A few years ago, it would have been a safe bet that the traditional financial sector would always have a monopoly on the wealthy. After all, stocks had been a go-to way to multiply investment for decades, and major companies like Apple and Amazon were delivering healthy returns.
Now, things are quite different as digital assets are taking centre stage and are becoming not just an alternative to traditional finance but replacing it in many ways. An example of the wealthy investing more time and effort in digital assets is the world of iGaming. The wealthy have always played casino games, but typically, we would imagine this in the luxurious in-person establishments in places like Monaco and Vegas.
Now, many wealthy and non-wealthy investors are getting their fix via iGaming websites. With tokens like Bitcoin seeing new all-time highs and record levels of public acceptance, it comes as no surprise that many are choosing to gamble with the asset class. As Carlos De Lanuza explains, BTC casinos are much more popular, and this will only increase as more people want to get their hands on Bitcoin and find exciting ways to use the world’s largest cryptocurrency by market capitalization.
Outside of casino games, the ways in which traditionally wealthy investors may invest in crypto are only increasing. Last year saw the approval of spot ETFs for bitcoin and ether in the United States, and more seemed to be coming this year. Then you have to consider the inclusion of Bitcoin by hedge funds. According to reports, more hedge fund managers and wealth advisors are pushing their moneyed clients towards the digital assets space as a way to diversify their investment and get in on the action.
In fact, a recent report shows that family offices in Hong Kong are increasingly investing their clients’ money in the digital assets space. This comes around the same time that banks are starting to not only support crypto-related transactions but also offer resources for customers to begin their investment journey. Given that Bitcoin was the highest performing asset of the 2010s, surpassing the likes of gold and traditional stock, we can expect even more wealthy investors to turn towards it. One of the industry’s biggest touchstones is the fact that it is so accessible to everyone.
Anyone with an internet-enabled device and access to the net can begin buying and trading these tokens, so naturally, the wealthy and their financial managers can also get in on the action. The next few years are poised to see a wave of pro-crypto laws being passed around the world. These will clarify everything from the legal status of the asset class to the tax to be paid on crypto-related transactions.
This influx of wealthy investors into the space means that various projects can receive the funding they need to expand, and overall, it will become more robust. The wealthy having a stake in the industry’s success also means that, from a political standpoint, the industry will receive more aggressive backing and will be taken more seriously
