Interest in cryptocurrency is waning among family offices according to the results of a survey conducted by Goldman Sachs. The survey garnered responses from 166 family offices around the world which are wealth management firms typically handling the investments for high-net-worth individuals and families. The responses show that 26% of family offices are invested in crypto, compared to only 16% in 2021. On the other hand, those that have not invested in crypto and still have no interest in investing grew substantially between 2021 and 2022, from 39% to 62%. Interestingly, a higher proportion of family offices in the Asia-Pacific region (APAC) are invested in crypto, with 30% reportings that they are invested, compared to those in the Americas and Europe, Middle East and Africa (EMEA) which the proportion is half. Moreover, 27% of APAC family offices expressed an interest going forward.

The crypto market has had a turbulent year between the November 2021 crash of crypto exchange FTX, the demise of Terra’s algorithmic stablecoin and declining token prices. Bitcoin and Ether, the two largest cryptocurrencies by market cap, have both declined by 60% from the all-time highs reached in November 2021. Despite the bearish events of 2022, surveys from other investment banks such as Brown Brothers Harriman & Co, found that the events did not significantly impact the allocations of institutions to crypto funds. Bitwise’s January survey further reveals that 80% of advisers allocating to crypto on behalf of clients would keep or even increase those positions in 2023.

Overall, survey results paints a mixed picture with regards to the investment in crypto among family offices. While the proportion of family offices invested in crypto has increased, the proportion that have not invested or have no interest in investing is higher. Nevertheless, surveys from other banks suggest that the events of 2022 did not exert a major impact on the investment in crypto, both among family offices and institutions.



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