According to the CEO of Kingdom Trust, a generational shift could open up a $28 trillion retirement market for Bitcoin. This is due in part to the fact that a significant proportion of the millions of people around the world who own Bitcoin are set to go into retirement, opening up a floodgate gate of Bitcoin investments.
More people with retirement plans are dipping their toes into Bitcoin, an asset class which is strengthening its reputation as the digital gold. The price of Bitcoin rose to one of its highest points in the last month of 2017. At the time, one unit of the cryptocurrency was valued at $19,650. The price took a blow a year later, falling to $3,183 on 14 December 2018.
Radloff (the CEO of crypto-friendly $13 billion custodian Kingdom Trust) the largest market for Bitcoin is the $28 trillion retirement market of the United States of America.
“Right now, the single largest addressable market for Bitcoin is the 28 trillion dollars in the U.S. retirement market — there is no single more addressable market for Bitcoin to penetrate, or all digital assets, for that matter.”
A growing number of people now appreciate Bitcoin for more of its use cases than they used to. Previously, Bitcoin was perceived as a cryptocurrency with one use case- financial transactions. Now, the cryptocurrency has gained the trust of more people who desire new ways of reducing their tax liabilities as they prepare for life after their working years.
One of the primary worries that cryptocurrency investors have is caused by the volatility risks associated with digital currencies. In recent times, the cryptocurrency industry has experienced more innovation in its markets as more businesses try to create solutions. The rise in innovation has led to more solutions being created that mitigate the risks of volatility associated with cryptocurrency.
Another significant factor affecting the use of cryptocurrencies in retirement plans is the introduction of laws that support the inheritance of cryptocurrency, making it easier for people to pass on cryptocurrency to their family after they pass away.