Singapore investors are more likely than their global peers to increase long-term allocations into crypto, according to a new report released by digital asset banking group Sygnum on Nov 14.
Almost 60% of Singaporean investors surveyed express this sentiment, compared to the survey average of 47%. In addition, the report found that Singaporean investors are also more likely than their global peers to invest more or start investing in crypto.
The annual report by Sygnum titled Future Finance, surveyed over 400 respondents with an average of 10 years of investment experience, across institutional investors to professionals from financial institutions.
Singapore-based respondents made up 121 out of the 400 participants, and 90% of them said access to quality information and a better understanding of the asset class will encourage them to invest more or start investing in crypto. This is in contrast to the global average of 76%.
Sygnum notes that investors based in Singapore are also less likely to view the lack of regulatory clarity as a primary barrier to entry.
The top reason for investing in crypto is wanting exposure to the crypto megatrend, followed by portfolio diversification, and as a yield generation. More than 65% of investors in Singapore said they have a greater risk appetite for the asset class.
See also: Bitcoin resumes advance, rekindles US$100,000 milestone optimism
Almost 40% cited the availability of institutional-grade products as a reason to increase their allocations.
Now, security and custody concerns are the biggest barrier for Singapore institutional adoption, followed by lack of understanding, and asset volatility.
These investors also believe that mutual funds, corporate bonds, equity and hedge funds have the greatest tokenisation potential.
See also: Bitcoin retreats from US$100,000 in worst spell since Trump’s win
The results of this survey was published just a day after Bitcoin briefly hit a new record of US$93,000, riding on the post-Trump euphoria.
Sygnum, a digital asset bank licensed in Singapore, Switzerland, Luxembourg and the United Arab Emirates, announced in January this year that it raised more than US$40 million ($53.54 million) in an interim close of its latest funding round.
The funds raised are aimed to fund its expansion into new markets and development of B2B products. The firm says that it has grown its assets under administration to over US$4 billion with 1,700 clients from more than 60 countries, since its series B fundraise.
