Post Your Comment
Gen Z and millennials hope to invest in crypto in 401(k) retirement funds: Survey
Nearly half of Gen Z and millennials have already invested in digital assets beyond their retirement funds
Image: Shutterstock
According to a survey conducted in October by American asset manager Charles Schwab, nearly half of Gen Z and millennials want to see crypto assets included in their 401(k) retirement plans.
According to research conducted by the company, 46 percent of Gen Z and 45 percent of Millennial participants who were asked what they would like to see added to their 401(k) retirement products stated they "wish" they could invest in cryptos.
The survey also revealed that 43 per cent of Gen Z and 47 percent of millennials have already invested in cryptos outside their 401(k), which may indicate the group's fondness for the asset class.
The asset manager conducted a 10-minute survey of 1,100 401(k) retirement plan participants between the ages of 21 and 70 between April 4 and April 19, 2022.
A company with 25 or more employees was required to participate in the study, and participants had to currently contribute to their employer's 401(k) plans.
Those born between the early 1980s and the mid-1990s are typically referred to as millennials, while those born between the mid to late 1990s and the early 2010s are typically referred to as Gen Z.
Only 31 percent and 11 percent of Gen X and Boomer respondents, born between the mid-1940s and the late 1970s, expressed a desire to invest in crypto assets through their 401(k), with even fewer already holding positions in the asset class.
Inflation was regarded as the biggest barrier to retirement across the board.
However, according to a related Investopedia poll published in April, only 28 percent of millennials and 17 percent of Gen Z respondents from the United States said they planned to use cryptos to support themselves in retirement.
Even though bitcoin-based retirement funds have been in development since February 2019, the asset manager currently does not provide any crypto assets as part of its 401(k) retirement plans.
According to reports, Fidelity Investment developed plans in April to allow holders of 401(k) retirement savings accounts to invest in Bitcoin. Investors would be permitted to add up to 20 per cent of Bitcoin to their portfolio.
Since November 2021, Rest Super, an Australian retirement fund provider with 1.9 million members, has been investigating a crypto offer as a component of a diversified portfolio.
While most retirement funds for digital assets are supplied in the form of Bitcoin or Ether, a county in North Virginia proposed in May 2022 that some retiree pension funds be placed in a decentralised finance (DeFi) yield farming account. This proposal was ultimately accepted in August 2022.
The writer is the founder at yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash
Full show: Forbes India Tycoons of Tomorrow 2021-2022
Millions of dollars have been spent on Reddit's NFT collections
