Crypto: How to Explain it to Your Parents

Over the past few years and since I have started using cryptocurrencies, I have had a lot of friends, family, and acquaintances ask me about them every time they learn that I know more than the average person about them. My own parents were interested at some point and through my guidance, they managed to invest small amounts. Explaining it to older people might be a bit harder than explaining it to someone roughly your own age but it can be more rewarding in the end. Why? Well, older people are the ones with the money, of course. Young people might be more receptive to the idea of crypto but a lot of them can't afford to invest.

However, there are some things you must do (and a lot you must not do) when explaining crypto to your parents and older people in general:

a) Your parents are not dumb.

Some might be technologically challenged because when the 90s and 2000s rolled around, they thought computers were a "trend" and they wouldn't take over their lives. Consequently, they didn't make it point to familiarize themselves with them until it was too late, and now learning about anything technologically related sounds like an insurmountable task. It is not, though. Coming into daily contact with technology is key to helping older people to be more comfortable using it. Do not mock them for their technological ineptitude, help them become more experienced with it instead.

b) Cryptocurrencies are an extension of the technology your parents do not understand.

So, what do you do? Obviously, you DO NOT try to get technical with them. Your parents either want to know why you spend so much time on crypto or talking about crypto (probably making sure crypto is not some secret internet cult) or they want to invest in crypto themselves. Explaining what crypto is doesn't have to get too technical. Use examples, your parents already know what a normal currency is, cryptocurrency is not such a big leap. Your parents know what an investment is. They know about gold, stocks, bonds, probably futures. They possibly have PayPal and an e-banking system. Check out Wikipedia's link on cryptocurrency for a definition if you expect to receive questions about it that you don't know the answers to.

c) Don't lie to your parents (seriously, don't do it).

Do not try to make cryptocurrencies more appealing to them, they are, after all, a possible investment and a risky one at that, especially when you think of how many scam crypto coins there are out there. Do not push them to invest because it is their money after all and if they put all their retirement money and something happens and they lose it, they are not young enough to make it from scratch. Make sure they understand the risks and that crypto is not a bank with a steady investment plan. And, finally, if you are worried about a coin that your parents want to invest in, warn them against it. It is still their decision to make and they are adults but you have to voice your concerns.

d) Don't be offended if your parents are not interested in crypto.

Maybe you spend a lot of time on crypto and you want your parents to like it. But if they don't, it is not a big deal and you cannot force them into being interested in it. It is not worth fighting with your family over it. And you certainly won't create a good impression about crypto if you become an aggressive supporter of it (seriously, I have seen people do this, it is a huge turn off for people who have nothing to do with crypto).

In conclusion, there are ways to inform your parents about what cryptocurrencies are but you have to be patient in explaining it, you have to guide them through it, make sure they understand the risks, and know when to back off if they end up not caring about it.