Meme asset wagering: Perceptions of risk, overconfidence, and gambling problems.

Several financial assets, such as shares of GameStop or Dogecoin cryptocurrency, became the focus of substantial speculation in early-2021 that resulted in high price volatility and trading volume. This "meme asset wagering" appears to be closely related to the emergence of zero-fee retail brokerages, high-leverage cryptocurrency exchanges, and social media investment communities that facilitate and encourage risky behavior. As an emerging form of financial risk-taking, little is known about participants in these markets. In this study, an internet-based sample (n = 643) was recruited to assess the relation between meme asset ownership, perceived risks in gambling and investing, investment knowledge, and measures associated with gambling problems. Results suggest that meme asset wagerers perceive less risk from financial uncertainty, have higher levels of overconfidence in their investment ability, and have higher risk of gambling problems. The findings suggest that these products may be treated like gambling by some individuals.