University of Cincinnati Researchers Develop Crypto Literacy Scale to Measure Financial Knowledge of Cryptocurrencies and Highlight Need for Education and Policies
Summary:
Researchers from the University of Cincinnati have developed a Crypto Literacy Scale (CLS) to measure economic and financial knowledge of cryptocurrencies. The scale aims to bridge the gap between traditional financial literacy and crypto literacy, highlighting the need for education and policies in the cryptocurrency space. The researchers identified 10 questions to assess basic understanding and found that financial literacy plays a crucial role in preventing scams. Despite the rise in cryptocurrency investors, global crypto literacy remains relatively low.
University of Cincinnati researchers have developed a Crypto Literacy Scale (CLS) to measure economic and financial knowledge of cryptocurrencies and related technology. The researchers highlight the need for a scale and policies to support cryptocurrency education globally, as there is currently no equivalent scale to measure crypto literacy. Financial literacy plays a significant role in preventing scams and empowering individuals to make informed financial decisions. The researchers found that traditional financial literacy does not fully apply to the decentralized nature of cryptocurrencies. The team identified 10 questions to assess the basic understanding of cryptocurrencies, although the specific questions were not included in the paper. The term "financial literacy" emerged in the US in 1990, and since then, the government has implemented education standards. The number of millionaires in the US rose significantly over the past three decades, while the level of crypto literacy remains relatively low. A 2022 report indicated that 57% of US adults are financially literate in traditional finance, compared to only 4% demonstrating cryptocurrency literacy according to a non-scientific survey conducted by CryptoLiteracy.org in 2021.
Published At
8/29/2023 6:11:47 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.