Most Asian private wealth invests or plans to invest in crypto

A recent report by Aspen Digital indicates that 76% of private wealth in Asia is already invested in digital assets, while an additional 18% are planning to enter the market. 

This marks a notable increase in interest compared to 2022 when only 58% of respondents had ventured into the digital asset space. 

The report surveyed 80 family offices and high-net-worth individuals, primarily managing assets between $10 million and $500 million. 

Despite the growing interest, 70% of current investors have allocated less than 5% of their portfolios to digital assets. 

However, some have increased their exposure to over 10% this year, reflecting a gradual shift toward more substantial investments. 

The growing appeal of Blockchain technology, particularly decentralised finance (DeFi) and decentralised physical infrastructure networks (DePIN), has drawn more attention from Asian private wealth. 

Two-thirds of the respondents showed interest in DeFi, while 61% were keen on DePIN, signaling a broader interest in blockchain's technological applications beyond cryptocurrency trading. 

Aspen Digital’s report also highlighted optimism around Bitcoin's (CRYPTO:BTC) outlook, with 31% of respondents predicting that Bitcoin could reach $100,000 by the end of 2024. 

This bullish sentiment suggests a continued interest in digital assets despite market volatility. 

The rise in interest has been fueled partly by the availability of spot Bitcoin exchange-traded funds (ETFs), with 53% of respondents gaining exposure to digital assets through funds or ETFs. 

This aligns with a global trend reported by the Global Crypto Hedge Fund Report from AIMA and PwC. 

The report showed that crypto exposure among hedge funds increased from 29% in 2023 to 47% in 2024, largely due to regulatory clarity and the launch of crypto ETFs in major markets like the United States and Asia. 

Spot Bitcoin ETFs were introduced in the U.S. in January 2024, followed by the launch of spot Bitcoin and Ether (CRYPTO:ETH) ETFs in Hong Kong in April.