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Asia’s Wealthy Families Boost Crypto Exposure Amid Favorable Regulation

2 mins
Updated by Oihyun Kim
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In Brief

  • Wealthy Asian families and family offices are raising crypto allocations, with some targeting around 5% of their portfolios, reflecting growing confidence in digital assets.
  • Wealth managers note Asian clients now see crypto as a “must-have” in portfolios, a sharp change from earlier cautious, small-scale allocations.
  • Optimism stems from clearer rules in major markets such as the U.S. and Hong Kong, alongside rising mainstream applications that enhance legitimacy for crypto investments.
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Asia’s wealthiest families and family offices have significantly increased crypto exposure, taking advantage of improving regulations and strong returns.

These high-net-worth investors now consider digital assets integral to a modern diversified portfolio.

Wealth Managers Report Rising Crypto Allocation

Wealth managers across major Asian markets report surging interest. UBS indicates some overseas Chinese family offices plan to grow crypto holdings to roughly 5 percent of their portfolios. Reuters reported that institutions that initially tested bitcoin ETFs are now embracing direct token exposure.

One catalyst is the performance of a crypto equity fund. Jason Huang, founder of NextGen Digital Venture, stated:

“We raised over $100 million in just a few months, and the response from LPs has been encouraging.”

That fund achieved a 375 percent return in under two years. Market-neutral strategies such as arbitrage also attract sophisticated investors seeking low-correlation returns.

Regulatory Clarity Drives Confidence

Regulation plays a critical role. Hong Kong passed legislation covering stablecoins, while US policymakers advanced the GENIUS Act, further legitimizing digital assets. According to Reuters, these developments are encouraging wealthy families to expand their crypto holdings.

BeInCrypto reported that Asia’s Web3 regulations complement global frameworks, ensuring compliance while supporting innovation. This alignment reduces barriers for investors seeking exposure to tokenized products and custody services.

Hong Kong and Singapore remain regional hubs. Authorities now support bond tokenization, digital gold platforms, and custody frameworks.

According to the Financial Times, recent reforms include streamlined licensing and tax considerations designed to attract family offices and fund managers.

Bitcoin’s surge above $124,000 coincided with record daily volumes at HashKey Exchange and major South Korean exchanges, signaling robust demand across Asia.

The Knight Frank
Wealth Sizing Model | Knight Frank

Global wealth trends reinforce this shift. Knight Frank’s Wealth Report highlighted that Asia-Pacific now leads in ultra-high-net-worth growth, creating stronger demand for diversified digital investment vehicles.

Strategic Implications for Family Offices

Shifts in investment strategy highlight several trends:

  • Capital flow security: Regulatory clarity lowers entry risks, making long-term exposure more attractive.
  • Product innovation: Diversified crypto instruments appeal to traditional families and new investors.
  • Regional advantage: Singapore and Hong Kong’s frameworks reinforce Asia’s leadership in digital wealth.

These moves coincide with growing allocations into tokenized products and custody services, building a sustainable ecosystem for institutional-grade crypto investment.

Many family offices have shifted from ETFs to direct token ownership. This change reflects a desire for flexibility, liquidity, and control over holdings as crypto markets mature.

Clarity on taxation, licensing, and custody standards is fostering greater trust in digital assets. Regional frameworks provide the infrastructure for long-term adoption, while family offices leverage their position to capture growth in tokenized wealth.

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Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Shota Oba
After interning at a domestic blockchain media company while enrolled at a university in international relations, he worked as an intern trainee at two foreign crypto asset exchanges. Currently, as a journalist, he focuses on the Japanese crypto asset market, both technical and fundamental analysis. He has been trading crypto assets since 2021 and is interested in economic and social affairs.
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