CRYPTO COULD SURGE AS $100T INHERITANCE WAVE RESHAPES INVESTING, SAYS CEO

A historic generational wealth transfer is expected to reshape global investment trends over the next two decades, with younger investors inheriting trillions of dollars and potentially directing more capital toward cryptocurrencies than ever before.

Nansen founder Alex Svanevik believes this shift could significantly change crypto market dynamics, especially as younger generations already show far greater interest in digital assets compared to older investors.

Estimates suggest nearly $100 trillion could change hands worldwide over the next 20 years, and the heirs receiving this wealth appear to have dramatically different portfolio preferences than today’s major asset holders.

“It’s like a tidal wave, you know, a tsunami that’s coming,” Svanevik told Magazine, adding that even small allocation changes could potentially double crypto’s current $3.05 trillion market capitalization. “There are all these kinds of forces that I think just drive crypto upwards.”

Younger Investors Are Already Betting Bigger on Crypto

New data suggests younger generations are not waiting for inheritance to start shifting toward digital assets.

A recent Coinbase study found that 45% of younger U.S. investors currently own crypto, compared with only 18% of older generations. The report also noted that younger investors allocate around 25% of their portfolios to non-traditional assets—more than triple the 8% seen among older investors.

Additionally, four out of five younger adults believe crypto will play a larger role in the future financial system.

This trend is not limited to the U.S. In the Asia-Pacific region, high-net-worth individuals are increasingly leaning into digital assets. Nearly half now allocate more than 10% of their portfolios to crypto, with 87% already holding digital assets and 60% planning to increase exposure.

Meanwhile, Bitget Research recently reported that 20% of Gen Z and Gen Alpha respondents are open to receiving retirement funds in cryptocurrencies. The study also found 78% expressed greater confidence in alternative savings methods than traditional pension systems.

“App-First” Investing Is Becoming the New Normal

The generational divide is not just about asset choices—it’s also about how people want to invest.

Galaxy Digital’s Zac Prince echoed Svanevik’s view earlier this month, saying the shift is inevitable as wealth moves from older investors to younger ones who prefer digital-first financial tools.

“The older people are going to pass away and pass the money down to younger people,” Prince said.

He explained that younger investors feel more comfortable using “app-first” platforms that offer multiple products in one place and intuitive interfaces—rather than relying on traditional brokerage models in which clients must call advisors to execute trades.

UBS Forecast Highlights Scale of Global Wealth Movement

According to UBS data from 2025, around $83 trillion is expected to transfer between generations over the next 20–25 years, including roughly $29 trillion in the United States alone.

Prince also pointed out that wealth transfer patterns don’t always match population size or GDP.

He cited Italy as an example: despite having half of Japan’s population and a smaller economy, Italy is projected to experience larger intergenerational transfers due to factors like stronger savings habits and high home ownership among older citizens.

Crypto Infrastructure Is Finally Ready for Institutional-Grade Products

Beyond demographics, industry development is also playing a major role in crypto’s long-term outlook.

Svanevik said crypto has reached a level of infrastructure maturity that now allows sophisticated products to be built—something that was not realistic just a few years ago.

“We couldn’t build this product two or three years ago because the infrastructure didn’t support it,” he said, citing major improvements in wallet technology and trade execution. The wallet technology wasn’t good enough.”

This progress has supported a wave of institutional adoption, even as retail investors remain cautious.

Institutional Adoption Expands While Retail Sentiment Stays Mixed

Major financial institutions are steadily increasing their crypto exposure.

Morgan Stanley has launched Bitcoin ETFs, and more traditional platforms are gradually opening access to crypto markets. However, retail confidence appears weaker than before.

Data from the FINRA Foundation shows crypto consideration among U.S. investors dropped from 33% in 2021 to 26% in 2024. At the same time, the share of investors who view crypto as “extremely” or “very risky” rose from 58% to 66%.

Still, institutional products continue growing.

Prince said many firms still restrict distribution, but he expects those barriers to ease in 2025.

“The ETFs just came around last year. Some warehouses and other firms have a one-year lockdown on new ETFs being able to be made available to their clients,” he explained.

Gulf Wealth Transfers Show the Trend Already Taking Shape

In some regions, the wealth transfer shift toward crypto is already visible.

One example is Bahrain’s Kanoo family, which backed Bitcoin in 2020 despite early skepticism. The family later sold at a profit but continued investing in digital assets through hedge fund-style structures.

Meanwhile, banks such as Citigroup, Barclays, and Deutsche Bank are expanding Gulf-region wealth divisions to capture an estimated $1 trillion in wealth transfers expected across the region.

Regulatory Developments Could Accelerate Global Crypto Growth

Svanevik also highlighted the potential impact of U.S. regulation, saying the passage of the CLARITY Act could mark a turning point for the industry.

He believes the legislation could bring “a new era for crypto in the US,” with ripple effects globally.

“The rest of the world is going to follow,” he said.

Bitcoin Drops Despite Long-Term Wealth Transfer Narrative

Even with optimistic long-term forecasts, Bitcoin has faced pressure in the short term.

BITCOIN PRICE FORECAST: ETF SELLING ACCELERATES AS DAVOS DISCUSSIONS SPOTLIGHT $86K

Since President Donald Trump returned to the White House, Bitcoin has reportedly lost around 25,000 millionaire addresses over the past year. The number fell from 157,563 addresses at his January 2025 inauguration to 132,383 by Jan. 20, 2026.

Bitcoin also dipped below $90,000 today amid wider market volatility.

Still, analysts argue that institutional growth, improving infrastructure, and the coming generational wealth shift could set the stage for major changes in crypto demand over the next 20 years.

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