KPMG China and Aspen Digital look to the future

KPMG China, in partnership with Aspen Digital, has published a report on the prospects for ‘family offices’ and high-net-worth individuals in Hong Kong and Singapore to invest in digital assets, including bitcoin. The report is based on a survey of this group of investors and interviews with stakeholders from the Bitcoin sector.

The report takes a closer look at how
family offices


family offices
A family office is a financial service provider that supports the (financial) objectives and wishes of a wealthy person, family or family business, among other things, by means of asset management. You can also think about guiding (setting up) complex legal structures and tax issues in the right direction.

and high net worth individuals invest, what the drivers behind their choices are and what they see as the main challenges. The report also examines the current market conditions and looks to the future.

Growing interest

Despite volatility, family offices and high-net-worth individuals are all too happy to invest in digital assets, including bitcoin. They are also not shy about investing in startups in the Bitcoin sector. The survey shows that 92% of respondents are interested in investing, with 58% of family offices and high net worth individuals already investing and 34% planning to do so.

The motive behind the growing interest seems to be – loosely translated – primarily greed. In other words, investors eagerly seek outrageous returns. Another factor is the proliferation of institutional investors, parties that invest large sums, making family offices and high-net-worth individuals more secure in digital assets than before.

The Bitcoin sector has undergone tremendous development in infrastructure and attracting talent over the past decades. This is also not expected to decrease if the report is to be believed. We recently saw that Nasdaq will launch a bitcoin custody service for institutional investors. This can possibly be seen as a continuation of the development.

How do they invest?

Although 58% of family offices and high net worth individuals already invest in digital assets, their allocation to this new
asset class


asset class
An asset class is a category of investments that have similar characteristics and are subject to the same or similar rules (laws and regulations). Think stocks, bonds, real estate, cash and commodities.

relatively small. Most of the respondents allocate less than 5% of their investment portfolio to the asset class. However, more than half of the respondents would like to increase this percentage.

Among digital assets that family offices and high-net-worth individuals invest in, cryptocurrencies dominate. All respondents who already invest in cryptocurrencies own bitcoin. The report also shows that family offices and high net worth individuals prefer user-friendly exchanges with good customer service. In some cases, respondents considered safety more important than a wide range of products.

Main challenges

As digital assets are still relatively new, there is still some uncertainty among family offices and high net worth individuals about investing in the sector. This applies especially within the area of ​​regulation. According to the survey, investors are looking for clear rules, also in the area of ​​taxation.

In Asia, regulators are aiming for a balance between investor protection that does not hinder the sector’s growth. For example, a new licensing scheme for bitcoin businesses will come into effect in Hong Kong on March 1, 2023. Such a licensing scheme is already in place in Singapore. Singapore, like Switzerland and Estonia, is a frontrunner in regulation and is seen by some as ‘the place to be for bitcoin companies.

Although challenges remain for the Bitcoin sector, the report shows that family offices and high net worth individuals in Southeast Asia have a serious interest in the sector. In times when central banks are raising interest rates again and again, bitcoin seems to be becoming more and more relevant in the world.


The report is based on a survey of 30 family offices and high net worth individuals in Hong Kong and Singapore. More than half (61%) of respondents have between $10 and $500 million under management. 12% of respondents have more than $500 million under management.

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