Investment Horizon Changes for Older Demographics
The research has direct implications for how aging investors allocate capital over the coming decades. Gracy Chen, CEO of cryptocurrency exchange Bitget, told reporters that growing regulatory clarity may lead the aging population to value Bitcoin as much as gold over the next 75 years.
Analysts at Bitfinex noted that increasing personal wealth leads to greater risk appetite and diversification into emerging asset classes. Investors with longer investment horizons are more likely to be open to Bitcoin investments. Younger, more tech‑savvy investors will look more favorably at altcoins and newer crypto projects.
Data shows growing interest in entering the crypto market among non‑holders. We previously reported that 14% of non‑owners plan to enter the crypto market in 2025, with another 48% open to doing so, according to Security.org. Two‑thirds of people who plan to purchase crypto in 2025 want Bitcoin.
Wealth Transfer Reshapes Digital Asset Landscape
The demographic shift connects directly to the Great Wealth Transfer now underway across generations. By 2025, this intergenerational reallocation of assets is projected to transfer $84.4 trillion in wealth over the next two decades, according to Ainvest.
Gen Z individuals show 51% crypto ownership in the US, compared to 49% of Millennials and 29% of Gen X. Baby Boomers lag significantly behind with just 8‑10% ownership rates. This generational divide reflects different financial philosophies and risk appetites.
The maturity of crypto regulations currently being worked on could play a role in fueling future demands for the asset class. Government backing and proven store of value characteristics will help the aging population evolve to value Bitcoin similarly to gold. Crypto's low correlation with traditional assets, measured at 36‑38% with equities, enhances diversification.
Experts recommend 5‑15% crypto allocation for risk management. This suggests that as wealth accumulates among older demographics, a portion could naturally flow into digital assets as part of balanced portfolio strategies. The Fed research indicates this trend could continue well into the next century.