Wealthy Asian families and their investment arms are rapidly increasing their exposure to crypto, driven by strong market returns, favorable regulation, and the perception that digital assets are now a core part of diversified portfolios.
Key Takeaways:
Asian family offices are pouring capital into crypto, with NextGen raising over $100M in months.
UBS says Chinese family offices plan to lift crypto exposure to 5% of portfolios.
Wealth managers report a shift from small allocations to advanced strategies like arbitrage.
Jason Huang, founder of Singapore-based NextGen Digital Venture, said his firm raised more than $100 million in just a few months for its new long-short crypto equity vehicle, the Next Generation Fund II.
“Our investors — mainly family offices and internet or fintech entrepreneurs — recognize the growing role of digital assets in diversified portfolios,” Huang said. His first fund, wound down last year, had returned 375% in under two years.
UBS: Chinese Family Offices Plan to Lift Crypto Exposure to 5%
The growing allocation is also being noted by major banks. UBS said some overseas Chinese family offices plan to increase crypto exposure to around 5% of their holdings.
“Many second- and third-generation individuals of family offices are starting to learn about and participate in virtual currencies,” said Lu Zijie, head of wealth management at UBS China.
The rally in Bitcoin, which surged past $124,000 this month, has amplified the enthusiasm. President Donald Trump’s administration recently advanced the pro-crypto GENIUS Act, while Hong Kong’s stablecoin legislation has strengthened regional confidence.
“The momentum has definitely built, and I think it’s a function of just general maturity of the asset class,” said Saad Ahmed, head of Asia Pacific at Gemini.
Wealth managers noted a shift in mindset. A few years ago, family offices considered digital assets as an optional allocation; today, they increasingly view crypto as essential.
“Last year, they started to dip their feet into Bitcoin ETFs… now they have begun to learn the difference of holding a token directly,” said Zann Kwan, CIO of Singapore-based Revo Digital Family Office.
Some family offices are also embracing more complex strategies, moving beyond buy-and-hold. Lighthouse Canton, a Singapore wealth manager, said clients are exploring basis trades and arbitrage.
Fidelity International’s Giselle Lai added that Bitcoin is now being treated as a hedge against macro uncertainty, noting its low correlation with stocks and bonds.
HashKey Exchange Sees 85% Surge in Users Amid Crypto Boom
Exchanges are benefiting from the trend. Hong Kong’s HashKey Exchange reported an 85% jump in registered users year-on-year as of August 2025.
In South Korea, trading volumes at the three largest platforms are up 17% so far this year, with average daily turnover climbing more than 20%.
As reported, South Korean authorities are lifting restrictions on institutional trading and preparing to approve the country’s first spot crypto ETFs.
President Lee Jae Myung’s administration is also working on a stablecoin framework pegged to the Korean won, signaling a more open approach to digital finance despite the latest curbs.
Last week, Dunamu, the operator of South Korea’s largest cryptocurrency exchange Upbit, unveiled a new custody service aimed at corporate and institutional clients, as regulatory green lights for virtual asset investments spark growing demand for secure storage solutions.
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