Summary of this article
Wealthy Asian investors increasingly allocate funds to cryptocurrencies.
Trading activity and crypto fund interest surge regionally.
Direct token ownership gains popularity over ETFs in portfolios.
Wealthy investors in Asia are increasingly allocating funds to cryptocurrencies, encouraged by strong market performance, broader adoption of digital assets, and evolving regulatory frameworks in the region, Reuters reported.
Trading activity on cryptocurrency exchanges has risen sharply, while interest in crypto-focused funds has grown. Hong Kong's HashKey Exchange reported an 85 per cent increase in registered users over the past year. In South Korea, trading volumes at major exchanges have grown more than 17 per cent in 2025, with daily activity up over 20 per cent.
Jason Huang, founder of Singapore-based NextGen Digital Venture, told Reuters that his previous fund returned 375 per cent in under two years. His investors are primarily technology-focused entrepreneurs and high-net-worth individuals incorporating digital assets into diversified portfolios. He also said the fund raised over $100 million in just a few months.
Swiss investment bank UBS indicated that some overseas Chinese investors plan to increase cryptocurrency allocations to around 5 per cent of their portfolios. Lu Zijie, head of wealth management at UBS China, noted that younger generations are increasingly engaging with and learning about digital assets.
The growth in interest has also contributed to strong Bitcoin performance and favourable regulatory developments. Bitcoin hit record highs of more than $124,000 in early August and is now trading at $115,000. Hong Kong's stablecoin regulation has helped to boost market trust. Executives at crypto exchange Gemini said the momentum reflects the increasing maturity of the asset class.
Investor approaches have evolved over the past few years. Earlier, allocations were often small and made via ETFs. Today, many investors are exploring direct token ownership and tools to optimise returns. According to Zann Kwan, chief investment officer at Revo Digital Family Office in Singapore, clients are becoming more aware of the differences between direct ownership and ETF exposure.
This trend shows digital assets becoming a standard part of diversified portfolios in Asia.
As for adoption in Asia, the 2024 Global Crypto Adoption Index from Chainalysis ranks India first worldwide, led by retail activity on centralised exchanges. Also, Indonesia and Vietnam rank third and fifth with decentralised finance (DeFi) and a growing Web3 sector driving engagement.
