Factors influencing the intention to invest in cryptocurrency of generation x, y and z in vietnam the theory of reasoned action (tra) implication

HỌC VIỆN NGÂN HÀNG BÁO CÁO TỔNG KẾT ĐỀ TÀI THAM DỰ CUỘC THI “SINH VIÊN NGHIÊN CỨU KHOA HỌC” CẤP HỌC VIỆN NGÂN HÀNG NĂM 2021-2022 FACTORS INFLUENCING THE INTENTION TO INVEST IN CRYPTOCURRENCY OF GENERATION X, Y AND Z IN VIETNAM: THE THEORY OF REASONED ACTION (TRA) IMPLICATION LĨNH VỰC: TÀI CHÍNH CHUYÊN NGÀNH: TÀI CHÍNH Hà Nội, Tháng Năm 2022 Tai ngay!!! Ban co the xoa dong chu nay!!! 17014126213921000000 THÔNG TIN SINH VIÊN THỰC HIỆN ĐỀ TÀI Tên đề tài: Factors Influencing the Intention to Invest in Cryptocurrency of Generation X, Y and Z in Vietnam: The Theory of Reasoned Action (TRA) implication Lĩnh vực: Tài Chuyên ngành: Tài Giáo viên hướng dẫn: T.S Phạm Mạnh Hùng Sinh viên/nhóm sinh viên thực đề tài: ĐH Họ tên STT Mã số SV Lớp Khoa năm thứ 1 2 F12-065 D Tài – Ngân Hàng Liên Kết Quốc Tế, Đại Học Sunderland Tài – Ngân Hàng Bùi Thị Sắc Yên F12D Liên Kết Quốc Tế, Đại Học Sunderland 3 Lị Đồn Mai Hương F12 Tài – Ngân Hàng Bùi Khánh Linh F12D Liên Kết Quốc Tế, Đại Học Sunderland ABSTRACT This study was completed to investigate the effects of personal factors on Vietnamese people's intention to invest in cryptocurrency Although it is not widely known and there are no specific regulations and laws on cryptocurrency-related transactions in Vietnam, many articles and studies show that the cryptocurrency market in Vietnam is constantly developing Particularly, in 2021, Vietnam was identified as a lead country in global cryptocurrency adoption Specifically, according to a new report about cryptocurrency published by Finder, Vietnam has 20% of people who claim to have invested in Bitcoin and other crypto-assets In addition, data from Statista indicates that, of the 74 economies surveyed, Vietnam has the second-highest rate of cryptocurrency usage among the surveyed countries These numbers show that the investment trend in cryptocurrency is growing continuously in Vietnam, especially among the middle-aged generation and Gen Z young people (Techinasia.com, 2022) The study investigated 201 people living in Vietnam and contacted them through an online form to record their answers This study uses the PLSSEM method and applies TRA to achieve the goal of investigating the intention to invest in cryptocurrency in Vietnam The results show that Attitude and perceived usefulness have a positive effect on the intention to invest in cryptocurrency Table of Contents LIST OF FIGURE LIST OF ABBREVIATION CHAPTER 1: INTRODUCTION 1.1 Research Background 1.2 Identify the issue 1.3 Research Question 1.4 Scope 1.5 Access 1.6 Research ethics 10 1.7 New contributions 10 1.8 Research structure 11 CHAPTER 2: LITERATURE REVIEW 12 Theoretical background 12 2.1 Cryptocurrency, block chain and investment in cryptocurrency 12 2.2 Variables’ definitions 15 2.3 Hypothesis development 18 Research model framework 29 CHAPTER 3: METHODOLOGY 31 3.1 Research approach 31 3.2 Sampling method 32 3.3 Variables’ resources and measurement 33 3.4 Descriptive analytics 34 3.5 Method 35 CHAPTER 4: FINDINGS 37 Research model 37 4.1 Descriptive analytics 37 4.2 Variables’ descriptive analytics 40 4.3 Measurement analysis 48 CHAPTER 5: DISCUSSION 57 Discussion about the impact of perceived risk on the intention to invest in cryptocurrency 57 5.1 Discussion about the impact of perceived risk on the intention to invest in cryptocurrency 57 5.2 Discussion about the impact of perceived usefulness on the intention to invest in cryptocurrency 58 5.3 Discussion about the impact of perceived enjoyment on the intention to invest in cryptocurrency 59 5.4 The relationship between government regulation and intention to invest in cryptocurrency 61 5.5 Discussion about the relationship between Attitude and intention to invest in cryptocurrency 62 5.5 Discussion about the relationship between subjective norms and intention to invest in cryptocurrency 63 CHAPTER 6: CONCLUSION AND RECOMMENDATION 68 6.1 Conclusion 68 6.2 Limitations 69 6.4 Recommendation 70 Reference list 72 Appendix I Survey 86 Appendix II: Coded survey 95 LIST OF FIGURE Figure 1: Research model framework 30 Figure 2: Research model 37 LIST OF TABLE Table 1: Previous study about cryptocurrency and block chain 13 Table 2: Variables’ resources and measurement 34 Table 3: Gender’s descriptive analytics 38 Table 4: Generation descriptive analytics 38 Table 5: Education descriptive analytics 39 Table 6: Starting time on cryptocurrency investment descriptive analytics 39 Table 7: Perceived risk 40 Table 8: Descriptive analytic for Perceived Usefulness variable 42 Table 9: Descriptive analytic for Perceived Enjoyment variable 43 Table 10: Descriptive analytic for Government Regulations variable 44 Table 11: Descriptive analytic for Attitude variable 45 Table 12: Descriptive analytic for Subjective Norms variable 46 Table 13: Descriptive analytic for Intention to invest variable 47 Table 14: Outer loading 48 Table 15: Cronbach's Alpha 50 Table 16: Composite reliability 51 Table 17: Average Variance Extracted (AVE) 51 Table 18: Heterotrait-Monotrait Ratio (HTMT) 52 Table 19: Path coefficients 54 Table 20: R Square 55 Table 21: Collinearity 56 LIST OF ABBREVIATION AT Attitude CPU Central Processing Unit GR Government regulation IT Intention to invest in Cryptocurrency PE Perceived enjoyment PR Perceived risk PU Perceived usefulness SN Subjective norms TPB Theory of Planned Behavior TRA Theory of Reasoned Action CHAPTER 1: INTRODUCTION 1.1 Research Background Cryptocurrency is a digital currency, using blockchain technology and Cryptocurrencies that are not regulated under any particular government The former name of Cryptocurrency when it first occurred in public was “Cyber Currencies” Cryptocurrencies became more famous with the occurrence