The CNBC Millionaire Survey results show that 83% of millennial millionaires own crypto. Furthermore, 48% state they would be adding to their holdings in 2022. Meanwhile, baby boomers and Gen X are few investing in crypto.
A new report released by CNBC shows that millennial millionaires are planning to add more cryptocurrency to their portfolios in 2022. The CNBC Millionaire Survey, which was published on Dec 16, covered the investments of the age group and returned some interesting results. A whopping 48% of millennial millionaires said that they would add more crypto to their holdings.
The survey queried investors with investable assets greater than $1 million. It learned that 53% of investors had their wealth in crypto, with nearly a third having at least three-quarters of their wealth in Bitcoin, ETH, or other cryptocurrencies.
The latter point is especially telling, as it indicates how focused the millennial generation is on the crypto market, comparing to older investors. Only 4% of baby boomers hold any crypto, while more than 75% of Gen X investors don’t hold any crypto.
48% of those surveyed said they would add to their crypto holdings, while only 6% said they would reduce their investments next year. The whole sentiment from the report is one of optimism for the market, which also indicates that 2022 could be a strong year for crypto.
Most of these millionaires made their money from crypto or added to their wealth with crypto investments. They seem fine with volatility, which speaks to a generation that has endured two recessions and several global incidents.
The survey’s findings speak volumes about the massive shift in investment mentality across generations. Earlier this week, in an interview with MarketWatch, billionaire hedge fund manager Ray Dalio called Bitcoin the “gold of the younger generation.”
“It’s almost a younger generation’s alternative to gold, and it has no intrinsic value, but it has imputed value, and it has, therefore, some merit,” said Dalio.
The fund manager said he “has a little bit” of Bitcoin because he believes a properly diversified portfolio should have assets that protect it under a worst-case scenario.
Such reports have also indicated that millennials are keen on cryptocurrencies. The asset class has always attracted younger generations, who are tech-savvy and have a different sense of investment culture. Conversely, older generations, especially baby boomers, have struggled to accept digital currencies.
With the cryptocurrency market growing among retail and institutional investors, it does not seem likely to scale back. More young investors will enter the market, boosting adoption and value.