Parents in the US are ditching traditional 529 college savings plans in favor of the ever-rising Bitcoin, reports reveal. With its historical price surge outpacing stocks, many parents see Bitcoin as a lucrative long-term investment to safeguard against economic uncertainties and inflation. Despite concerns over its volatility, these savvy investors believe in Bitcoin's ability to preserve value for the future.

Some parents view Bitcoin as a strategic diversification move within their investment portfolio, not intended to entirely replace traditional savings plans. They trust that their kids will weather any market fluctuations before tapping into the funds for their college education. Noted financier Rajat Soni suggests adding Bitcoin to the savings mix for kids, predicting substantial growth over time.

Bitcoin's recent record-breaking surge, reaching close to $110,000 this year from under $20,000 in 2022, further solidifies investor confidence in its potential. While Bitcoin presents huge profit opportunities, parents embracing cryptocurrency investments sacrifice the tax benefits of 529 savings plans, such as tax-free withdrawals for educational expenses.

Institutional and political backing for Bitcoin are also on the rise. Over 70 publicly traded companies currently hold over 600,000 BTC, reflecting growing confidence in Bitcoin's enduring value as a reliable asset. President Donald Trump's unexpected shift from a crypto critic to a staunch Bitcoin supporter has further validated the digital currency, sparking global interest, including from countries like the Czech Republic and Hong Kong.

Market analysts believe Bitcoin's decentralized nature, fixed supply, and global accessibility position it favorably against traditional investments. Travis Kling, founder of Ikigai Asset Management, recognizes Bitcoin as a shield against potential central bank mismanagement, suggesting it could outperform US Treasury bonds as a collateral base. Despite Bitcoin's volatility, Kling foresees greater stability and worldwide acceptance in the years to come, projecting a market capitalization of $15 trillion by 2035, showcasing its potential as a superior investment choice.