Gen Z Sees Three Times More Potential in Bitcoin Than Real Estate

A recent survey reveals that Gen Z has high hopes for cryptocurrencies, with Bitcoin being a top choice for investment. The survey, conducted by Hong Kong brokerage firm Futu Securities, shows that Gen Z is three times more optimistic about crypto than real estate, signaling a significant shift in how they view financial security.

A Shift in Mindset

According to the survey, 23% of Gen Z respondents feel safer with just two Bitcoin in their portfolio than with HK$1 million (approximately $128,400) for a down payment on a home. In a city where property has always been a symbol of wealth and stability, this change in mindset is substantial.

There are several reasons for this optimism. Bitcoin surged 125% in 2024, breaking the $100,000 mark in December before settling around $97,000. Meanwhile, Hong Kong’s property market has struggled to deliver the same level of returns. With numbers like these, it’s no surprise that virtual assets are becoming a top choice for the younger generation.

Convenience and Security

For 45% of Gen Z respondents, the convenience and security of crypto investments outweigh traditional assets like real estate. It’s not just about the returns — it’s about flexibility. Cryptocurrencies offer a level of freedom that property ownership simply can’t match.

Economic Uncertainty

Hong Kong residents aren’t feeling too secure about their finances, with an average financial security rating of 6.43 out of 10. With economic uncertainty looming large, more than half of respondents are turning to investments to generate passive income. High earners, in particular, are diving headfirst into diverse and riskier assets.

Some key statistics include:

  • 25% of high earners have more than five income streams.
  • 34% invest over half their income.
  • 42% have invested in cryptocurrencies, with 66% seeing profits.

A Generational Shift

The younger generation is shaping a new narrative around wealth. For many Gen Z, owning property isn’t the dream anymore. Instead, holding “two BTCs” feels like a better bet for financial security.

This sentiment isn’t just about chasing returns; it’s also about optimism. Gen Z sees a brighter future for virtual assets. They’re excited about the potential of crypto, with some saying it offers freedom and flexibility that traditional assets can’t match.

“While the tech-savvy souls are undoubtedly drawn to the digital charms of Bitcoin, with its decentralized allure and futuristic appeal, the fluctuating property price in Hong Kong’s real estate market in the recent few years cannot be overlooked. It’s as if the younger generation, armed with smartphones and coding languages, is spearheading a financial revolution, where the allure of virtual assets clashes with the property market.” – Vivien Wong, partner liquid fund at HashKey Capital

Diversification is Key

The Futu report shows that diversification is key. Stocks and cryptocurrencies are the most popular asset classes for growth. U.S. stock trading volumes on Futu’s platform shot up by 88% in 2024, with sectors like AI, renewable energy, and healthcare leading the charge.

As Alan Tse, Futu’s managing director, puts it, “digital assets are becoming an essential part of modern portfolios.” As a result, the shift isn’t just about investments; it’s about a change in how Hong Kongers view financial security.

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