Family Offices Step Up Crypto Investments, But Volatility Clouds 2026
In 2025, family offices around the world increased their exposure to cryptocurrencies, with a growing number stepping into the market for the first time.
Key Points:
Many family offices made their first crypto allocations in 2025.
Bitcoin and Ether remain the main entry points, thanks to improved infrastructure that helps offset limited in-house expertise.
Market swings and weak recent prices are tempering optimism for broader adoption in 2026.
According to a report by Financial News, sharp price swings and underwhelming performance are causing some to question whether the momentum can continue into next year.
“Family offices moved from ‘crypto experimenters’ to structured allocators [in 2025], allocating modest but growing percentages of wealth to digital assets,” said Muhammed Yesilhark, chief investment officer at NOIA Capital.
Bitcoin and Ether Lead the Way
Most family offices are sticking with Bitcoin and Ether, focusing on areas where custody solutions, infrastructure, and risk controls have improved. Limited in-house crypto expertise has also kept the focus on these major coins.
Survey data shows a rapid rise in engagement. A BNY Mellon study published in October found that 74% of ultra-high-net-worth family offices are now investing in or actively exploring cryptocurrencies—a jump of 21 percentage points from the previous year.
Experts say this growth isn’t just about price cycles. A more developed ecosystem—including regulated investment vehicles, improved compliance, and better custody options—has made family offices more comfortable allocating capital.
Chris Rhine, head of liquid active strategies at Galaxy Digital, noted that many first-time investors took the time to do detailed due diligence, signaling a long-term approach rather than short-term speculation.
Even so, some high-profile moves made headlines. Hong Kong-based family office VMS backed the digital asset hedge fund Re7 with $10 million, marking its first crypto investment. Separately, the family office of Arthur Hayes plans to raise $250 million for its first crypto-focused private equity fund, highlighting growing confidence in the sector’s infrastructure.
What’s Next for 2026?
Looking ahead, Pete Najarian, founder of Raptor Digital, expects family offices to increase crypto allocations in 2026—especially if public markets reopen for digital asset companies. A revival in IPOs could draw interest from families seeking exposure through exchange-traded funds and other regulated vehicles.
However, recent market conditions are giving some investors pause. Since October, the crypto market has lost over $1 trillion in value, with Bitcoin and Ether each down more than 30%. Some investors, like a UAE-based family office representative, are shifting focus toward steadier assets such as real estate. “We are still far from broader adoption,” they said.
Yesilhark stressed that success in 2026 will depend on discipline. Family offices that focus on infrastructure, selective bets, and strong underwriting—rather than chasing short-term gains—are more likely to stick with crypto through the next market cycle.
