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Goldman Sachs Study Reveals Increased Crypto Engagement Among Global Family Offices

Goldman Sachs Study Reveals Increased Crypto Engagement Among Global Family Offices
According to a recent analysis by Goldman Sachs, a significant shift in the investment patterns of global family offices has been observed. There’s been an increased interest in and exposure to digital assets, including cryptocurrencies, DeFi and NFTs. The study indicates that 32% of family offices worldwide currently hold some form of digital assets. Interestingly, in comparison to a mere 16% in 2021, now 26% of these wealth management firms have invested directly in cryptocurrencies.

Shift in Investment Strategy

Goldman Sachs collected data from 166 family offices situated across the Americas, Europe, Middle East, Africa, and the Asia-Pacific region. The purpose was to identify how their investment approach has evolved over time. Comparing data from 2021, the study showed a 10% rise in direct investments in digital currencies. Goldman finds 26% of family offices invest in crypto. 62% have no interest  - Ledger Insights - blockchain for enterprise

Belief in Blockchain and Portfolio Diversification

The results from the study also provided insight into the motivations behind these investment decisions. A significant 19% of respondents cited the potential of blockchain technology as their primary reason for venturing into digital assets. Additionally, 9% of the participants sought to diversify their portfolios by adding digital assets. Meanwhile, 8% of the investors see digital currencies as a store of value, with another 8% investing in Bitcoin or other altcoins for speculative gains.

Regional Preferences for Crypto Investments

When it comes to the geographical distribution of cryptocurrency holders, the Asia-Pacific region leads the pack. Among these, 30% of family offices are holding onto their digital assets. Moreover, 27% of those currently without any crypto investments expressed interest in exploring this space in the future. Contrarily, the Europe, Middle East, and Africa region seems less enthusiastic, with only 15% crypto investors and a whopping 79% showing no interest in joining the crypto market.

Hong Kong and Singapore Leading in Digital Asset Investments

In a separate study conducted by KPMG China and Aspen Digital, it was found that nearly 60% of family offices and high-net-worth individuals in Hong Kong and Singapore have invested in digital assets. The study highlighted Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization, as the most popular among investors in these regions.

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