There is massive opportunity for UK wealth managers when it comes to crypto, according to digital banking solutions and wealth management technology firm Avaloq.
Avaloq’s research states that 89% of UK investors who either don’t own crypto or currently invest via an exchange would seek to invest in crypto with their financial provider if given the chance.
Furthermore, there is a gap as 79 of crypto investors buy and sell through an exchange. Only 24% invest via a traditional bank or wealth manager.
In addition, the biggest reason for not investing in crypto (33% of respondents) was uncertainty on how to even enter the market. 31% believed the market was too volatile.
Uncertainty on how to get started in NFTs was the most popular reason for not investing in them.
Nils Bulling, head of strategic innovation, ecosystem and digital assets at Avaloq, said: “These findings highlight the immense potential for wealth managers to integrate digital assets into their offering to act as the bridge between centralized 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.”
The UK is starting to take blockchain and crypto seriously.
Launched by fintech blackfridge, poundtoken is the first British-regulated stablecoin backed 1:1 by pound sterling (GBP).
poundtoken (GBPT) also allows direct GBP access to digital asset markets and facilitates frictionless real-time settlements.