There’s no denying that Brexit was a long time coming for the UK, with the result of the initial referendum in June of 2016 – which saw 51 per cent of British voters opt to leave the European Union – taking more than four years to be finally realised. But the consequences began to reverberate across the country long before the apron strings had officially been cut, resulting in a severe impact on the UK economy that saw a huge amount of volatility whilst its global position hung in the balance.
Fast forward to late 2020, and just as it was battling the harsh second wave of the ongoing global pandemic, its exit was finally made official, signalling the end of a truly turbulent year for both the British government and people. Even now, there are still some rules and regulations to be ironed out between the UK and the EU, but with the pound dropping to a historic low on Brexit day, many investors felt left in limbo. With so much uncertainty about the future, there was a widespread reluctance to expand their portfolios any further – but some viewed this dramatic change in circumstances as an opportunity, and are already beginning to reap the benefits.
Crypto investors, in particular, have been quick to make moves in the wake of both Brexit and the pandemic. With an increasing number of trading options made available where they had once been limited due to the UK’s ties to the EU, some even believe that these innovative digital currencies – most notably of which, Bitcoin – could boost the UK’s economy and help to speed up its recovery. Online trading platforms have seen a dramatic spike in interest over the past six months, and the Brexit Millionaire website has reported a record number of sign-ups. So should we, too, be taking note?
The Brexit millionaires
Trading within the UK still comes with a certain amount of red tape, but overall, there are now more opportunities than ever before. Free from the stringent regulations imposed by the EU, trading assets within British territory has taken on a new appeal, and while many are still dealing with the financial repercussions of Brexit and the simultaneous onslaught of the pandemic, the business-minded and the savvy have recognised trading as an opportunity to recover their losses and turn them into a potentially sizable profit.
The issues of job and business security have both become pertinent over the past year, and for some it has led to reflection and reassessment of how and where they secure and invest their money. With this, we’ve seen not just an increase in investments in crypto and other high-value assets, but also a dramatic increase in the number of people dipping their toes into the world of trading.
In particular, we’re seeing a new wave of interest amongst the millennial generation, which saw several young investors lucky enough to become overnight millionaires back in 2010 after being some of the first to jump on the Bitcoin bandwagon. Now, others are following their lead and making 2021 the year they take the plunge, potentially setting them up for a long and prosperous future should the markets work in their favour. These future Brexit Millionaires could well have found a way to turn two huge negatives into a hefty positive, although only time will tell the end result.
A new learning curve
Trading in the midst of the Brexit fallout certainly doesn’t come without its challenges, and with market volatility meaning high-risk investments still come with many potential ups and downs, it’s unlikely to ever be plain sailing. But the changes have highlighted the importance amongst traders – both new and experienced – of gaining a greater understanding of how the markets behave when under pressure. Having a thorough understanding is crucial for those who want to be able to adapt quickly and turn negative turns of events to their advantage – and the new generation of millennial traders, who have proven fearless in their approach thus far, could be some of the first to reap the benefits.
We believe that Brexit should be seen as a new opportunity to learn more about how trading behaves in particular situations (Such as this one). Learning how trading works can help us adapt to different situations where a particular asset’s value could drop, allowing us to mitigate the risks that come with trading.
Overall, today is a great opportunity for people to begin trading. Whether it’s CFDs, stocks, cryptos, or other assets, there are many things waiting to be discovered, and it’s only a matter of time until the British economy comes back up.