Crypto traders are probably psychos

This won't be news to anyone unfortunate enough to match with a bitcoin bro on a dating app.

This won't be news to anyone unfortunate enough to match with a bitcoin bro on a dating app.

People with “evil” personality traits are more likely to be into cryptocurrency, new research shows. 

If you have strong Machiavellian tendencies (ie: you like a bit of game-playing and intrigue) or you're high on the scale of narcissist, psychopath and sadist traits, you're likely to be interested in crypto and buy crypto compared with those low on the scale the survey of 566 people by Queensland University of Technology (QUT) and Macquarie University showed. 

There's a clear link when it comes to Machiavellianism - characterised by deception and manipulation in relationships - the trait most strongly linked to the desire to buy cryptocurrency, fuelled by a distrust of politicians and governments.

"We looked at what was driving it. Machiavellians are more calculating, not driven by positive emotion, but cold, rational thought. They don't trust politicians so therefore they say I want an alternative investment," lead researcher, QUT Professor Brett Martin said.

“It’s not an interest driven by the product (crypto). It’s an interest driven by their negative views of politicians which means presumably an awareness of the politicians."

The average age of participants was relatively young at 31.

Narcissists, known for self-centredness and a likelihood to make risky investments, tended to like crypto due to their positive views on the future.

"They say, I'm going to get into crypto because it will work out great for me later on," Prof Martin said.

Impulsive psychopaths and sadists, on the other hand, had FOMO (Fear Of Missing Out) and that's why they liked crypto.

"They read a news story about another crypto billionaire and say 'oh man I'm missing out on that. I want to get into it'."

But Prof Martin wants to assure you that the study doesn't mean all crypto buyers exhibit "dark tetrad" traits. He and his colleagues selected these traits due to their links to online gambling and distrust of authority, which has been associated with crypto in the past. 

Full-time Australian crypto investors Josh and Jerry, who wanted to exclude their last names due to privacy concerns surrounding crypto investments, said they understood peoples' distrust in financial systems and a desire for alternative investments.

They said crypto gave young people a chance to regain the financial freedoms enjoyed by the generations before them.

"Particularly when you look at the Australian market ... if you're young, it's nearly impossible to save for a house. Crypto is financial freedom," Jerry said.

"Honestly, without crypto, Jerry and I, being under 30, would have no chance at buying a house. But at this current point, we are earning more than enough to purchase our own house," Josh, who worked in property before he got into crypto, said.

Josh and Jerry are part of the team who last week launched a global decentralised finance company called Hive Investments, a next generation non-fungible token (NFT) marketplace which launched last month.

"We know mass adoption is on the rise and the stigma associated with crypto is very much diminishing," Josh said.

Marina Wu, co-founder of online tech community Earlywork, said when she first got into crypto about five years ago, she was chasing the FOMO.

"When I first put dollars into Bitcoin back in the day it was because all my smartest friends were talking about it. They were motivated financially by it and I wanted to be a part of it," she said.

"A little part of me also thought this could really change the way we think about money."

She said the survey on "dark tetrad" traits painted a picture of "early crypto".

"From what I've seen and read, back in the day it was all about anarchy and flipping the tables on the system, and f**k the US dollar but once you get past the initial extremism, it's not just about causing chaos. A lot of people are hopeful about the future. Hopeful there's a different way people can work and manage money," Wu said.