Key Takeaways
- • Wealthy Asian families and family offices are increasing crypto allocations, with some overseas Chinese family offices planning to lift exposure to around 5% of portfolios, according to UBS.
- • NextGen Digital Venture founder Jason Huang says his firm raised over $100 million in a few months for its Next Generation Fund II, a long-short crypto equity fund launched in Singapore in late May.
- • Demand is being fueled by Bitcoin's record run above $124,000 in August, the U.S. GENIUS Act and Hong Kong's recently passed stablecoin legislation.
- • Crypto exchange activity is rising, with HashKey Exchange registered users up 85% year-on-year by August 2025 and South Korea's three major exchanges seeing 17% higher total trading volumes year-to-date versus 2024, per CryptoQuant.
- • Sophisticated family offices are moving beyond spot exposure into market-neutral strategies such as basis trades and arbitrage, according to Lighthouse Canton.
Summary
Wealthy Asian families and family offices are ramping up cryptocurrency investments, driven by bullish sentiment around digital assets, broader mainstream adoption and favorable regulatory developments in key markets, Reuters reported from Hong Kong and Singapore on August 21, 2025. Wealth managers say they are receiving more inquiries, exchange trading volumes have surged, and crypto funds are in strong demand from high-net-worth Asian investors.
Fund-level evidence is emerging. Jason Huang, founder of NextGen Digital Venture, said the firm raised over $100 million in just a few months from limited partners, who are mainly family offices and internet and fintech entrepreneurs. He launched the Next Generation Fund II, a long-short crypto equity fund, in Singapore in late May, after winding down his first fund in 2024, which returned 375% in less than two years.
UBS said some overseas Chinese family offices plan to raise crypto exposure to around 5% of their portfolios. Lu Zijie, head of wealth management at UBS China, said second- and third-generation family office members are increasingly learning about and participating in virtual currencies. Zann Kwan, chief investment officer at Singapore-based Revo Digital Family Office, said family offices first dipped into bitcoin ETFs last year and have now begun learning the difference of holding tokens directly. Lighthouse Canton, a Singapore-based wealth manager, said more sophisticated family offices have started adopting market-neutral strategies such as basis trades and arbitrage. Giselle Lai, associate investment director for digital assets at Fidelity International, said investors increasingly view bitcoin as a portfolio diversifier to hedge macro uncertainty, given its low correlation with stocks and bonds.
The demand shift is also visible in market data. Bitcoin hit record highs in August, surpassing $124,000. Wealth managers say Asian clients have moved from wanting a small allocation to treating digital assets as a must-have in portfolios. Saad Ahmed, head of Asia Pacific at crypto exchange Gemini, attributed the momentum to the general maturing of the asset class. The surge follows U.S. regulatory developments under President Donald Trump, including the recently approved GENIUS Act, as well as Hong Kong's passage of stablecoin legislation.
Exchanges are benefiting as well. HashKey Exchange in Hong Kong said its registered users rose 85% year-on-year by August 2025. Total trading volumes at South Korea's three major exchanges grew 17% in 2025 compared with the same period of 2024, with average daily volumes up more than 20%, according to CryptoQuant.
Fund-level evidence is emerging. Jason Huang, founder of NextGen Digital Venture, said the firm raised over $100 million in just a few months from limited partners, who are mainly family offices and internet and fintech entrepreneurs. He launched the Next Generation Fund II, a long-short crypto equity fund, in Singapore in late May, after winding down his first fund in 2024, which returned 375% in less than two years.
UBS said some overseas Chinese family offices plan to raise crypto exposure to around 5% of their portfolios. Lu Zijie, head of wealth management at UBS China, said second- and third-generation family office members are increasingly learning about and participating in virtual currencies. Zann Kwan, chief investment officer at Singapore-based Revo Digital Family Office, said family offices first dipped into bitcoin ETFs last year and have now begun learning the difference of holding tokens directly. Lighthouse Canton, a Singapore-based wealth manager, said more sophisticated family offices have started adopting market-neutral strategies such as basis trades and arbitrage. Giselle Lai, associate investment director for digital assets at Fidelity International, said investors increasingly view bitcoin as a portfolio diversifier to hedge macro uncertainty, given its low correlation with stocks and bonds.
The demand shift is also visible in market data. Bitcoin hit record highs in August, surpassing $124,000. Wealth managers say Asian clients have moved from wanting a small allocation to treating digital assets as a must-have in portfolios. Saad Ahmed, head of Asia Pacific at crypto exchange Gemini, attributed the momentum to the general maturing of the asset class. The surge follows U.S. regulatory developments under President Donald Trump, including the recently approved GENIUS Act, as well as Hong Kong's passage of stablecoin legislation.
Exchanges are benefiting as well. HashKey Exchange in Hong Kong said its registered users rose 85% year-on-year by August 2025. Total trading volumes at South Korea's three major exchanges grew 17% in 2025 compared with the same period of 2024, with average daily volumes up more than 20%, according to CryptoQuant.
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