In this photo illustration, the digital cryptocurrency Bitcoin is displayed in Paris, France on March 5, 2024.
Chesnot | Getty Images News | Getty Images
A new report shows that the number of global crypto millionaires has surged 95% in the past year as Bitcoin exchange-traded funds and other crypto assets climb.
According to reports from New World Wealth and Henley & Partners, 172,300 people worldwide currently hold more than $1 million in crypto assets, up from 88,200 last year. The number of pure Bitcoin millionaires more than doubled to 85,400.
Cryptocurrency tycoons are climbing the ranks of the wealth ladder. According to the report, there are currently 325 crypto-billionaires (those who own $100 million or more in cryptocurrency) and 28 cryptocurrency billionaires.
The surge reflects the rapid growth of the Bitcoin ETF, which now has more than $50 billion in assets since its launch in January and triggered a wave of institutional participation.
The price of Bitcoin is up 45% this year, reaching around 64,000. As other tokens increase in value, the market capitalization of crypto assets has increased from $1.2 trillion last summer to $2.3 trillion, according to Henley & Partners.
Five of the six new cryptocurrency billionaires born in the past year attribute their newfound wealth to Bitcoin, “underscoring Bitcoin’s dominance in attracting long-term investors who buy large amounts of stocks.” , said Andrew Amoils, the company’s head of research.
According to ForbesThe richest crypto billionaire for the third year in a row is Changpeng Zhao, founder and former CEO of cryptocurrency exchange Binance, who is worth an estimated $33 billion. Zhao Pleads guilty to U.S. money laundering charges In November, it agreed to pay a $50 million fine. His wealth has soared to more than $10.5 billion in the past year.
Binance founder Changpeng Zhao attended the Viva Technology conference dedicated to innovation and entrepreneurship at the Porte de Versailles Exhibition Center in Paris on June 16, 2022.
Benoit Tessier | Reuters
In second place is Brian Armstrong, who is coin library, According to Forbes, its value is estimated at $11 billion. He was followed by Tether CFO Giancarlo Devasini and MicroStrategy co-founder Michael Saylor. According to the list.
Granted, many crypto assets remain below their 2021 highs, and Bitcoin’s recent rally essentially marks a return to those levels for the first time in three years. In November 2021, the market value of crypto assets reached $3 trillion.
However, there is growing acceptance of crypto-assets by large asset managers, e.g. BlackRock and Fidelity, with help Morgan Stanley’s Sales force of 15,000 brokers, This could push large cryptocurrency holders to further wealth creation.
Cryptocurrencies will not only create more millionaires and billionaires, but they will also change where the rich live and work. According to Henley & Partners, many cryptocurrency upstarts are looking to move to tax-friendly and crypto-friendly jurisdictions.
Dominic Volek, head of private clients at Henley & Partners, said: “We have seen a significant increase in crypto-affluent clients seeking alternative residence and citizenship options.”
To better advise new crypto nomads, Henley created the “Cryptocurrency Adoption Index,” ranking countries based on how they tax and regulate cryptocurrencies. Henry said Singapore ranked first in the index because of its “supportive banking system, substantial investment, comprehensive regulations such as the Payment Services Act, regulatory sandbox and alignment with global standards”.
Hong Kong ranks second, followed by the United Arab Emirates and the United States. “This is supported by strong infrastructure, a high density of crypto ATMs, crypto-friendly banks, and a growing number of businesses accepting cryptocurrencies,” the report states.
