Family offices have a growing interest in digital assets. About a third of them invested in cryptocurrencies and NFTs between January and February 2023.
According to a report by Goldman Sachs, about 32% of family offices invest in digital assets, including cryptocurrencies, non-fungible tokens (NFT), decentralized finance (DeFi), and blockchain-related funds.
According to the report, the main motivations for investing in digital assets included:
- belief in future prospects of blockchain technology (19%);
- the ability to diversify investment portfolios (9%);
- the need to use DeFi apps (8%);
- the use of digital assets as a means of savings (8%);
- speculation (8%);
- the use of Web3, Metaverse, and GameFi apps (6%).
However, the report also indicated that family offices’ interest in crypto investing in the long term plummeted this year. For example, just 12% of investors indicated they would be willing to continue investing in digital assets, down from 45% in 2021. And another 26% said they were willing to think about it, but were unsure of the final decision because of disappointing trends in the crypto market.
The Goldman Sachs survey was conducted between January and February 2023 among 166 family offices from:
- Americas (57%);
- Europe and the Middle East (20%);
- Asia-Pacific (23%).
Despite the relatively low interest of family offices in investing in cryptocurrencies, institutional investors continue to believe in the prospects of digital assets. 81% of them plan to invest in the crypto market in the future.
