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A couple years back, the internet went crazy talking about something called crypto and NFTs. All people were talking about was Bitcoin, Ethereum, and these weird cartoon images that people were somehow selling for thousands, sometimes millions, of dollars.
If you’re like everybody else, it sort of seems cool at first. Like, wait… you can get rich off memes? Off possessing some weird code on the web?
But here’s the thing: there’s more to it. And to be honest, most of the hype? It’s not exactly for individuals our age — or even individuals who wish to keep their money safe.
Let’s take a little deeper dive into what NFTs and crypto are, what the dangers are, and why perhaps it’s better to just stay on the sidelines (at least for the time being).
What Even Is Crypto?
Crypto, or cryptocurrency, is a type of digital money that does not depend on a government or bank. The most famous ones are Bitcoin and Ethereum, but there are more than one thousand others.
Unlike regular money, crypto exists on something known as a blockchain, which is basically an ultra-safe webnotebook that records every transaction.
It’s intended to be safe, anonymous, and un-fakable. And because there’s no bank or government to manage it, some people love it for being “free” or “decentralized.”
And What Are NFTs?
NFT stands for Non-Fungible Token. That’s a super clumsy way of saying: “a digital thing that’s unique and can’t be duplicated in the same way.”
NFTs have been created from:
- Art
- Music
- Tweets
- GIFs
- Game items
Suppose someone creates a pixelated ape and makes an NFT out of it. That NFT is something of a digital signature or autograph that states, “You own this original.” Sure, anyone can screen capture it, but only one individual has the actual token.
The idea was that NFTs would enable one to sell digital art just like paintings in the real world get auctioned. And for a while, they were truly popular. People were making and selling crypto and NFTs and speaking as though they were going to be rich.
But now?
These days the hype is dying off, and lots of people have lost tremendous amounts of money.
The Problem With Crypto & NFTs
Let’s get real: crypto and NFTs sound like it’s futuristic. But that doesn’t always equal safety.
Here’s why you probably shouldn’t invest in them yet, especially if you’re young or a teenager.
1. No Real Safety Net
If you bank, your money is protected. Like in the U.S., your money is insured up to $250,000 by the FDIC. If the bank somehow manages to lose your money, you’re still fine.
But with crypto?
If you get scammed, forget your password, or the exchange gets hacked… your money is gone. Poof. Forever.
And it happens more than you’d realize. Billions of dollars have been stolen because of hacks and scams within the cryptocurrency world. It’s the Wild West out there.
2. Massive Price Fluctuations
It’s one day trading at $40,000. One week later? It dips to $25,000.
That’s volatility, and crypto is extremely volatile. Up and down, like a rollercoaster. Millions made, yes, but others have lost everything.
And NFTs? Worse. Some sold for $300,000… and now are worth like $20. Seriously.
3. Scams Are Everywhere
Fake giveaways. Ponzi schemes. Rug pulls. Even “influencers” pumping coins they’re secretly getting paid to advertise.
Scammers love to scam people who don’t know everything about crypto yet (which, let’s be honest, is the majority of us). You have no idea what you’re doing, and they’ve got you where they want you.
They’ll say things like:
“Double your Bitcoin in 24 hours!”
“This NFT is going to be the next Bored Ape!”
“Don’t miss this once-in-a-lifetime deal!”
Red flags everywhere.
4. It’s Not Easy Money
A lot of the people who made a ton of money off of crypto either:
Got in super early (like, 2012)
Already had a ton of money to begin with
Were incredibly fortunate
The truth is, most people end up losing money on crypto and NFTs. But that doesn’t make a video go viral on TikTok or YouTube. You will only hear about the showing off and flexing, not the real risks.
5. The Environmental Impact (It’s Bad)
Most cryptocurrencies — especially older ones like Bitcoin — use a lot of electricity. Like, more than entire countries sometimes.
That’s because the way they verify transactions (called “mining”) takes huge amounts of computing power.
And, yes, Ethereum and a couple others are trying to go greener. But right now, crypto still carries a gigantic carbon foot print. Not so much green.
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But Wait, Isn’t Crypto the Future?
Maybe! There’s definitely some cool stuff going on with the tech behind crypto. Stuff like:
- Smart contracts: Computer program that can hold parties to deals without lawyers
- Web3: A new type of internet in which users have more control over their information
- Blockchain games: Games in which your possessions and rewards are actual digital assets
But here’s the catch: awesome tech doesn’t equal safe investing.
Consider the early internet. A lot of websites sprouted up in the 90s, and everyone invested like mad. But then… boom. Most of those businesses folded. Only a handful (such as Amazon and Google) made it through.
Crypto might go through the same thing. Lots of hype. Then a crash. Then the real useful stuff will come out later.
Why Teens (and Even Adults) Should Wait
Let’s be real: most teens don’t have money to lose. So why risk it?
There are better places to put your energy, like:
- Learning how to budget and save
- Investing in index funds (once you’re older)
- Starting a side hustle or business
- Understanding how money actually works
Crypto and NFTs might be part of your future, but they don’t need to be part of your right now.
You can study them. Watch how things play out. Learn from other people’s mistakes.
That way, when the time does come to invest, you’ll actually know what you’re doing.
What to Do Instead
If you’re interested in crypto but don’t want to invest, here’s what you can do immediately:
1. Learn First
Watch videos on YouTube. Read news stories. Play with simulators free. Just hold off on spending actual money yet.
2. Practice Real Investing
There are apps like Fidelity Youth, Greenlight, or BusyKid that let teens experiment with saving and investing safely with parental assistance.
Try to invest in real companies you know first (Apple, Nike, Disney), they’re far less risky than some unknown crypto token.
3. Build Skills
Learn to code. Create a YouTube channel. Sell digital art (not yet converting it into an NFT). These will pay much better in the long run.
Final Thoughts
Crypto and NFTs are not a joke. They are real, and they could very well play a huge role in the future. But that doesn’t necessarily mean that they’re where teenagers and newbies should put their money.
There’s just too much garbage out there right now in the way of scams, hype, and lack of security.
So go ahead, get intrigued. Learn the terminology. Keep observing.
But perhaps skip the “buy this coin and get rich” stage.
There’s no need for a rush to jump in – and being smart now might save you a lot later.
Aarav Chouhan is a 15 year old finance writer passionate about helping young people build healthy relationships with money. He believes the earlier someone starts investing, the more confident they become about their future.
About me: High Schooler interested in educating others and advocating for financial literacy in teens around the nation, in an easy teenager-to-teenager simple to understand way. When not writing, he plays video games, and the sport of soccer at a national level.
Reviewed and edited by Albert Fang.
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Article Title: The Truth About NFTs, Crypto for Teens, and Why You Shouldn’t Invest in Them Yet as a Teen
https://fangwallet.com/2025/07/24/the-truth-about-nfts-crypto-for-teens/The FangWallet Promise
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Source Citation References:
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CNBC – "Most NFT Investments End Up Worthless, Report Finds" “95% of NFTs are now considered worthless, according to a study that analyzed over 73,000 collections.” https://www.cnbc.com/2023/09/21/most-nfts-are-now-worthless-new-study-shows.html
The New York Times – "Crypto Collapse Erases More Than $2 Trillion in Value" “The cryptocurrency market has shed more than $2 trillion in value since its peak in late 2021, causing massive losses for retail investors.” https://www.nytimes.com/2022/07/12/technology/crypto-crash.html
