According to a survey from the London-based investment migration consulting firm Henley & Partners, over 40,000 crypto millionaires are currently holding Bitcoin (BTC) around the globe. These identities are top millionaires who got wealthy from crypto investments.

When reading Satoshi Nakamoto‘s white paper on Bitcoin in 2009 while working on his master’s thesis on cryptography, Norwegian student Kristoffer Koch was inspired to buy 5,000 Bitcoins with his $26.60 investment. Whether Koch still has the remaining 4,000 Bitcoins, they are worth millions. In 2013, Koch cashed out 1,000 Bitcoins and bought an apartment.

Tales like this have motivated people to invest in cryptocurrencies for years, hoping to quickly become wealthy by getting in on the first floor of new cryptocurrencies that they predict would skyrocket in value just as Bitcoin did. But can cryptocurrency make you rich?

Millionaires Who Got Wealthy from Crypto Answer? Can Crypto Make You Rich?

This question has a somewhat complex answer. The answer would be “probably not” if we rephrase the question, “Can crypto make you rich the same way early adopters got rich?” The money put in by those early investors has increased 20, 30, and 100 times. Several early adopters saw their investment double or increase by 1,000 or 10,000 times when cashed out.

Since the first crypto billionaires made their initial investments, the economic status of cryptocurrencies has changed significantly. Bitcoin was viewed as a hoax or an unreal concept that could collapse and vanish with little to no impact on the global economy when these investments were made.

Today, things are different since many significant financial and technological institutions and governments are active in the cryptocurrency market. Those who entered the market after this move might still make large profits but are unlikely to add zeros to the value of their investment, whereas the early millionaires made their money from the shift of cryptocurrencies from being a niche choice to popular financial assets.

Can Crypto Make You Rich? ANSWERED BY Millionaires Who Got Wealthy from Crypto

Still, due to their extreme volatility in comparison to other traditional assets like equities, foreign exchange, and real estate, cryptocurrencies represent an alluring investment possibility for individuals prepared to take a risk in exchange for huge potential profits.

Reports On Crypto Millionaires and Billionaires

Henley & Partners estimated about 88,200 billionaires globally with crypto assets, 40,500 of them holding Bitcoin, in its “Crypto Wealth Report,” released on September 5. According to the research, 78 of the 182 people with crypto assets worth more than $100 million were Bitcoiners. Furthermore, six of the 22 cryptocurrency dealers with holdings of above $1 billion “amassed their fortunes from trading Bitcoin.”

Less than 0.2% of the estimated 56.1 million millionaires on Earth in July 2023, according to Fortunly, may have had sizable crypto holdings. According to Dr. Juerg Steffen, CEO of Henley & Partners, millionaires have increased their inquiries about cryptocurrencies. This inquiry is due to their desire to “protect themselves against any potential future bans on the trading or use of cryptocurrencies in their countries” and “allay the risks of aggressive fiscal policies that tax digital assets at source.”

“The leadership of an increasing number of jurisdictions understand the legitimate nature of [crypto-based] wealth and have produced mechanisms for it to be stored securely, with soft infrastructure that renders it treated in the same manner as almost any other tangible or intangible asset class,” said cybersecurity specialist Ali Khan. “But there are still several jurisdictions that are yet to bite.”

The report did not mention the names of the cryptocurrency billionaires and millionaires. Barry Silbert, the creator and CEO of the Digital Currency Group, Cameron and Tyler Winklevoss, Changpeng Zhao, Brian Armstrong, Chris Larsen, the co-founder of Ripple, and Michael Saylor, the executive chair of MicroStrategy, are some of the prominent figures in the industry.

Approximately 80,000 fewer addresses held more than $1 million in cryptocurrency during the 2022 crypto market crisis. According to a December 2022 Forbes article, significant industry participants lost more than $116 billion due to exchange bankruptcy and the bear market.

Finally, crypto makes it very easy and quick to make money. However, you must keep up with industry news, understand crypto trading rules, be vigilant about theft, do your homework on different crypto exchanges, and be prepared with an exit strategy.