Despite the market having a tough year in 2022, eight in 10 high-net-worth (HNW) people have asked their financial advisors to include cryptocurrencies like Bitcoin in their portfolios in the past 12 months.
82% of millionaires seek advice on crypto!
According to the results of a study compiled by financial advisory firm deVere Group, 82% of clients with investmentable assets between £1m and £5m asked for advice on cryptocurrencies.
Nigel Green, CEO and founder of deVere Group, said in a press release shared with Finbold: “In 2022, the crypto market had its worst performance since 2018, and the headline-making market leader, Bitcoin, is about 75% in 2022. fell.
“The price drops came as investors reduced their exposure to risky assets, including stocks and crypto, amid growing concerns about inflation and slower economic growth.
“Nevertheless, against this backdrop of the so-called ‘crypto winter’, HNWs were constantly seeking advice from their financial advisors on incorporating digital currencies into their portfolios.”
Continued: “Interestingly, this typically more conservative group has not been deterred by the bear market and adverse market conditions. Instead, they have either started to include or increase their exposure to crypto.
This shows that these high-net-worth clients are increasingly aware of the inherent characteristics of cryptocurrencies such as Bitcoin, which have core values that are digital, global, borderless, decentralized and tamper-proof.”
“Wealthy investors understand that digital currencies are the future of money and they don’t want to stay in the past.”
Many of these HNWs surveyed will have seen a consistent increase in interest expressed by institutional investors, including Wall Street giants who bring more capital, influence and trust to the industry.
More services for interest in crypto
In recent months, JPMorgan has begun offering crypto-related services to its clients, such as Fidelity, BlackRock, and many other major ex-financial institutions such as New York Bank Mellon.
The deVere CEO believes this momentum of interest will increase further as the “crypto winter” of 2022 thaws.
“Bitcoin is on track for the best January since 2013, based on hopes that inflation has peaked, monetary policies have become more positive, and various crypto industry crises, including high-profile bankruptcies, are now in the rearview mirror.” says.
“The world’s largest cryptocurrency has risen over 40% since the start of the year and this will not go unnoticed by HNW customers and others looking to build wealth for the future.”
Nigel Green concludes: “If HNWs are showing such great interest in the 2022 bear market as market conditions improve steadily, they will be among the first to benefit from the upcoming bull run.”