This study conducted a qualitative exploratory study of online discussion from the popular forum subreddit r/cryptocurrency.
Data Collection
To compile our dataset, we scraped threads from the subreddit r/cryptocurrency using the Python API Wrapper [10]. We collected 1,315 threads containing 35,000 comments posted between January 3rd to February 4th, 2022, a period when the cryptocurrency market capitalization fell by 25%.
This study received ethics exemption from the University of Queensland as it did not include human participants and used publicly available data. All information was accessed via the Reddit API (https://www.reddit.com/dev/api/), and no personal information from the forum participants was collected. The data collected was non-identifiable and from public domain.
Data Screening
As r/cryptocurrency posts are on a broad range of topics, we developed a list of keywords to filter for relevant discussions. This keyword list contained terms related to psychological wellbeing, mental health or gambling and can be seen in Appendix A. We filtered 1,315 threads for keywords in either the post title or body text. This left us with 225 threads, which we reduced to 201 after removing threads that were deleted or contained no replies. After removing duplicates, our dataset contained 194 threads.
Titles and body text were then screened for relevance. We included text posts that were related to mental health, psychological well-being and gambling. Threads discussing addiction, risky financing and subjective experiences during the downturn were also included. We excluded threads on market analysis, threads seeking technical support for software/apps, or news stories. Comments under these threads were collected. For highly replied threads, we only collected the top 100 comments as sorted by ‘Best’. This formed our final dataset of 130 threads with 7,635 replies. The full screening process can be seen in Fig. 1.
Data Analysis
We conducted a qualitative analysis to generate themes present in user discussion. This process was informed by the thematic analysis frameworks outlined by Clarke & Braun [11] and recommendations from McKenna and colleagues [12].
The initial stages of the analysis were conducted by a single reviewer (B.J.). First, the reviewer read through the entire dataset, recording any notes or observations. These posts were read in conjunction with the comments to provide appropriate context. After familiarising themselves with the dataset, the reviewer developed a comprehensive list of thematic codes based on recurring content in the posts and comments. These codes were sorted into thematic categories based on their overarching themes. Collaboratively with a second researcher (D.S.), these preliminary themes were discussed and reviewed to ensure they accurately reflected the dataset. In this stage, themes were collapsed into subthemes and separated to ensure they were distinct. The themes were then named and defined. To gain a rough idea of frequency, we coded the threads into themes and subthemes based on what the post content and replies best aligned with. In this process, we also extracted representative examples for each theme.
Findings
Our thematic analysis produced three themes. These were separated into sub-themes and are detailed in Table 1.
Findings
Table 1. Summary of qualitative themes based on subreddit discussion content
Theme (Number of threads related to theme)
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Description
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Sub-theme (Number of threads related to subtheme)
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Recurring Codes
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Emotional state and mental health (n = 73)
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Discussion describing users well-being, mental health and moods as well as their emotional responses to the current or previous downturns in the cryptocurrency market.
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Negative sentiment (n = 18)
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-Emotional distress over recent downturns
-Lamenting on economic losses or not selling earlier
-Negative impacts on other parts of life.
-No money to buy crash
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Positive sentiment (n = 23)
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-Glee over discounted prices
-Expressions of conviction
-Personal intentions to buy
-Encouragements to buy the dip and stay convicted
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Lack of emotional reaction (n = 32)
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-Current or past reports of numbness due to shock
-Desensitization to market fluctuations
-Desensitization to economic loss or gain
-Unfazed due to long-term conviction in cryptocurrency
-Unfazed due to responsible investment
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Strategies for coping (n = 26)
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Discussion on coping strategies for combating mental distress caused by market performance or trading urges.
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Reduce distress (n = 19)
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-Limit or eliminate price-checking
-Be active or go outside
-Focus on life outside of cryptocurrency
-Mental health break from trading
-Responsible investment & take profits
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Combat Trading Urges (n = 7)
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-Exercise
-Put timed lock on apps
-Use separate wallet for risky trading
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Likeness to gambling (n = 31)
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User discussion about cryptocurrency’s relationship to gambling based on its fixating properties and risk profile.
