Crypto Millionaire: A Definitive Guide

Crypto is one of the most searched keywords on Google and fascinates crypto investors – how they can become millionaires.

The Crypto industry had already seen ups and down in the past decade. It’s been one of the industries to produce the most millionaires.

Wanted to know how to become a crypto millionaire.

Let’s dive right into it!

What is a crypto millionaire?

A crypto millionaire is someone who has mined, invested in, or traded cryptocurrencies and now has a net worth of $1 million+ due to cryptocurrencies.

The term “Crypto Millionaire” was coined by Forbes magazine in 2017 when Bitcoin prices were at an all-time high.

It is often used to refer to those who have been able to make a substantial amount of money through trading cryptocurrencies.

Can crypto make you a millionaire?

Yes, Crypto can make you a millionaire. If you make a portfolio of cryptos with excellent and cost-effective blockchain technology few of them might explode in a few years.

Investing in crypto is not just about buying low and selling high technology and innovation also plays a major role in the development and growth of a cryptocurrency.

The Crypto industry has the potential to make people millionaires but can snatch all the money you have if you do not play the game smartly.

How many crypto millionaires are there?

Nowadays it’s common to listen to how people are becoming millionaires by investing in cryptocurrencies. 

Unemployed brothers invested pennies in a meme coin and woke up becoming millionaires. These types of stores fascinate people to know more.

Currently, the crypto market is facing lower circuits which can be seen in how the bitcoin price falls from $64,000 to just $18,000.c

However, according to Bitinfocharts, there are more than 75,000 bitcoin accounts holding Bitcoin worth more than $1 Million.

According to a new survey by CNBC, 83% of millennial millionaires are invested in cryptocurrency and 53% of the total have half of their wealth in crypto punks.

World’s Top 5 richest Crypto Billionaires

It is not easy to become a millionaire, but it is much more difficult to become a millionaire. With more than 84K bitcoin millionaires, few can reach the billionaire mark.

The people listed below are some of the wealthiest people in the world in the crypto market. Most of them become billionaires developing a product to grow the ecosystem.

1. Changpeng Zhao

Changpeng Zhao, better known as CZ, is a world-renowned cryptocurrency billionaire. 

He founded Binance in 2017 and has since become the world’s largest cryptocurrency exchange.

Zhao immigrated from China to Canada at the age of 13. Soon after he got introduced to cryptocurrency via a poker game.

Thereafter he got into crypto and even sold his apartment for Bitcoin in 2014. 

Binance offers more than 600 cryptocurrencies to its 90 Million user base and made $9.5 Trillion worth of trades in the year 2021. The company offers its services in more than 180 countries.

As per Bloomberg Billionaire Index his net worth is estimated to be $96 Billion in January 2022 but currently stands at $17.4 Billion.

2. Sam BankmanFried

Sam BankmanFried is the richest person in crypto after the sudden fall of Changpang’s net worth.

He and his friend Gary Wang founded FTX in May 2019 which 2nd the largest crypto exchange in.

According to Fobes Billionaire Index, his net worth peaked at $26.5 Billion in October 2021 and also made a place in the “30 under 30 – Hall of Fame” in 2022.

Currently, his net worth stands at $19.7 Billion making him the second richest person in cryptocurrency.

3. Tyler and Cameron Winklevoss

Identical Winklevoss brothers invested $11 Million into cryptocurrencies from $65 Million which they made from their lawsuit against Facebook.

Also, they become the first crypto billionaires in December 2017 when reached over $19,000(an all-time high the for next 3 years) in December.

In 2014 Winklevoss brothers founded the Gemini crypto exchange being #8 ranked as the biggest cryptocurrency exchange.

While their major wealth was built over their early investments in Bitcoin Gemini contributed a bit too.

Tyler and Cameron Winklevoss both have a net worth of $3.2 Billion holding 70,000 bitcoins and other digit assets as well.

4. Brian Armstrong 

Brian Armstrong is the founder and CEO of Coinbase cryptocurrency exchange being ranked #3 among the biggest crypto exchanges.

In 2012 he quit his job and thereafter co-founded Coinbase with Fred Ehrsam.

Armstrong holds 19% stakes in Coinbase. In the year 2020 Coinbase made $1.14 Billion in revenue and $322 Million in profits. 

In the first half of 2021 Coinbase already reached a turnover of $4.03 Billion making $2.36 Billion in profits.

Currently, their user base reached 56 Million being 8.8 Million active users.

Brain Armstrong’s net worth was valued at $2.1 Billion which was $6.6 Billion at the beginning of 2022.

5. Fred Ehrsam

Fred got to learn about digital currencies when he played World of Warcraft. He started to get into currencies and also worked as a foreign exchange trader at Goldman Sachs for two years.

After that Fred co-founded Coinbase with Brian in 2012 and made it one of the largest crypto exchanges with his second co-founder.

Later Fred left the company in 2017 but maintain his position on the board and hold a 6% stake in the company.

After this, he founded a cryptocurrency investment firm named “Paradigm” which manages worth $1 Billion worth of assets.

According to Forbes Billionaire Index, his net worth is currently valued at $2.1 Billion.

How to become a Crypto Millionaire

The world is changing and the way we do things, including how we handle money, is evolving. It is becoming more and more difficult to keep up with all the changes.

With that here are the steps to becoming a Crypto Millionaire –

Step #1: Start with the basics

The cryptocurrency market is a global phenomenon. It has been growing exponentially over the past few years and it doesn’t seem like it will stop anytime soon.

The most popular of these currencies is Bitcoin, which was created in 2009.

There are four main types of crypto coins:

– Cryptocurrencies (e.g., Bitcoin)

– Tokens (e.g., Ethereum)

– Utility tokens (e.g., Filecoin)

– Security tokens (e.g., Polymath)

Learning basics will make you understand the operation of blockchain technology which you may find a little fancy to talk about previously.

Like understanding what cryptocurrencies are?

Cryptocurrencies are digital assets that are not issued by a central bank or backed by any government, but instead, use a decentralized system to record transactions on a public ledger.

Step #2: Selecting the type of cryptocurrency

The Crypto market can be more daunting compared to stock markets. Even experienced traders sometimes get into traps.

It can be a bit hefty to find out the best opportunity which can make you money. Becoming a crypto millionaire isn’t about buying low and selling high.

Most people who became super-rich from crypto had built a business around it. Selecting the type of cryptocurrencies you can work with will be a good decision to make.

While before selecting you should explore maximum opportunities to find the perfect one.

Step #3: Build your investment strategy

After selecting the type of cryptocurrency you gonna look for you need to build an efficient investment strategy.

Deciding whether you will do trading or investments in crypto can help you build a plan over it.

If you decided to go with trading you gonna learn about technical analysis and need to have a look at the daily news.

If you turn it on investment you need to look for fundamentally strong cryptos expected to grow in the near future.

Step #4: Be consistent

Whatever decision you make you need to stay consistent with that. Switching it every week does not build your wealth over time but rather just gives you sleepless nights and daydreams.

Being consistent with your strategy helps you understand the field better and you can make changes accordingly.

These steps do not go to guarantee you to make millions out of cryptocurrencies but can give you a decent start.

Making continuous improvements is the only key that can make dollars for you.

Conclusion

The Crypto industry had made many millionaires. But it will be foolish to expect it will do so in the future as well.

Selecting a good cryptocurrency with future potential can be time-consuming. In end, it will ensure you will not lose your money in speculation.

Solely investing in crypto can be very risky.

You should invest a proportion of your investments that you are willing to lose in any given scenario. As it won’t affect you if it fails to deliver returns and can also make you a millionaire in a very short period of time.