With the rise in popularity of cryptocurrencies like Bitcoin and Ethereum, many teens are becoming interested in investing in this digital asset class. However, most traditional investing platforms have age limits, making it difficult for those under 18 to directly buy crypto. In this article, we’ll explore some ways that teens can get exposure to cryptocurrency investments despite these restrictions.
Learn about blockchain and crypto technology first
Before investing, it’s important to develop an understanding of what cryptocurrencies are and how they work. There are many free online resources like YouTube videos and articles that can provide a primer on blockchain technology and different crypto assets. Learning the fundamentals will help teens make informed investment decisions.
Ask parents to open a custodial investment account
One option is for parents to open a custodial account on their child’s behalf using services like Fidelity or Charles Schwab. This allows teens to choose investments under adult supervision. Parents could then use the funds to purchase cryptocurrency as the custodian.
Join crypto education groups and communities
There are online groups and clubs focused on youth crypto education. Participating in these communities allows teens to keep learning about the space, follow crypto news, and connect with like-minded peers. This hands-on experience can supplement classroom or independent learning.
While regulations limit investing directly, motivated teens can still learn about and gain exposure to cryptocurrency in responsible ways. Focusing on education first creates a solid foundation for future crypto participation.