Three-quarters of wealthy investors in Asia will own digital assets by 2022: report – TechCrunch
73% of “wealthy” investors in Asia plan to hold some form of digital asset by the end of 2022, according to a new source. report from consulting firm Accenture.
It’s not clear how Accenture surveyed the population in the expanding area or identified “wealthy” investors. What is clear is that the wealthy in Asia, like their counterparts in the US, are increasingly looking for digital assets – which can include cryptocurrencies, stablecoins, crypto hedge funds. Cryptocurrencies, security tokens and asset-backed tokens – to build Personal Wealth.
Currently, 52% of wealthy investors in Asia hold digital assets, according to Accenture. In the US, up to 83% of annual millionaires own cryptocurrency, according to a survey published by CNBC in December.
Despite the growing interest of Asian investors, most wealth management firms in the region are yet to offer clients digital asset recommendations – and two-thirds of them There are currently no plans to do so, according to Accenture.
On the other hand, a variety of startups have sprung up to address the growing demand for crypto financial services from high net worth and institutional investors in Asia. One of the best-funded crypto asset managers in the region is Amber Group, founded in 2018 by a group of former Morgan Stanley traders. Start up reaching one $3 billion valuation in its fundraising that ended in February and is said to have raised a new round at $10 billion valuation. Babel is another rival in space, which has seen its value increase 2 billion dollars in the May.
While companies like Amber provide a comprehensive crypto-asset platform for investors, other startups are developing a backing infrastructure for crypto-financial products.
For example, staking has become a popular way for investors to earn passive income. It works by locking up a person’s cryptocurrency in a certain network for a reward, much like an interest-bearing savings account. That’s because certain networks like Ethereum verify transactions using a “consensus mechanism” known as a “consensus mechanism”.proof of stock,“Remove centralized intermediaries.
The process of staking or putting one’s token on the network to prove the legitimacy of a blockchain transaction can be too technical for the average investor, so services like RockX are based in Singapore. has emerged to provide staking services to wealthy individuals and institutions. Start up raised $6 million Series A led by Amber in April and plans to include its technology in Amber’s offering.
In a year, assets managed by RockX grew to $1 billion from $200 million, founder and CEO Zhuling Chen told TechCrunch in May.
Chen expects the betting demand of Asian investors to increase rapidly in the coming years. Many Western users have already explored staking, but the region is only just beginning to gain traction in Asia, he commented. During the first few years after the birth of Bitcoin, Asia accounted for a significant portion of the world’s crypto retail investors, who mainly traded tokens on exchanges for short profits. term. Now that institutions and family offices in the region increasingly want to add crypto to their long-term portfolios, staking presents an investment opportunity for them, Chen said.