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Fixation or addiction (n = 9)
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-Awareness posts about gambling addiction
-Warnings to people with addictive personalities
-Anecdotes of fixation or feeling rush like gambling
-Self-identification as gambler
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Risk perceptions of cryptocurrency trading (n = 22)
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-Cryptocurrency is a big casino
-Life in general is a gamble
-Cryptocurrency is gambling if you day-trade or use leverage
-Cryptocurrency is gambling without proper knowledge and research
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Emotional State and Mental Health
In over half of the threads the main topic of discussion was users’ emotional response to the market downturn (73/130, 56%). In one quarter of threads, users expressed mainly negative sentiment (18/73, 25%). Many users expressed emotional distress over the recent downturns:
“Unfortunately many of us are suffering from this lately because of this huge crash. Makes us miserable, upset, sad...all the negative emotions that drain us.”; "I barely slept last few days and I am literally sweating due to anxiety”
A few users reflected on their change in mood and how it impacted other aspects of their life:
“On weeks like this, where everything seems to be in a downward trend, I find my mood following suit. It can affect my productivity at work, and my relationships."
Some lamented their economic losses or expressed regret at not selling earlier:
Almost down 100k (close to 2x my yearly salary) from a peak of 150k, not gonna sell now. I hate myself for not seiling [sic] at the peak but now it's to late.”
However, users varied considerably in their feelings over the market conditions, with one third of the threads containing mostly positive sentiments (23/73, 31%). Many users expressed delight they could accumulate at lower prices:
“While people are screaming and crying, I'm smiling and buying” ; “I feel like a kid in a candy store with all these discounts, can’t decide what to FOMO in though”.
Some users hoped that the downturn would continue to allow them more time to buy. Many of these users encouraged others to buy the dip, often referencing previously missed opportunities:
"Believe me - the pain of experiencing losses now is minor compared to the regret of looking at what you could have had if you just held on through the crash.” ; “If you sell for money you will 100% regret it in the near future."
Most commonly, however, sentiment was neutral, with users frequently reporting a lack of emotional response to the market downturn (32/73, 44%). Users often attributed this to their experience with the dramatic volatility of the cryptocurrency market. One user reported a noticeable difference in their emotional response from the previous market downturn:
"Ever since last May when I experienced shock I don’t think a single dip has caused me to truly panic. Last May was one of the few times in my life I have ever felt so numb to the world due to shock. It’s only money but watching it feel like it was worth nothing and disappearing was insane”.
Many users reported feeling desensitized to economic loss. One user reported feeling desensitized to economic gain as well:
“I more than doubled in the past 72 hours and am sitting here waiting to feel something. Objectively I recognize how fortunate I am to be in this position, but the emotion, joy, sorrow, fear is gone… I’m genuinely wondering if the addiction wore off or if I just broke the dopamine button in my brain.”
However, this concern wasn’t mirrored by other users who saw their own lack of emotional response as beneficial for remaining objective:
“When you become emotionless about losing money you are half way to get rich.”
Some users reported feeling unbothered by the volatility due to their long-term conviction in cryptocurrency overall:
“I honestly couldn’t care about this dip cause I am bullish in crypto for the long term. It was never my intention to cash out in the short term.”
These users frequently expressed confidence in their own investments, due to belief in the fundamentals of the project. Similarly, some users described feeling relaxed due to taking out their initial investment and not investing more than they felt able to lose.
Strategies for Coping
In many posts, users provided shared recommendations for dealing with problems associated with cryptocurrency trading (26/130, 20%). Whilst, these were mainly posted as independent threads, some were in reply to distressed users. These recommendations were typically well-received, with some users expressing their appreciation for the advice and support of other users on the subreddit. These coping strategies were predominately to help deal with the emotional distress caused by the market crash (19/26, 73%). Advice frequently pertained to reducing the time spent checking coin prices and the value of your portfolio. To reduce checking, users shared strategies that worked for them, such as putting a timed lock on their applications or uninstalling them to limit or remove access. Users regularly encouraged others to be active outdoors to reduce screen time overall and emphasised the importance of engaging with activities unrelated from cryptocurrency:
“Get out into nature, if you can, get away from technology for a minute, see how everything is connected in the most perfect and beautiful way.” ; My suggestion would be to get additional hobbies an interests. I am EXACTLY like you, so I split my obsessive attention between investing, my job, my family, gaming and fishing.”
