Based on a CNBC survey, millionaires have considerable faith in crypto, given that 83% of Millennials with a net worth of $1 million own cryptocurrencies. In fact, 53% of the surveyed Millennial millionaires have half of their wealth in crypto, while one-third of respondents have three-quarters of their property in cryptocurrencies such as Bitcoin and Ether.
On the other hand, a mere 4% of older generations, including Baby Boomers, own cryptocurrencies. In contrast, over three-quarters of Gen Xers have nothing to do with crypto.
This just goes to show the discrepancy between older generations of millionaires, who are still more or less skeptical about crypto, and younger generations of millionaires, who believe cryptocurrencies will become the new source of wealth.
What’s more, Millennial millionaires still plan to invest in crypto despite them being highly volatile. For instance, the cost of Bitcoin fluctuated from $63,345.79 on April 16 to $34,259.55 on May 24, 2021.
To be precise, the survey results show that 48% of responders plan to invest even more money into crypto over the next year, whereas 39% will keep their current levels, and a mere 6% will narrow down their crypto investments.
Given that more and more Millennials and Gen Zers are becoming millionaires by investing in crypto, this trend is most likely to continue in the future.
What this will mean to wealth management companies and private banks who rely on both their older clients and younger generations — who can’t get enough of digital currencies — remains to be seen.