of Bitcoin in 2009 An article named “Bitcoin: A Peer-to-Peer Electronic Cash System” written by Satoshi Nakamoto self-affirmed as Bitcoin founder Satoshi Nakamoto stated that “We have proposed a system for electronic transactions without counting on trust” (Nakamoto, 2008) Bitcoin is operated under blockchain technology, specifically, in the previously mentioned article, Bitcoin works as a peer-topeer network with the ability to record public transaction history and most nodes operate honestly under the management of powerful CPUs (Nakamoto, 2008) The blockchain network is a decentralized operating system and does not need a third party to act as an intermediary to process transactions New nodes can create a new block and other Nodes will vote based on their CPU strength as the article mentioned “They vote with their CPU power, demonstrating their acceptance of valid blocks by working on extending them and rejecting invalid blocks by refusal to work on them” (Nakamoto, 2008) In 2021, Vietnam was identified as a lead country in global cryptocurrency adoption Specifically, according to a new report about cryptocurrency published by Finder, Vietnam has 20% of people who claim to have invested in Bitcoin and other crypto-assets In addition, data from Statista indicates that, of the 74 economies surveyed, Vietnam has the second-highest rate of cryptocurrency usage among the surveyed countries These numbers show that the investment trend in cryptocurrency is growing continuously in Vietnam, especially among the middle-aged generation and Gen Z young people (Techinasia.com, 2022) 1.2 Identify the issue The development of Cryptocurrency in Vietnam is distinctively distinctive from other countries although this aspect is incompletely developed On 21st August 2017 (Tran and Nguyen, 2021), the Prime Minister of Vietnam recently issued Decision No 1255/QD-TTg approving the project to complete the legal framework for management and handling of all types of assets virtual currency until April 11, 2018, the Prime Minister issued Directive No 10/CT-TTg on strengthening the management of activities related to cryptocurrencies and the cryptocurrency market (Tran and Nguyen, 2021) It can be seen that although Vietnam has no specific legal regulations on the investment, trading, and use of cryptocurrencies, the number of crypto holders, investors, and users of cryptocurrencies in Vietnam is increasing Therefore, this study will clarify the factors affecting the intention to invest in cryptocurrencies based on TRA theory in Vietnam From the discussion and analysis, the result and conclusion would be drawn which related to the trends, purposes, and intentions of young people in Vietnam in investing in cryptocurrencies 1.3 Research Question Clarifying the trends and intentions of young people in Vietnam regarding their intention to invest in cryptocurrencies, this study will clarify the following research questions: (a) The relationship between perceived risk, perceived usefulness, perceived enjoyment, and government regulation to intention to invest in cryptocurrency (b) The relationship between perceived risk, perceived usefulness, perceived enjoyment, and government regulation to intention to invest in cryptocurrency with the mediating role of attitude (c) the relationship between subjective norms to the intention to invest in cryptocurrency 1.4 Scope This paper aim at studying factors having an impact on the intention to invest in cryptocurrencies or virtual currencies among 250 Millennials and the iGen in both genders (male and female) Besides, this study was carried out from January 2022 to May 2022, data was collected for months, from February to May 2022 The study was conducted in Hanoi; the database is 250 participants from different provinces in Vietnam 1.5 Access 10 The data used in this research will be gathered through Google Form as an online survey platform The designed questionnaire, which is attached with the introduction of the researchers, the aim of the paper as well as the informed consent, will be transferred to the members of cryptocurrencies user groups in Zalo and Telegram 1.6 Research ethics During the implementation of this study, the researcher also needs to ensure the integrity and the anonymity of the participants’ identities Therefore, this study will ensure the ethical principles of research as followed: Informed consent: All the related information about the research (including research purpose, the procedure, and the statement allowing respondents to ask questions or not) need to be provided and explained comprehensively and in detail to the participants as well as their role in the investigation Autonomy: The participation of the respondents is voluntary without any duress or inappropriate inducement This means that their rights, dignity, and autonomy should be protected from violation Privacy and confidentially: Data protection should be prioritized in the research The information of participants must ensure to be anonymous, in which personal information such as gender, age, or contact method should be concealed Moreover, collected data should be secured and stored after the research following confidential principles 1.7 New contributions This study investigates the investor's perception, along with the intermediary role of attitude and subjective norm as control variables related to the impact on intention to invest in cryptocurrency This research’s findings will offer a better understanding and provide a new perspective on Vietnam's investors' decision-making process concerning this new emerging cryptocurrency investment The establishment of investment intention elements for contribution to the investment decision-making process of Vietnam individual investors from a consumer behavior perspective is a key theory of this study There are a lot of