Bitcoin And Cryptocurrency Owned By More Than 80% Of Young Millionaire Investors, Finds Study
A recent survey carried out by the news outlet CNBC has revealed that most millennial millionaires have made investments in cryptocurrencies and intends to do continue to do so in the coming year of 2022 despite a drop in the price of the digital coins in recent weeks.
The survey, which was conducted among millennial millionaires who have made a minimum investment of $1 million in investable assets, found that 83% of the investors had one or more cryptocurrency investments in their portfolio.
Further, over half of the investors (53%) had investments in crypto assets accounting for at least half of their investment portfolio. And about one third of the younger investors have put in at least 75% of their total investments in bitcoin and cryptocurrency.
The survey defined a millionaire investor as one whose net worth or wealth is equal to or is more than one million units of currency. On the other hand, a millennial is anyone born between 1981 and 1996.
Compared to the interest in crypto assets among the millionaires of the younger generation, such assets account for only a minor portion of the investment portfolios of older millionaires.
The CNBC survey revealed that only 4% of baby boomer millionaire investors had invested in cryptocurrencies while more than three fourth of millionaire investors from GenX had not invested even a single penny into bitcoin or cryptocurrency.
“The results suggest that crypto is creating a vast generational schism in investing and wealth creation,” the report noted.
“While older generations of millionaires are still largely sceptical of crypto and its future, cryptocurrencies have become the primary source of wealth creation and asset growth for many younger investors who got in early and have seen rapid returns,” it added.
Despite this, the confidence on the largest cryptocurrency of the world has not wilted among millennial millionaires who want to increase the share of this asset in their investment portfolio, the survey found. Almost half of the younger millionaire investors (48%) plan to increase the proportion of bitcoin and other cryptocurrencies to their portfolios in 2022, compared to 39% of them who said they were not interested to increase investment in cryptocurrencies further.
Interestingly, only 6% of the respondents of the survey have any plans of selling off their digital assets in 2022.
Because bitcoin’s value has risen dramatically in the last year, Americans are looking to take advantage of the holiday season to expand their holdings. According to a recent MagnifyMoney study of over 2,000 individuals in the United States, roughly 65% of the respondents, want bitcoin or stocks as gifts this year.