TLDR

SMSF crypto holdings fell 4% to $1.97 billion despite a 60% rise in Bitcoin’s price.
Younger Australians, aged 25-34, represent the largest crypto-holding demographic.
Coinstash and other exchanges launch services targeting SMSFs to tap into growing demand.
Global trends show increasing interest in using crypto assets for retirement plans, with the UK and US leading the charge.

The latest report from the Australian Taxation Office (ATO) reveals a 4% drop in crypto holdings within Self-Managed Super Funds (SMSFs) despite a significant rally in Bitcoin’s price over the past year. The report, published on September 3, 2025, shows that SMSF crypto holdings decreased from $3.12 billion to $3.02 billion over the last year, even as Bitcoin surged by 60% during the same period.

Crypto Holdings in SMSFs Decline Amid Market Growth

Data from the ATO highlights that, as of June 2025, the total value of crypto assets held in Australian SMSFs amounted to $1.97 billion USD, marking a $100 million decrease from the previous year. This decline contrasts with the broader cryptocurrency market’s performance, particularly the rise in Bitcoin’s value, which rose 60% year-over-year.

The discrepancy has drawn attention from crypto experts who suggest the data may be incomplete or misrepresented.

Simon Ho, the head of SMSF strategy at Australian crypto exchange Coinstash, argued that the figures might not be fully accurate. Ho explained that the tax returns used for the June 2025 figures are not due until May 2026. This gap, he suggests, could lead to underreporting, as the actual crypto holdings may have been more significant than what was recorded. Despite this, the data from the ATO indicates that crypto holdings in SMSFs have seen a substantial 41% increase compared to June 2023.

Growing Popularity of Cryptocurrencies Among Young Australians

Despite the 4% dip in crypto holdings for SMSFs, younger Australians are increasingly incorporating cryptocurrency into their retirement planning.

Recent research from Australian crypto exchange Independent Reserve revealed that 53% of Australians between the ages of 25 and 34 own crypto assets, making this group the largest demographic of crypto holders in the country.

This shift in crypto ownership could lead to substantial changes in SMSF holdings in the coming years, as these younger generations are likely to adopt more flexible retirement planning strategies that include crypto investments. As more Australians from younger age brackets embrace cryptocurrencies, the landscape of retirement saving may transform significantly.

Institutional Preparedness and New Crypto Services for SMSFs

In response to increasing interest in crypto in retirement portfolios, Australian crypto exchanges are gearing up to offer new services for SMSF investors. Platforms like Coinbase and OKX are rolling out services specifically tailored to meet the needs of SMSFs.

These services are part of a broader trend where crypto exchanges are trying to establish themselves as the go-to option for Australians seeking to incorporate cryptocurrencies into their retirement savings.

The growing institutional support for SMSFs reflects the shifting dynamics of the Australian crypto market. With the Labor government having recently signaled a need for clearer regulatory guidelines, there is a push for faster action on digital asset legislation. The market’s evolving demand for crypto products designed for retirement planning is expected to further accelerate the need for regulatory clarity in the space.

Global Trends in Crypto and Retirement Planning

Globally, there is a growing receptivity to using cryptocurrencies as part of retirement plans. A recent survey in the UK found that 27% of adults were open to holding cryptocurrencies in their retirement funds.

Similarly, in the US, President Donald Trump signed an executive order allowing 401(k) retirement plans to include Bitcoin and other digital assets. This surge in interest globally highlights a broader trend of digital assets becoming integrated into traditional retirement strategies.

The global trend of adopting cryptocurrencies in retirement plans underscores a shift in how retirement savings are viewed, with younger generations increasingly considering digital assets as a legitimate option. As cryptocurrency adoption continues to grow, it is expected that both institutional investors and individual savers will play a pivotal role in shaping the future of digital asset integration in retirement planning.

The post Australia’s DIY Retirement Savers Trim Crypto Holdings by 4% Despite Bitcoin Rally appeared first on CoinCentral.

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Filed under: News - @ September 4, 2025 2:30 pm