The traditional wealth management industry, previously hesitant about cryptocurrencies, is witnessing a surge in demand for digital assets from its high-net-worth clients, particularly in locations like Dubai, Switzerland, and Singapore. This shift has prompted private banks and asset managers to integrate crypto services into their portfolios as a response to this evolving market landscape. 39% of high-net-worth individuals in the United Arab Emirates (UAE) own cryptocurrency assets, according to research by Avaloq, a Swiss software firm, conducted in February-March 2025 involving 3,851 investors and 456 wealth management professionals. However, only 20% of these investors are currently utilizing traditional asset managers for their crypto holdings. The UAE has become a global crypto center thanks to its oil wealth, low tax structure, and favorable environment for foreign investments, particularly due to the Virtual Assets Regulatory Authority (VARA), established in Dubai in 2022. Despite this growth, private financial institutions are wary of cryptocurrencies. Avaloq survey data reveals concerns around high volatility, complex technology, and wallet management as main reasons behind this hesitation. The UAE’s growing crypto adoption is fueled by the rebounding cryptocurrency market with Bitcoin hitting new all-time highs. This surge in prices has led to a 40% increase in the number of crypto millionaires globally, reaching 241,700 in 2025, according to the Henley & Partners Crypto Wealth Report 2025. Singapore, Hong Kong, the US, Switzerland and the UAE have emerged as key investment hubs for digital assets. This article does not constitute financial advice.