The majority of family offices invest in digital assets as they believe in the future of blockchain technology.
Home offices see a drop in confidence in the digital assets market, despite 32% holding investments in the sector.
Goldman Sachs' recent report, "Eyes on the Horizon: Family Office Investment Insights," published on May 8th, highlights that 32% of family offices have investments in digital assets such as cryptocurrencies, non-fungible tokens (NFTs), decentralized finance (DeFi), and blockchain-focused funds.
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The driving force behind these investments, according to the report, is the belief in blockchain technology's potential, with 19% of investors citing this reason. On the other hand, only 8% and 9% of respondents attributed their investments to speculation and portfolio diversification, respectively.
While the proportion of cryptocurrency investments among those interested in digital assets has risen from 16% to 26% since 2021, the enthusiasm for potential crypto investments has plummeted in 2023. Only 12% of investors showed interest, a significant drop from 45% in 2021.
The report highlights a growing divide between those invested in cryptocurrencies and those uninterested in future investments.
Opinions on cryptocurrencies seem to have crystallized: a greater proportion of family offices are now invested in cryptocurrencies, but the proportion that are not invested and not interested in investing in the future has grown more.
The survey was conducted between January and February 2023, with over 160 home offices participating in the Goldman Sachs initiative. The participants were from various regions, including 95 in the Americas, 34 in Europe and the Middle East, and 37 in the Asia Pacific.
Overall, the report revealed that over 70% of family offices had a net worth of "at least $1 billion," with almost 40% of family offices planning to "increase their holdings in fixed income over the next 12 months."
