A new report came from Bank of New York Mellon (BNY Mellon), one of the Wall Street giants, where interest in Bitcoin and cryptocurrencies continues to increase day by day.
BNY Mellon revealed in a recent report that family offices are increasingly adding cryptocurrencies to their portfolios.
Stating that family offices are investigating new investment opportunities and turning to them, BNY Mellon said that crypto currencies constitute 5% of the portfolios of family offices.
According to the 2024 BNY Mellon Wealth Management Survey , approximately 39% of family offices surveyed are either actively investing in or considering cryptocurrencies.
Stating that this rate underlines the intense interest in cryptocurrencies, which are the modern asset class, BNY Mellon said that some family offices remain hesitant about investing in BTC and cryptocurrencies.
While 38% of survey respondents expressed disinterest in cryptocurrencies, citing concerns about the high volatility of digital assets and the uncertain regulatory environment, they also stated that their hesitations included concerns about hacking and cybercrime in cryptocurrencies.
“In keeping with their entrepreneurial nature, family offices demonstrate that they are ready and willing to move forward into new and emerging opportunities.
“Cryptocurrencies make up 5% of portfolios, an allocation that would have been unthinkable a decade ago.”
Among those researching or investing in cryptocurrencies, spot cryptocurrency ETFs are clearly preferred, while some have expressed a preference for trading directly on exchanges.
What are Family Offices?
The concept of Family Office arose from the need for family members to diversify their assets and manage them in a performance-oriented manner while continuing their main pursuits.
Family offices are privately owned organizations established by wealthy families to manage their wealth, plan their family's financial future, take advantage of investment opportunities, and provide other services to family members.
*This is not investment advice.
