A recent report by the Financial Times indicates that luxury travel companies are beginning to accept cryptocurrencies to attract clients among crypto millionaires.
Cryptocurrencies in Luxury Travel
Cruise companies and private jet operators have started accepting digital currencies. FXAIR, which offers premium flights starting at $6,500 per hour, reports an increasing number of clients interested in cryptocurrencies. Virgin Voyages was the first cruise line to accept Bitcoin last year.
Number of Crypto Millionaires
Determining the exact number of crypto millionaires is quite challenging due to the pseudonymous nature of cryptocurrencies. According to CNBC, last August, around 172,300 individuals held more than $1 million in cryptocurrencies. There were also more than 300 crypto centi-millionaires and 28 crypto billionaires. The total number of crypto millionaires has likely increased significantly this year amid Bitcoin's price surge, which recently hit a record of $124,128.
Growing Luxury Travel Segment
According to McKinsey, luxury travel spending is expected to top $54 billion in the next three years. Demand for this segment is anticipated to grow faster than any other industry segment. Ultra-high-net-worth individuals with net worth exceeding $30 million tend to favor remote destinations accessible via private airports. Notably, the vast majority of the luxury travel market (around 80%) is now made up of people under 60.
The growing interest of crypto millionaires in luxury travel and digital currencies presents new opportunities for companies operating in this segment. This trend is expected to continue, given the increasing number of high-budget travelers and their preferences.
