News

Oxfam Report: Majority of Billionaires Amass Wealth Through Inheritance and Monopoly Power

single-image

Billionaires are growing in number worldwide, but a significant portion owe their fortunes not to innovation or hard work, but to inherited wealth, cronyism, or monopolistic practices, according to a recent Oxfam report. The analysis reveals that 60% of the ultra-rich derive their wealth from systems that reinforce inequality, raising questions about fairness and the concentration of economic power.

Stay in the know on crypto by frequently visiting Crypto News Today

Oxfam Report Highlights Alarming Surge in Billionaire Wealth

The world’s billionaire class is expanding at an unprecedented rate, with nearly four new billionaires joining their ranks every week in 2024, according to a report from anti-poverty advocacy group Oxfam. The ultra-wealthy experienced a banner year, with their collective wealth increasing three times faster than in 2023. In total, billionaire fortunes swelled by $2 trillion, adding more than 200 new members to the global billionaire cohort.

CryptoCaster Quick Check:

Oxfam’s report projects that the accumulation of wealth at the very top will lead to the emergence of five trillionaires within the next decade. However, the report emphasizes that this massive wealth creation is not the result of merit or innovation. Instead, Oxfam finds that 60% of billionaire wealth stems from inheritance, cronyism, and monopoly power.

Inheritance, Lobbying, and Monopolies Drive Wealth Concentration

A significant portion of billionaire wealth is derived from inheritance, with trillions of dollars being passed down annually. Oxfam warns that this trend is fostering what it calls a “new aristocratic oligarchy,” which wields immense influence over politics and the economy. More than a third (36%) of billionaire wealth, according to the report, is inherited.

In the next three decades, over $5.2 trillion is expected to be transferred from current billionaires to their heirs. Alarmingly, Oxfam notes that much of this wealth transfer will go largely untaxed, as two-thirds of the countries studied impose no inheritance taxes on direct descendants.

Advertisement

Cronyism, another driver of billionaire wealth, involves the strategic support of friends and allies in politics, often through lobbying and financial backing. Oxfam estimates that 6% of billionaire fortunes come from such “crony sources.” Countries with weak regulations and governance tend to produce more billionaires, reflecting the influence of entrenched systems that favor the ultra-wealthy.

Finally, monopolistic practices have played a major role in maintaining billionaire fortunes. Oxfam highlights Amazon founder Jeff Bezos’ dominance in e-commerce and Nigerian billionaire Aliko Dangote’s control of the cement industry as examples of unmitigated monopoly power. Approximately 18% of billionaire wealth is tied to such exclusive market control.

Trump’s Role in Deepening Wealth Inequality

Oxfam’s report also delves into the impact of Donald Trump’s presidency on wealth inequality. President Biden, in his farewell address, had warned of a growing “oligarchy” threatening democracy, a sentiment echoed in the report’s findings. Between 2021 and 2024, the net worth of the 100 wealthiest Americans surged by $1.5 trillion, according to Bloomberg.

Oxfam attributes part of this surge to Trump’s policies, including massive tax breaks for the ultra-wealthy and corporations, which it says exacerbated inequality. The billionaire class received an additional boost following Trump’s election in November, as his administration’s policies were viewed as highly favorable to their interests.

CrypthosEthos
ADVERTISEMENT

Prominent billionaires attended Trump’s inauguration, underscoring their alignment with his administration. Among them were Amazon’s Jeff Bezos, Meta’s Mark Zuckerberg, Tesla’s Elon Musk, LVMH’s Bernard Arnault, and India’s Mukesh Ambani. Collectively, these individuals held a combined net worth of $1.35 trillion, according to Forbes. Oxfam notes that in 2024, the wealth of the 10 richest men in the world grew by an average of nearly $100 million per day.

A Call for Action Against Wealth Inequality

The growing concentration of wealth and power among billionaires has sparked criticism from political leaders and activists. Senator Bernie Sanders voiced his concerns on social media, tweeting about the oligarchic nature of the Trump administration. “When the 3 wealthiest men in America sit behind Trump at his inauguration, everyone understands that the billionaire class now controls our government,” he wrote, calling for collective resistance to rising inequality.

Oxfam’s findings serve as a stark reminder of the widening gap between the world’s richest individuals and the rest of society. As the billionaire class continues to consolidate its influence, the report raises critical questions about the fairness of the global economic system and the policies enabling this growing disparity.

The ongoing concentration of wealth, driven by inheritance, cronyism, and monopolistic practices, presents significant challenges to addressing inequality. Oxfam’s report underscores the urgency of implementing tax reforms, strengthening regulations, and fostering more equitable economic systems to counter these trends.


CryptoCaster™ steadfastly upholds its dedication to keeping our global audience well-informed about the ongoing adoption of blockchain technology, as well as the latest hurdles emerging from government-controlled fiat financial systems, banking conglomerates, and other major institutional entities. Our commitment extends to providing comprehensive updates and insights into how these developments affect the broader landscape of digital currencies, the potential regulatory impacts on blockchain innovations, and the evolving dynamics between traditional financial institutions and emerging cryptocurrency markets. By staying at the forefront of these critical issues, CryptoCaster™ aims to empower our audience with the knowledge needed to navigate the complex interplay of technology, regulation, and finance in the modern world. CRYPTOCASTER® - DECENTRALIZED FREEDOM! 


We hope you found this article insightful. Before you go, please consider supporting CryptoCaster’s independent journalism.

In the world of media owned by billionaires like Elon Musk, Larry Fink (BlackRock), and Jamie Dimon (JP Morgan Chase), influence over narratives surrounding cryptocurrency and Web3 often reflects their interests. CryptoCaster is different. With no billionaire backers or shareholder obligations, we are committed solely to public interest journalism, covering crypto advancements and institutional changes without profit-driven motives.

Unlike much of mainstream media, which can fall into neutrality traps that obscure the real impacts on retail investors, we’re guided by transparency and integrity. We are unafraid to take a stand in the ongoing struggle against fiat banking dominance and in support of the monetary innovation driven by crypto and Web3. Reporting on issues like FTX, Binance, and Ripple, we bring a bold, unfiltered outsider’s view on global financial disruption—free from the constraints of traditional media narratives.

CryptoCaster remains paywall-free, accessible to everyone, thanks to the support of readers like you. Your contributions keep us independent and help ensure that critical information on the crypto landscape reaches all. If you value our work, please consider supporting us with a one-time contribution starting at just $1 in Bitcoin or Ether, or even monthly if you’re able. Scroll down to find our wallet addresses and help keep CryptoCaster independent and thriving.

Thank you for your support,

Kristin Steinbeck
Editor, CryptoCaster


Please Read Essential Disclaimer Information Here.
© 2024 Crypto Caster provides information. CryptoCaster.world does not provide investment advice. Do your research before taking a market position on the purchase of cryptocurrency and other asset classes. Past performance of any asset is not indicative of future results. All rights reserved.


Contribute to CryptoCaster℠ Via Metamask or favorite wallet. Send Coin/Token to Addresses Provided Below.
Thank you!
BTC – bc1qgdnd752esyl4jv6nhz3ypuzwa6wav9wuzaeg9g
ETH – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D


CRYPTOCASTER HEATMAP


You may also like