In 2024, the world's 500 richest people have increased their wealth significantly and crossed the $10 trillion mark, according to data from Bloomberg. What caught the eye was the major role the cryptocurrency market played in this boom, with names like Elon Musk, Jensen Huang and Mark Zuckerberg at the forefront.
How crypto increased the pockets of adults
The crypto market is known for its high volatility and huge profits, which made it one of the most used investment tools by the rich in 2024. Digital currencies such as Bitcoin and Ethereum saw increases alongside meme coins such as Dogecoin and new projects such as NFTs and artificial intelligence technologies, all of which helped billionaires who invested from the beginning earn huge amounts of money.
Elon Musk, for example, used his statements and tweets to move the market and make profits from it. Mark Zuckerberg also played his role by integrating crypto and NFTs into the metaverse world that Meta is developing. As for Jensen Huang, the owner of Nvidia, he made a huge profit from selling processors used in mining digital currencies.
The ambition of the simple is the fuel of the rich
The other side of the story is that the simple people were the fuel that carried this market. Many simple people saw in crypto an opportunity to escape the pressures of life, or to make big profits quickly. When the prices of digital currencies rose, many entered into investing without sufficient experience.
But the problem is that this market is controlled by the big guys. There is manipulation through sudden price increases, the poor buy, then prices collapse, and people find their money gone. On the other hand, the rich sell at the highest point and make millions.
What is the solution?
The crypto market will not disappear, but people need to understand that investing in it is not an easy game, nor a guaranteed path to wealth. Governments and central banks also need to take action and regulate this market, and put in place laws that prevent manipulation and protect small investors.