 
 
A senior BlackRock executive said Asian household wealth could serve as a major driver for digital assets if investors allocate even a small portion of their holdings to crypto.
Nicholas Peach, head of APAC iShares at BlackRock, has stated that a modest 1% allocation within standard portfolios could potentially translate into trillions of dollars in market inflows.
Tiny Allocation With Massive Impact On Crypto
Speaking during a panel discussion at Consensus Hong Kong, Nicholas Peach noted that growing institutional adoption of cryptocurrency exchange-traded funds (ETFs), especially in Asia, is changing market expectations for the sector.
Some model advisors, he revealed, now recommend allocating 1% to cryptocurrencies as part of a diversified investment portfolio. “If you do some fun math… there’s about $108 trillion of household wealth in all of Asia,” he added. So you take 1% of that… and that’d be just south of $2 trillion of inflows into the market, which is what, 60% of what the market is now?”
Peach used this example to demonstrate how even modest portfolio adjustments could have a significant impact on the crypto industry. He emphasized that the focus is on gradual reallocation, even if adoption remains conservative.
 
BlackRock’s flagship spot Bitcoin fund, the iShares Bitcoin Trust (IBIT), has played a key role in giving traditional investors regulated crypto access. IBIT has emerged as the fastest-growing ETF in history, now with about $54 billion in assets under management.
But for Peach, the surge in crypto ETFs is not limited to the U.S. market.
ETF Mania Hits Asia
Asian investors have made up a significant share of flows into U.S.-listed crypto ETFs. “There’s actually been a boom in ETF adoption more broadly in the region,” the BlackRock executive posited, adding that investors are increasingly turning to ETFs for exposure not only to crypto but also to equities, fixed income, and commodities.
Markets across Asia, including Hong Kong, Japan, and South Korea, are advancing plans to launch or expand crypto ETF offerings. Industry analysts anticipate that these regional platforms will grow further as regulatory frameworks become clearer.
The next challenge for BlackRock and other asset managers is ensuring that investors not only have access to products but also understand how to incorporate them into their portfolios.
Peach noted that the capital available in traditional finance is immense, and even a small level of adoption can produce substantial financial results.