Crypto-therapy? Cryptocurrency leading to many youngsters seeking counselling

The recent crypto boom can be a slippery slope, a Chembur couple and their 17-year-old son learned the hard way. They recently sought counselling after suffering a huge loss in digital currency trading. Psychiatrists report a surge in the number of youngsters, involved in the volatile trade, visiting them. The boy managed to earn Rs 1 lakh a month initially, but the dream run didn't last long. He suffered massive losses leading to his parents getting upset with him.

While the government is finding ways to regulate cryptocurrencies, Bitcoin being the most popular, market, which has been a rage, psychiatrists say it is the teenagers' involvement that should ring an alarm bell as they along with parents are getting affected considering that the uncertainties tied to cryptos are way too high.

Dr Avinash De Sousa, the president of Bombay Psychiatric Society, who treated the teenager, said an increasing number of people are investing in crypto thinking it is easy money. "The fluctuations in cryptocurrencies are triggering anxiety in many people. Among them are teenagers who are taking money from their parents investing in it," he said.

Dr De Sousa said people who don't have experience even in the stock market are seen investing huge money because of peer pressure. "Everyone wants to earn more in less time. We have seen few teenagers who have taken money from parents to invest in it as it is easy money," he said. Psychologist Pragya Lodha who last week saw two people with anxiety triggered by crypto said she is observing disturbed sleep patterns, preoccupation with negative thoughts and fear among these patients.

The govt is exploring ways to regulate the volatile crypto industry

"They are constantly worried about the money they have lost in cryptocurrencies. One of my patients, a 26-year-old woman, kept repeating how she could have invested in something safer. People who have lost this investment are facing fear in re-investment," she said.

Impact to worsen in future

Priya Dey, a psychologist, said it is a new phenomenon whose effects will be seen more in the coming days. Giving the example of a 22-year-old engineering graduate she recently counselled, Dey said, "This western suburb resident, from a well-to-do background, living with his parents, got pulled into the cryptocurrency trading through his positive experience in equity trading during the pandemic. What started as small, where he was determined to utilise only his profits from equity trading to experience the cryptocurrency market, spiralled out of control," she said.

Dey added that the volatility of crypto trading coupled with adrenaline rushes caused a dent in his mental faculties. "Unlike in equity trading, where the horizons of investment are longer, cryptocurrency trading was a minute-by-minute roller coaster ride for this 22-year-old. More often than not, he would find himself awake at nights checking on the trading values. The end outcome, he not just lost all his gains made in equity trading, most of his savings too got washed away," she said.

Dey said she is getting two to three cases of anxiety related to loss in cryptocurrency but there can be more. "There are more there but it is not necessary that everyone will walk in for therapy or treatment as the phenomenon is relatively new. People may not realise the need for therapy or treatment," she said. Dey said she finds an addiction pattern in such patients as they constantly want to keep checking the rates. "It is a high risk-high reward nature trade that's affecting people."

Dr Milan Balakrishnan, a psychiatrist at Masina Hospital, said any form of uncertainty is bound to trigger distress and anxiety. "People who are dealing and investing in cryptocurrencies are constantly checking the rates. The cycles of fluctuation are extreme which triggers anxiety and distress," he explained.

Exercise caution

Dr Kersi Chavda, a consultant at P D Hinduja Hospital, said while cryptocurrencies are here to stay, people have to be mindful while investing their money. "People are still anxious as the legality is still an issue. Cryptocurrency is going to stay. The government is trying to regulate it. Teenagers are making a huge amount of money like a lakh or two in a month which is very frightening in its own way as we don't know how long this boom is going to last. Youngsters getting used to such instant money will get affected when there is a huge loss. We have to be careful and limit the amount of investing."

10 crore
Estimated no. of crypto owners in India