Gamified investing apps are becoming more popular — but can be risky for young investors
Gamified investing apps are becoming more popular — but can be risky for young investors
Gamified investing apps are becoming more popular — but can be risky for young investors
Marius Zoican
November, 24, 2024
Summary
Gamification is reshaping how people engage with tasks, including financial markets. During the COVID-19 pandemic, businesses embraced gamified features like instant rewards and vibrant visuals to attract and retain customers, including in trading platforms. While this engages younger, less experienced investors, it can lead to poor financial decisions due to magnified behavioral biases. Research shows gamification in trading encourages risky, casino-like behavior. Experts like Warren Buffett warn about its potential harm to investor behavior. Improving financial literacy is crucial for mitigating these risks, and AI-driven tools could help educate investors, empowering them to make informed, responsible financial decisions.
Reference
Zoican, M. (2024, November 24). Gamified investing apps are becoming more popular — but can be risky for young investors. The Conversation. https://theconversation.com/gamified-investing-apps-are-becoming-more-popular-but-can-be-risky-for-young-investors-243442