A new report from New World Wealth and Henley & Partners shows a significant increase in cryptocurrency wealth over the past year, with Bitcoin (CRYPTO: BTC) leading the charge.
What Happened: According to the report, as of June 30, 2024, the total number of crypto millionaires reached 172,300, a 95% increase from the previous year. Millionaires owning Bitcoin alone rose to 85,400, up 111%. Crypto centi-millionaires, those with holdings of $100 million or more, grew to 325, a 79% increase.
The number of crypto billionaires rose to 28, up 27% year-over-year.
The total market value of all cryptocurrencies hit $2.3 trillion, an 89% increase, with Bitcoin accounting for $1.2 trillion of that value.
The report also notes that the total number of crypto users worldwide reached 560 million, a 32% increase from the previous year.
According to Henley & Partners, the introduction of crypto ETFs in major financial markets, such as Fidelity Wise Origin Bitcoin Fund (BATS:FBTC), iShares Bitcoin Trust ETF (NASDAQ:IBIT), Grayscale Bitcoin Trust ETF (NYSE:GBTC) has been a key driver of this rapid growth in crypto wealth, leading to a significant influx of institutional capital. Dominic Volek, the firm's Group Head of Private Clients, noted that the cryptocurrency landscape of 2024 bears little resemblance to its predecessors, with Bitcoin's rise to over $73,000 in March setting a new all-time high.
The report also points out the growing interest among crypto-wealthy individuals in alternative residence and citizenship options, with Henley & Partners observing a significant uptick in such clients in 2024, leading to the unveiling of its second annual Henley Crypto Adoption Index.
Why It Matters: The surge in Bitcoin billionaires can be attributed to a few key factors. In April 2024, Benzinga reported that the distribution of Bitcoin holders, including large holders known as whales, can significantly influence the price of Bitcoin. In June, Robert Kiyosaki, author of "Rich Dad Poor Dad," stated that Bitcoin is the simplest path to becoming a millionaire.
Furthermore, in August, Michael Saylor, co-founder of MicroStrategy Inc. (NASDAQ:MSTR), reaffirmed his conviction in Bitcoin, disclosing his ownership of nearly $1 billion in the leading cryptocurrency.