According to recent research from UBS, more than a third of family offices in America plan to increase their investment rates in cryptocurrencies. DeFi-focused projects are among the first choices.
Despite SEC pressure, US family offices consider cryptocurrencies
Family offices are defined as a private company that handles investment and wealth management for a prosperous family. They typically have at least $50 million to $100 million in investable assets. Their primary goal is to effectively nurture and transfer wealth across generations. According to recent research from UBS, more than a third of these investors plan to increase their investment in cryptocurrencies.
On June 16, popular Bitcoin analyst Willy Woo shared UBS’s research, saying, “If you think crypto is dead under the current US regulatory FUD, here’s some perspective.” He pointed out the statistic from the report revealing that 35% of family offices have cryptocurrency plans.
The UBS Global Family Office Report 2023 was released on May 31. The report noted that this class of investors has seen “the biggest change in strategic asset allocation in several years.” In addition, the survey included 230 family offices worldwide with an average total net worth of $2.2 billion.
Accordingly, 27% of family offices plan to invest specifically in cryptocurrencies this year. According to the report, about a quarter of them said they are looking at decentralized finance (DeFi) investments.
US family offices are looking specifically for DeFi-focused investments
According to the report from UBS, about a quarter of family offices prefer DeFi-focused cryptocurrencies. As of June, the biggest projects in this category are as follows:
- Avalanche (AVAX)
- Chainlink (LINK)
- Uniswap (UNI)
- Internet Computer (ICP)
- Lido DAO (LDO)
- Rocket Pool (RPL)
- Stacks (STX)
- AAVE (AAVE)
- Phantom (FTM)
- Tezos (XTZ)
- Theta Network (THETA)
- Maker (MKR)
- Conflux (CFX)
- Curve DAO Token (CRV)
- Injective (INJ)
- Synthetix (SNX)
- Kava (KAVA)
- Frax Share (FXS)
- PancakeSwap (CAKE)
- Looping (LRC)
Related to market in Japan
Meanwhile, a relevant survey by Japanese banking giant Nomura revealed that 96% of professional investors see cryptocurrencies as “representing an investment diversification opportunity.” This was in addition to traditional asset classes such as fixed income, cash, stocks and commodities.
One-third of family offices in America are already crypto investors
As Goldman Sachs reported, as early as May, 32% of family offices in the US were already investing in cryptocurrencies. In addition to crypto, family offices are also showing interest in stablecoins, NFTs, and Blockchain-focused funds. As reported by Kriptokoin.com, the potential interest of institutional investors was also supported by the BlackRock ETF filing of the week.
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