One-quarter of asset managers and hedge funds in the U.S. and Europe have recruited senior executives to oversee digital asset strategies, according to a recent report.
Based on the findings of a market intelligence firm, an increasing number of investment firms in the United States, the United Kingdom and Europe are appointing senior executives to lead digital asset investment strategies.
According to a recent Amberdata report titled “Digital Assets: Managers’ Data Infrastructure Fuel,“ 24% of asset management firms have adopted a digital assets strategy, with an extra 13% planning to do so in the next two years.
“These roles are being staffed up, with almost a quarter of firms with a senior role dedicated to digital assets, reflecting seriousness about implementation as well as senior management buy-in.”
The report surveyed 60 investment professionals across the U.S., U.K. and Europe. The interviewees included asset managers, hedge funds and other investors.
Approximately half (48%) of the study participants include digital assets in their firm’s portfolio. Amberdata also forecasts that in the coming two years, an increasing number of asset managers will continue to emphasize digital asset trading and investment strategies.
Despite ongoing regulatory pressure in the U.S. crypto industry from the Securities and Exchange Commission (SEC) and Commodities Futures Trading Commission (CFTC), Amberdata predicts a potential positive outcome in the next few years:
“The good news is that the tide may be turning. In the next five years, the SEC and the CFTC are expected to be providing the most positive opportunities for investors in our study,” the report states.
Additionally, it highlighted that Ripple’s recent partial legal victory against the SEC may attract more asset management firms to adopt a digital asset strategy.
In recent news, European digital asset manager CoinShares reported a total revenue of 20.3 million pounds ($25.9 million) in the second quarter of 2023, a 33% increase compared with the prior year’s quarter.