The world has witnessed a staggering 95% increase in the population of crypto millionaires over the past year. Recent reports from New World Wealth and Henley & Partners indicate that there are now 172,300 individuals globally holding more than $1 million in crypto assets, a significant jump from the previous year’s count of 88,200. This exponential growth can be attributed to the surge in bitcoin exchange-traded funds and the rising value of various crypto assets.
The number of pure bitcoin millionaires has more than doubled, reaching 85,400 individuals. Additionally, the ranks of the crypto wealthy have expanded to include 325 centimillionaires with over $100 million in crypto holdings and 28 billionaires in the crypto space. The report highlights the dominant position of bitcoin in attracting long-term investors who acquire substantial holdings, with five of the six new crypto billionaires attributing their wealth to the pioneering cryptocurrency.
Forbes identifies Changpeng Zhao, the founder of Binance, as the wealthiest crypto billionaire for the third consecutive year, with an estimated net worth of $33 billion. Following closely is Brian Armstrong, the co-founder of Coinbase, valued at $11 billion. Other prominent figures include Giancarlo Devasini, the CFO of Tether, and Michael Saylor, the co-founder of MicroStrategy. These individuals have amassed significant wealth through their involvement in the crypto industry.
While some crypto assets have yet to reach their peak values from 2021, the overall market cap of crypto assets has surged to $2.3 trillion, up from $1.2 trillion the previous year. The recent 45% increase in bitcoin’s price has propelled the industry forward, attracting institutional investors and driving widespread adoption. The entry of major asset managers like BlackRock and Fidelity into the crypto space has further catalyzed wealth creation among large crypto holders.
As the population of crypto millionaires and billionaires grows, there is a noticeable trend towards relocating to tax-friendly and crypto-friendly jurisdictions. Many individuals in the crypto community are exploring alternative residence and citizenship options in countries that offer favorable regulatory environments. Singapore, with its supportive banking system and comprehensive regulations, leads the way in the Crypto Adoption Index created by Henley, followed by Hong Kong, the United Arab Emirates, and the United States.
The rise of crypto millionaires and billionaires signifies a significant evolution in the financial landscape. As digital assets continue to gain prominence, the distribution of wealth and the preferences of the affluent are undergoing a transformative shift. With increased institutional participation and regulatory clarity, the crypto industry is poised for continued growth, shaping the future of global wealth accumulation and asset management.
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