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This year isn’t even a month old, but January is an ideal time for ideas to, at the very least, make some educated guesses regarding trends that could prove prominent among clients. No guessing needed for this one because it’s already: cryptocurrency is on clients’ radars in a big way.
Whether it was last year’s debuts of bitcoin and ethereum exchange traded funds, the former’s ascent to $100,000 or other factors, clients are embracing crypto in significant fashion. Many are likely doing so in accounts held outside of an advisor’s purview, confirming that advisors, particularly those with clients in their 20s, 30s and 40s, should ask about crypto exposure.
Likewise, advisors should be prepared for more client inquiries about crypto. Bitcoin’s price ascent and expectations that regime change in Washington, D.C. will be a catalyst for digital currencies are among the reasons why clients are likely to be more crypto-interested than ever this year. Advisors that need convincing about need for more cypto education should read on.
Client Crypto Demands Could Reach Inflection Point
Motley Fool Money's 2025 Cryptocurrency Investor Trends Survey confirms that more investors, including those working with advisors will be entering the crypto market this year or building on previously established positions.
“Overall, 42% of respondents said they're likely to buy cryptocurrency in the next year -- in line with the general level of enthusiasm recorded in 2024. Respondents with the most interest and trust in cryptocurrency remain young males, many of whom have already invested in crypto,” according to the survey.
That percentage is large enough to imply clients could be active in terms of asking advisors crypto questions this year. Advisors could also go a long way toward adding value on the cryptocurrency front by understanding the issues clients fret about regarding this asset class.
“The top reasons for crypto skepticism are not knowing what to do with it, not understanding how to buy it, and security concerns,” adds Motley Fool Money.
Some Fine Points to Consider
For advisors, it’s often instructive to understand why advisors are interested in a specific asset class or security and cryptocurrency is no different. Fortunately, that interest is easily explained with many investors telling Motley Fool Money their crypto intrigue increased when bitcoin topped $100,000 and following President Trump’s victory last November.
Fifty-four percent of male respondents said their crypto interest increased when bitcoin hit six figures compared to 42% among women. Speaking of demographics, crypto ownership, not surprisingly, skews younger.
“Younger generations are more likely to be bullish on crypto due to Bitcoin's rise in 2024. Fifty-six percent of Gen Z and 62% of millennial respondents say they're more likely to buy crypto as a result, compared to 46% of Gen X and just 27% of baby boomers. Those results are again in line with how enthusiasm for crypto investing shakes out among generations,” concludes the survey.
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