensed under Australian law. He flagged this concern as a top priority for the regulator in 2026 alongside crypto payment licensing.
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