Survey Shows 83% Of Millennial Millionaires Own Crypto

New research shows that young millionaires are very comfortable with the risk and volatility that comes with investing in cryptocurrencies, and they want more of it in 2022.

Most rich millennials say volatile crypto assets are a solid bet

The findings from the latest CNBC Millionaire Survey published Thursday show that 83% of millennial millionaires own cryptocurrencies. What's even more surprising is that more than half (53%) of those youthful, rich investors say they have at least 50% of their wealth in crypto. While almost a third of the young adult respondents have at least three-quarters of their affluence in blockchain-based assets.

Not only do the majority of millennial millionaires have the majority of their wealth in crypto, the research shows that the youthful respondents plan to add more programmable funds to their portfolios during the next 12 months based on this breakdown:

• 48% of millennials surveyed plan to increase their crypto holdings
• 39% plan to hold steady
• 6% expect they'll reduce their blockchain investments

Marks stark investment decision departure from older millionaire

What's not all that surprising, is that the results show lower rates of investment among older millionaires in blockchain digital assets. The survey findings show less than a quarter of Gen X and 4% of baby boomer millionaires are currently invested in crypto.

These data suggest a wide investment divide is growing among millionaires by their respective age groups. It seems that older generations of millionaires are skeptical of putting much of their nest egg in the crypto basket, while it's the primary basket many younger investors are tossing their economic eggs into.

How millennials got their millions

The researchers found there are two broad categories of millennial crypto investors -- those who made their millions from crypto, and those who added to their existing wealth (mainly from inheritance or start-ups) by investing in crypto. The survey found that 45% of millennial millionaires credited inheritance as a factor in their wealth.

Conversely, millennials who got into crypto years ago, with small investment stakes from their own incomes, became self-made millionaires due to the much higher returns from cryptos in recent years. For instance, Bitcoin has been dubbed the asset of the past decade due to its 230% annualized returns dwarfing every other asset class.

Only time will tell if these millennials have benefited from "the folly of youth" or "fortune favoring the brave" -- perhaps it's a bit of both.

This article originally appeared on the Motley Fool.

Tor Constantino is a corporate communications executive and business writer with an MBA. The Motley Fool has a disclosure policy.