A 1% shift into crypto by Asian investors could generate $2 trillion in new capital, says a BlackRock exec.

A senior executive at BlackRock said even a small shift in portfolio allocations across Asia could translate into enormous inflows for the crypto market.

Speaking at Consensus in Hong Kong, Nicholas Peach, head of APAC iShares, pointed to the vast reserves of household wealth in the region and the growing institutional embrace of crypto exchange-traded funds (ETFs). He said model portfolio advisors are increasingly recommending a 1% allocation to cryptocurrencies within diversified investment strategies.

With an estimated $108 trillion in household wealth across Asia, Peach noted that a 1% allocation would amount to nearly $2 trillion in potential inflows — a figure representing a substantial portion of the current crypto market’s total value.

Peach framed the example as a way to underscore the scale of capital still largely untapped in traditional finance. Even conservative adoption, he argued, could meaningfully reshape the digital asset landscape.

BlackRock’s iShares division — the world’s largest ETF provider — has been central to expanding regulated crypto access for mainstream investors. In January 2024, the firm launched the iShares Bitcoin Trust (IBIT) in the United States. The fund quickly became the fastest-growing ETF on record and now manages close to $53 billion in assets.

According to Peach, the surge in crypto ETF demand is not limited to the U.S. Asian investors have accounted for a notable share of inflows into U.S.-listed crypto products. More broadly, ETF adoption across the region has accelerated, with investors increasingly using the structure to gain exposure to equities, fixed income, commodities, and digital assets alike.

Financial centers including Hong Kong, Japan, and South Korea are progressing toward launching or expanding crypto ETF offerings as regulatory clarity improves. Industry observers expect local ETF ecosystems to deepen further as frameworks mature.

For BlackRock and other asset managers, Peach said the next phase will involve aligning product availability with investor education and disciplined portfolio construction.

“The pools of capital in traditional finance are extraordinarily large,” he said, adding that it would take only modest adoption to generate significant financial impact.

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