Per a survey conducted by investment firm Capitalize, Bitcoin and cryptocurrencies have been gaining relevance as retirement investment options. Digital assets, once synonyms with speculation, and gambling, have acquired prestige as one of the best ways to secure people’s future.
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The firm interviewed 821 employees and 203 financial experts in the United States. Their purpose was to explore the sentiment around adding Bitcoin and cryptocurrencies to their retirement portfolios and to determine the best time to purchase these digital assets.
In that sense, the survey concluded that people have become more optimistic about cryptocurrencies in the past ten years. Over 60% of the respondents believe these digital assets are “a strong retirement investment option”, despite their volatility.
As seen below, younger generations are more optimistic about Bitcoin and cryptocurrencies as retirement investment options. 78.2% of the respondent classified as “Gen Z”, and 60.4% of “Millennials”, are bullish on digital assets versus 50.3% of “Baby Boomers”.
Still, most of the respondents (57%) perceived cryptocurrencies as a “volatile investment vehicle”, with potential for risk (45%). As seen below, respondents also associate digital assets with potential (54.4%), overhyped (45.3%), and utility (37.4%) investment.
Moreover, the survey founds that Bitcoin and other cryptocurrencies dominate the investment retirement field with 76.5% of respondents revealing them as part of their portfolio. However, non-fungible tokens (NFTs), and Dogecoin (DOGE)/memecoins are gaining more relevance with 35.8% and 19.3% of respondents saying they will hold it until retirement. Capitalize added:
(…) most survey respondents investing in digital assets took a long-term approach. Over three-quarters reported purchasing cryptocurrencies they intend to hold until retirement.
Can Bitcoin Help People Retire Earlier?
Further data provided by Capitalize determined that 3 in 5 respondents believe Bitcoin and cryptocurrencies should be part of the employer-sponsored retirement plans. In that way, crypto enthusiasts could be attracted to a company.
Employees with crypto holdings could count themselves amongst the most optimistic, as they expect to retire 8 to 13 years than those with 0 crypto exposure. NFT holders think they will retire by the of 52, while memecoin holders expect to retire by the age of 54, Bitcoin holders replied 57 as opposed to the 65.5 years old of non-crypto investors.
It’ll be interesting to revisit these results in a could of years, so far, they suggest crypto investors are more optimistic and confident about their investment retirement vehicles.
When it comes to the send part of the survey, conducted with 203 financial experts, results diverge in certain areas. While 52.5% of these experts believe Bitcoin and cryptocurrencies are a good short-term investment, 46.5% think digital assets are a weak investment in the long term.
In that sense, 64.4% of experts said people shouldn’t invest in cryptocurrencies as a retirement tool. In opposition, 401(k) or 403(b) are still the most popular retirement options amongst these respondents with 87.1%.
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As of press time, Bitcoin trades at $37,458 with a 1% loss in the past day.