Why Generation Z is betting on Crypto Assets, sports betting, and speculative markets: the current paths of people can no longer be walked.

In the past world, hard work, education, and stable jobs were reliable ladders to the middle class. However, for today's Generation Z and millennials, this path is rapidly collapsing: soaring student debt, stagnant wages, shrinking job opportunities, and housing prices far exceeding income have turned “climbing up step by step” into a lie that can no longer deceive young people.

As a result, young people are turning their attention to high-risk markets such as cryptocurrencies, prediction markets, and sports betting, adapting to a generation of “Financial Nihilism (Financial Nihilism).”

The invalid success formula: hard work can no longer guarantee a future in life.

The WSJ reports that post-war America once created a predictable life script: go to college, find a stable job, buy a house and start a family, and allow for upward social mobility; however, this model is now completely collapsing.

First, student loans have soared from $345 billion in 2004 to $1.6 trillion in 2024; at the same time, wage growth has stagnated for years, with the wage premium for college degrees dropping from 80% to 75%. Entry-level jobs have decreased due to automation and cost pressures, with only 30% of 2025 graduates able to find jobs in related fields.

For young people, the traditional path no longer leads to stability, and only a narrowing gap remains.

The Unaffordable Future: Housing Market, Salaries, and Debt Forming Generational Shackles

Compared to the previous generation of parents, the pace of life for contemporary young people seems to have slowed down significantly. For example, nearly 40% of baby boomers and Generation X had already bought a house by the age of 27, while in 2024, only 32% of 27-year-olds own property.

The income-to-housing price ratio has doubled compared to the 80s and 90s, making it an impossible task to even raise the funds for purchasing a house.

These pressures are interwoven like a chain, from student loan debt crushing finances, the difficulty of accumulating assets with a low starting salary after entering the workforce, to housing prices always staying ahead. As a result, an entire generation naturally develops a sense of distrust towards the economic system.

(Housing prices soar, Zohran Mamdani elected as Mayor of New York City, Peter Thiel analyzes why millennials are crazy about socialism? )

High risk becomes one of the options: Why are cryptocurrencies and gaming platforms attractive to Generation Z?

When traditional paths no longer offer upward possibilities, young people turn to markets with more opportunities for a turnaround.

A survey by the cryptocurrency exchange Gemini shows that nearly half of Gen Z investors hold cryptocurrency, which even accounts for a quarter of their investment portfolio; 30% of adults aged 18 to 34 use online sports betting platforms, with one-third placing bets more than three times a week.

These actions are not blind, but rather imaginable choices: when a 20% rise in the stock market over an entire year fails to improve life, a meme coin with a daily increase of 1,000% appears “worth a shot”. In other words, the essence of financial nihilism is not the pursuit of excitement, but rather a reaction to the failure of the system.

(The Baby Boomer Generation Steps Down, Digital Tycoons Emerge: How is the Young Generation Driving the Rise of the “Bitcoin Dynasty”?)

The generational anxiety behind the bets: Is Gen Z seeking excitement or an outlet?

Many people label young people as “playful.” However, a survey by the Pew Research Center shows that 41% of respondents aged 18 to 29 believe that sports betting is a bad thing, indicating that this increasing trend in behavior is not driven by hedonism or a quest for excitement, but rather by necessity.

With Reddit and Discord becoming new digital public spaces, people are establishing community identity through investment, betting, and sharing market fluctuations.

Rather than saying that the values or attitudes of this generation are hasty, it is more accurate to say that they are a reaction to the economic environment they find themselves in. When people start to view the economy as a game, it signifies that traditional ways of winning are no longer effective.

This article explores why Generation Z is betting on cryptocurrencies, sports betting, and speculative markets as the paths of previous generations are no longer viable. Originally appeared on Chain News ABMedia.