Millionaire Millennials have a large part of their wealth in cryptocurrency, according to a new financial survey.
Almost half of millennial millionaires, 47 percent, have at least a quarter of their wealth tied up in crypto, reports the CNBC Millionaire Survey.
And more than a third of millennial millionaires have at least half their money in digital currency, according to the survey of 750 investors with at least $ 1 million in investable assets.
Observers say the survey results show the generational differences in wealth generation from cryptocurrencies like Bitcoin and Ethereum, with older investors less likely.
About 83 percent of US millionaires have none of their wealth in crypto, and only one in ten baby boomer millionaires has more than 10 percent of their wealth in crypto, according to the survey.
“Younger investors jumped on it early when it was not so well known,” said George Walper, president of Spectrem Group, which conducted the online survey with CNBC.
“The younger investors were more intellectually preoccupied with the idea, even though it was new. Older investors and the boomers were mainly saying, is this legitimate? “
And the wealth management industry could move from traditional investments to cryptocurrencies in the future to attract younger investors, he added.
“We can already see that the industry is reacting. We are seeing more and more providers offering access to crypto investments. It changes quickly. “
The NFT craze in digital art and content investments that grew during the pandemic also saw a gap between younger and older millionaires.
A third of millionaires said non-fungible tokens (NFT) were an “overly hyped fad” while two-thirds of millennial millionaires said they were “the next big thing”.
“NFTs have only recently become part of media coverage. So the older generations have sympathetically stayed behind, ”said Walper.
Everyone born between 1981 and 1996 belongs to the millennial generation, according to the US company Pew Research.