Around 90% of UK investors that currently don’t own crypto or currently invest in an exchange would invest in crypto with their financial provider if they had the option.
This finding comes from a report from digital banking solution developer Avaloq.
Furthermore, 79% of crypto investors buy and sell through an exchange, with just 24% investing through their traditional bank or wealth manager.
Avaloq highlighted the opportunity wealth managers have to enter the space by leveraging their expertise and trust. According to the survey, 25% of investors don’t invest in crypto due to a lack of trust in crypto exchanges. Their main reason (33% of respondents) was uncertainty about how to enter the crypto market, followed by 31% who believe the market is too volatile.
Uncertainty was also the main reason for not investing in non-fungible tokens, with 41% of investors stating this reason.
Avaloq head of strategic innovation, ecosystem and digital assets Nils Bulling said, “These findings highlight the immense potential for wealth managers to integrate digital assets into their offering to act as the bridge between centralised and decentralised finance. Especially as digital assets become more easily tradeable – both in the real world and in the metaverse.
“In the future, a digital assets offering will become increasingly important to remaining competitive, as many investors across all wealth segments will expect their financial provider to offer a one-stop-shop for advisory, investment and custodian services for both fiat and digital assets. Wealth managers must familiarise themselves with the technology and services currently available on the market to seamlessly incorporate digital assets into their portfolios.â€
Blockchain and cryptocurrency companies represented the most active FinTech sector in 2022, so far. Of the 3,447 investments into the FinTech sector during H1 2022, 20% of these were by blockchain and crypto companies.
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