Family Offices Stay on the Crypto Sidelines as AI Takes Priority

• Most family offices continue to avoid crypto, citing volatility and uncertain portfolio relevance.
• AI dominates future investment priorities, though portfolios lag stated ambitions.
• Private equity interest is rising, while traditional hedges remain underused.

Family offices continue to avoid cryptocurrency exposure, even as digital assets remain a prominent market talking point, according to JPMorgan Private Bank’s 2026 Global Family Office Report. 

The study found that 89% of surveyed family offices currently hold no cryptocurrencies, despite heightened geopolitical risk and ongoing debate around portfolio diversification. The report attributes this reluctance to concerns over volatility and uncertainty around how digital assets fit within long-term allocation frameworks.

While crypto remains sidelined, artificial intelligence (AI) has emerged as the dominant investment theme among wealthy families globally. Around 65% of family offices said AI would be a priority area for future investment, significantly outpacing interest in digital assets.

However, existing portfolios have yet to reflect this ambition, with a majority holding limited exposure to growth equity, venture capital, or infrastructure linked to AI development.

Infrastructure investment remains particularly underrepresented, with 79% of families reporting no allocation despite AI’s dependence on data centres, power networks, and digital systems. Many families instead maintain heavy exposure to public equities as a proxy for technology and AI-related growth.

Related: US Sanctions Blacklist UK Crypto Exchanges Over Iran-Linked Activity

Private Markets Gain Momentum

Beyond technology, family offices are increasingly focused on private markets, with 37% planning to increase private equity allocations over the next 18 months. This shift is partly driven by growing interest in secondaries, which offer discounted entry points and vintage diversification.

Despite ranking geopolitics as the leading investment risk, most family offices remain underallocated to traditional hedges such as gold and cryptocurrencies. The report suggests this reflects a preference for established strategies rather than emerging or volatile asset classes.
Related: CrossCurve Bridge Drained in US$3M Smart Contract Exploit Across Multiple Chains

The post Family Offices Stay on the Crypto Sidelines as AI Takes Priority appeared first on Crypto News Australia.