Some users encouraged profit taking when possible, in order to reduce stress. A few users encouraged others to sell when down in their investment if it meant improvements to their mental health:
“If the current dip has you feeling worried or anxious then you've invested too much into crypto. Sell some of it to put your mind at ease”.
Whilst, these suggestions were generally well received, they were occasionally met with hostility:
“Advising people to sell in red, I see. If you are thinking of selling in red, then you deserve all that emotional distress”.
Users also shared strategies they used to combat gambling urges (7/26, 27%). These strategies were similar to ones for protecting mental health. Users commonly suggested to limit time exposed to cryptocurrency by putting timed-locks on trading and chart-checking apps. Additionally, heavy emphasis was placed on exercise and active living. One user wrote:
“I try to follow this advice myself when I am craving a rush- I’ll try to do at least 30 minutes of cardio before making a trade… While it’s not a dopamine hit, the endorphins help me clear my mind and reflect on if I’m making a good decision or FOMOing.”
Another strategy was using a separate cryptocurrency wallet, used exclusively for risky trading:
“As a former addict I completely agree either you. I had to create a separate trading wallet just so I could trade without risking my whole portfolio” ; “I have that gambling fund to scratch the itch that says "hey maybe you can get in on this too!" while the boring as fuck investments mean I don't lose the house.”
Likeness to Gambling
In numerous threads users discussed cryptocurrency’s relationship to gambling (31/130, 24%). Most of these threads compared cryptocurrency investing or trading to gambling based on its risk profile (22/31, 71%). Users varied considerably on what their criteria for gambling was. Some users believed it depended on the quality of the projects invested or the time-horizon of investment. Others believed it depended on the investment behaviour, with some users considering it gambling only if you were day-trading or trading with borrowed money. However, many users considered all forms of cryptocurrency investment gambling:
“’It’s all a gamble. Every single crypto ‘investment’ is a gamble, not matter if it’s shitcoins or altcoins or Bitcoin, or whatever”; “It is still a gamble, even with research. Anything can happen”
Others disagreed with this logic, noting that all activities involve risk:
“with that thinking, you can say driving is a gambling , you gample [sic] on reaching a destination faster, you gamble that other drivers on the road don't mess up, you gamble that your car won't break down and by that living itself becomes gambling.”
Some users felt others held this mindset due to their investment approach or lack of knowledge:
“most people see crypto like gambling and they don’t treat it as an investment! To try their luck, they might as well buy lottery tickets…they need to start treating crypto as a serious investment and have an investment plan and an investor mindset” ; “Anyone who says crypto is a gamble should read a book on finance and maybe get some online economy classes because in no way it can be compared to betting or a casino.”
Some threads discussed cryptocurrency in relation to gambling in terms of a potentially addictive behaviour (9/31, 29%). A large portion of these were awareness posts which warned of the potential damages addiction can cause and encouraged seeking help if needed:
“Gambling addiction is a huge problem, and has led to the financial ruin of so many families. Crypto addiction works the same way, if you feel like you are at risk, reach out for help before it's too late." ; In these uncertain times the danger of developing full gambling addiction is bigger than ever. Please check yourself."
Caution was especially advised for people with addictive personalities or with previous addiction problems. This was extended to people who felt strong impulses to buy and sell cryptocurrencies after dramatic market movements. In these threads, users would often share their experience with cryptocurrency and their increasing attention to it and described how their fixation adversely impacted them:
“Since i started with investing into crypto currencies, i find that more and more my thoughts turn around it. I check my portfolio like 25 times per day” ; ”It was such a stressful period of my life. I felt like I was going to have a heart attack. Tried a lot of times to stop looking the charts, but I couldn’t. Became an obsession, a very unhealthy one.”
Some users discussed the addictive properties of cryptocurrency with some comparing the rush to gambling:
“I think it's the rush of seeing your value go up...or down. I used to check a lot more” ; “Does anyone else get that dangerous "rush" like they would gambling?”
These threads contained mainly positive content, with some users expressing appreciation for these posts and advocating for further awareness. One user wrote:
“This is not nearlyyy [nearly] scratching the surface of how much this should be talked about. There should even be a “self care” part in this sub… It’s, all jokes aside, tragic that we don’t have enough awareness that this can turn into a gambling addiction in a blink.”