The late Charlie Munger, a key figure at Berkshire Hathaway, was known for his blunt financial advice. One of his most memorable pieces of wisdom was about the importance of saving your first $100,000. Speaking at a Berkshire Hathaway shareholder meeting in the late 1990s, Munger famously remarked, “The first $100,000 is a b——, but you gotta do it,” stressing the significance of this financial milestone.
Munger didn’t sugarcoat the effort required to reach this goal, advising people to do whatever it takes to save that amount. “I don’t care what you have to do. If it means walking everywhere and not eating anything that wasn’t purchased with a coupon, find a way to get your hands on $100,000,” he said.
Over 450,000 Bitcoin Addresses Have Achieved the Milestone
In the world of Bitcoin, it appears many have taken Munger’s advice seriously, at least in the digital realm. As of 2024, more than 450,000 Bitcoin addresses hold assets worth $100,000 or more, based on current cryptocurrency exchange rates. This marks the third time in Bitcoin’s history that this milestone has been surpassed.
The previous two times occurred during the 2020 Bitcoin halving cycle, specifically in February and October 2021, when Bitcoin’s value spiked, pushing more addresses into the six-figure range.
The Fair Distribution of Bitcoin Wealth
The distribution of wealth within the Bitcoin economy is notably more balanced than one might expect from such a high-tech financial system. Of the 19.7 million BTC that have been mined so far, over half—around 11.97 million BTC—are held by individual investors, according to Bitcoin Treasuries data.
This contrasts with the concentrated wealth often seen in traditional financial systems. Nevertheless, there are still some significant holders of Bitcoin. Satoshi Nakamoto, the mysterious creator of Bitcoin, is believed to own around 1.1 million BTC. Governments hold about 565,000 BTC, and hedge funds and ETFs collectively control roughly 818,000 BTC.
How Many of These Addresses Belong to Millennials?
Given Bitcoin’s popularity among younger generations, it’s interesting to consider how many of these high-value addresses might be owned by Millennials—those born between 1981 and 1996. A survey by Bankrate published in May suggests that Millennials account for about 57% of total cryptocurrency ownership.
If this percentage holds true, it could mean that around 256,500 Bitcoin addresses with $100,000 or more are owned by Millennials. This number is likely to grow as Bitcoin’s value continues to increase, further solidifying this generation’s influence in the cryptocurrency market.
Reaching $100,000: Following Munger’s Advice
For those still working toward saving their first $100,000, CNBC recently outlined seven strategies to help reach that goal within a year. These include:
- Creating a budget and automating savings.
- Maximizing contributions to employer-matched savings plans.
- Paying off debt aggressively.
- Saving tax refunds and bonuses.
- Finding ways to boost income.
Munger’s advice was clear: focus intensely on saving that first $100,000. After achieving this milestone, he said, “You can ease off the gas a little bit.”
In the Bitcoin world, it seems that many people are not only following Munger’s advice but are also leveraging the power of digital assets to reach that goal. Whether through hard work, smart investing, or a combination of both, hitting that first six-figure mark is a crucial step toward financial success—whether in traditional finance or the emerging world of cryptocurrency.
