Wealth managers in Asia have noticed a surge in demand for crypto assets as mainstream adoption and broader regulatory shifts drive prices to new highs. A recent report shared that wealthy Asian investors are seeking to grow their digital asset portfolios.
Wealthy Asian families and family offices are reportedly planning to increase their cryptocurrency investments amid the bullish market, mainstream adoption, and positive regulatory developments in multiple jurisdictions, including the US and Hong Kong.
Jason Huang, founder of NextGen Digital Venture, told the news media outlet that they had raised over $100 million in just a few months for a new long-short crypto equity fund launched in May.
He noted that the response from Limited Partners (LPs) that represent high-net-worth individuals “has been encouraging,” adding that his firm’s investors, which are mainly family offices and fintech entrepreneurs, recognize the “growing role of digital assets in diversified portfolios.”
Zann Kwan, CIO at Singapore-based Revo Digital Family Office, affirmed that family offices “started to dip their feet” into spot Bitcoin exchange-traded funds (ETFs) last year following the approval of the crypto-based investment products in the US. “Now they have begun to learn the difference of holding a token directly,” he added.
Reuters noted that the surging interest of Asian high-net-worth investors follows the recent market rally, which saw Bitcoin hit a new all-time high (ATH) of $124,128 last week, as well as positive regulatory developments, including the enactment of the GENIUS Act in the US and the passage of Hong Kong’s stablecoin legislation.
Cryptocurrency exchanges have also benefited from the increase in trading demand, with the number of registered users at Hong Kong’s HashKey exchange surging 85% year-on-year (YoY) by August.
South Korea, Malaysia, Thailand, and the Philippines are also experiencing high interest in Asian-pegged stablecoins despite authorities’ concerns of capital outflows, while Japan and China explore launching their stablecoins.
