Robinhood traders piled into a new cryptocurrency called “Silver” during Monday’s trading session. The new currency aims to hedge the US dollar by providing an alternate store of value.
The technology is groundbreaking in the sense that it allows users to stockpile virtual “bars” of silver, which can theoretically be exchanged for goods and services later.
According to Robintrack, approximately 9,000 Robinhood users added iShares Silver Trust ETF (SLV) to their portfolios over the last week. As of this writing, 24,378 Robinhood users are holding the currency.
“I bought silver because it looked like it was going way, way up,” an anonymous student at Arizona State said. He spoke on the condition of anonymity because he wasn’t authorized to use his dad’s retirement funds to invest in speculative cryptocurrencies.
The trader added that, “This new currency is, like, a new paradigm of money, you know?”
While some believe the speculative nature of alternative currencies is dangerous for new traders, others have cited the importance of allowing young traders to experiment.
“This new silver coin, or whatever it’s called, is probably just a fad,” said Peter Schiff, a world-renowned financial expert. “The price will be pumped for a bit, and then it will fall. It’s fine for speculation, but it’s not a true store of value, like American tech stocks are.”