Investment Firm Report Shows 62% Of Clients Would Switch To Financial Advisors Offering Bitcoin Advice

New York-based digital asset investment firm NYDIG (NASDAQ: BTCNX)’s recent survey has revealed “unprecedented client demand” for advisors to offer access to Bitcoin.

What Happened: According to the report, 62% of clients said that they would switch financial advisors to one that offers advice about Bitcoin.

The report also found that while one in five clients already own the highly valued cryptocurrency, only 3.5% of those clients hold that Bitcoin with their financial advisor.

“The increasingly widespread adoption of Bitcoin has perhaps caught many advisors by surprise, and few manage Bitcoin for their clients today,” said NYDIG in the report.

“Advisors may wonder if their clients prefer to hold their Bitcoin away from their advisor, but the data points to a clear conclusion: they want their advisors involved.”

Why It Matters: On the back of client demand, several wealth management divisions of large Wall Street banks have opened the doors to cryptocurrency as an investment product.

Last month, Morgan Stanley MS told its network of financial advisors that it would be offering clients access to three Bitcoin funds. The bank’s wealth management clients holding at least $2 million in assets with the firm would be eligible to invest in the asset class through the bank.

Not long after, Goldman Sachs Group Inc GS joined Morgan Stanley in opening up its wealth management division to cryptocurrencies. The bank said it would begin offering crypto investments to clients in the second quarter of the year.

Goldman is looking at ultimately offering a “full-spectrum” of investments in bitcoin and digital assets, “whether that’s through the physical bitcoin, derivatives or traditional investment vehicles,” said Mary Rich, the newly appointed global head of digital assets for Goldman’s private wealth management division.