In a surprising shift in investment behaviour, many Australian retirees are stepping into the world of cryptocurrency. Once considered a niche for tech-savvy millennials, digital assets like Bitcoin and Ethereum are now part of the retirement conversation.
With inflationary pressures, market volatility, and growing digital literacy, seniors are viewing cryptocurrency not as a gamble, but as a potential hedge and diversification tool. But what does this mean for traditional retirement planning?
Why Retirees in Australia Are Turning to Cryptocurrency
A growing number of older Australians are showing serious interest in digital assets. According to a 2025 report from ABC News, the number of Australians over 65 investing in cryptocurrency has more than quadrupled since 2019. Around 8% of retirees have already invested, and that number is expected to rise.
So, what’s driving this change?
- Diversification: Many retirees are adding cryptocurrency to their portfolios to spread their investment risk. With traditional assets like property and shares delivering mixed results, digital currencies offer an uncorrelated asset class.
- Inflation Hedge: With inflation affecting savings and fixed incomes, retirees are seeking assets that may retain value long-term. Cryptocurrency, especially Bitcoin, is often pitched as “digital gold.”
- Generational Influence: Children and grandchildren are introducing older family members to crypto platforms, often helping them to set up accounts and navigate the market.
- Technological Comfort: As more retirees use smartphones and digital banking, confidence in managing digital assets has also increased.
Real Stories Behind the Trend
Retirees like Terry and Justine Sanders from Brisbane have made headlines for investing $48,000 in Bitcoin back in 2019 and cashing out with nearly half a million dollars four years later. Their story, featured by the ABC, highlights both the risks and rewards of embracing digital finance during retirement.
But they’re not alone. Retirement-focused forums, YouTube channels, and crypto education events targeted at seniors are booming, providing peer support and shared knowledge.
Implications for Financial Planning
As retirees move into crypto, financial planners must respond. Traditional models that focus on superannuation, shares, and property may no longer be sufficient. Instead, advisers must consider how digital assets fit into a holistic retirement strategy.
1. Risk Management
Crypto markets are notoriously volatile. Planners must carefully assess a retiree’s risk profile. A minor crypto allocation—typically 1–5% of the portfolio—may be suitable for some, while others may be better off avoiding it entirely.
2. Regulatory Awareness
The Australian Securities and Investments Commission (ASIC) has issued clear guidance on the risks associated with crypto investments. There are also implications for tax reporting, especially when gains are realised. Retirees should always maintain detailed records and report crypto transactions to the ATO.
3. SMSFs and Crypto
More Self-Managed Super Funds (SMSFs) are exploring crypto investments. While permitted under certain conditions, the SMSF’s investment strategy must explicitly permit it. For retirees considering this path, it’s essential to comply with regulatory requirements and ensure proper custody and recordkeeping.
For an overview of how retirees can structure their financial futures, visit A.S.A.G. First’s guide to retirement planning.
Cautionary Notes and Professional Advice
Crypto investments are not suitable for everyone. Sudden losses, scams, and volatile price swings can be devastating—especially for those on fixed incomes. Experts, including Mary Delahunty from the Association of Superannuation Funds of Australia, urge caution when introducing retirees to crypto markets.
Common recommendations include:
- Start Small: Begin with a minimal investment and increase gradually only if comfort and understanding grow.
- Avoid FOMO: Fear of missing out can drive impulsive decisions. A measured approach works best.
- Use Reputable Platforms: Choose exchanges registered with AUSTRAC and implement two-factor authentication.
Recent Australian Studies on Crypto and Seniors
A 2024 research paper from the University of Sydney found that retirees engaging in crypto investment were more likely to seek financial advice and consume educational resources than younger investors. Another 2025 report from the University of Queensland explored the use of blockchain literacy tools to help older Australians better understand digital asset risks.
Both studies concluded that with the right education and safeguards, seniors can responsibly integrate crypto into their wealth planning.
Planning for the Digital Future
Cryptocurrency is not a passing fad. It’s reshaping how Australians of all ages think about money, assets, and future planning. For retirees, the question isn’t just whether to invest—it’s how to do so wisely.
With the right advice, careful planning, and a conservative approach, digital assets can complement traditional investments. The key is education, diversification, and understanding individual risk appetite.
The Future Outlook
The era of crypto-savvy retirees has arrived. As older Australians embrace digital finance, the financial planning industry must adapt. From SMSFs to mobile apps, retirees are showing that it’s never too late to explore new financial tools.
But while the potential is exciting, caution remains crucial. With measured steps and sound advice, retirees can navigate this brave new world confidently—and perhaps even profitably.
For further resources on retirement strategies, visit A.S.A.G.
Disclaimer: This article is for general informational purposes only and does not constitute financial advice. Please consult a licensed financial planner for tailored guidance.