Boomers’ $300B Influx Boosts Crypto Markets

Morgan Creek Capital CEO Mark Yusko is optimistic about the future of the crypto market, as he believes that the wealth of baby boomers, estimated to be in the trillions of dollars, will flow into digital assets. In a podcast interview, Yusko discussed the impact of Bitcoin exchange-traded funds (ETFs) and the growing interest from investment advisers, which have led to a significant shift in demand. Although the full impact is yet to be seen, Yusko predicts that approximately $300 billion will enter the crypto space within the next 12 months, which is more than the total amount of money converted to Bitcoin over the past 15 years.

Yusko anticipates that the inflow of capital will mainly come from baby boomers, who are managing their retirement accounts with the assistance of advisers. According to the Investment Adviser Association, financial advisers in the US managed a staggering $114.1 trillion in assets in 2022. Yusko believes that approximately 10% of this total, or $11.4 trillion, will eventually make its way into the crypto market. He even suggests that this influx of funds has the potential to drive the market capitalization of cryptocurrencies up to $6 trillion.

In addition to the financial aspect, Yusko also expects a positive change in social acceptance of cryptocurrencies among Americans. He believes that the increasing interest from baby boomers and the introduction of Bitcoin ETFs will lead to greater acceptance of cryptocurrencies by the general public. This shift in sentiment could mean that this year’s Thanksgiving will be the best yet for crypto enthusiasts, as they will no longer face exclusion from family gatherings due to their involvement in the crypto space.

It is worth noting that Spot Bitcoin ETFs were approved by the US Securities and Exchange Commission in January, after a decade-long process that began with an application from the Winklevoss twins. Major Wall Street firms such as BlackRock, Fidelity, and VanEck played a significant role in securing the initial approvals. As of April 24, data from BitMEX Research shows that Bitcoin ETFs had a combined value of over $53 billion.

Mark Yusko believes that the crypto market is poised for massive inflows of capital from baby boomers. With the introduction of Bitcoin ETFs and the growing interest from investment advisers, the demand for cryptocurrencies is expected to increase significantly. Yusko predicts that approximately $300 billion will enter the market within the next year, which is more than the total amount converted to Bitcoin in the past 15 years. This influx of funds can be attributed to the retirement accounts managed by advisers for baby boomers, who are estimated to hold trillions of dollars in wealth. Yusko believes that this increased interest in cryptocurrencies will lead to greater acceptance and inclusion of crypto enthusiasts in social settings. This year’s Thanksgiving is expected to be particularly memorable for those involved in the crypto space. Notably, Bitcoin ETFs have been approved by the US Securities and Exchange Commission, with major players like BlackRock and Fidelity playing a key role in the process. As of April 24, Bitcoin ETFs had a combined value of over $53 billion.