According to a new survey by the deVere Group, more than a quarter of high net worth investors (HNIs), from around the world plan to include non-fungible tokens (NFTs) in their investment portfolio in 2022.
The deVere Group surveyed over 450 HNIs from North America, the UK, Asia, Africa, the Middle East, East Asia, Australasia, and Latin America. Around 26% of them affirmed their intention to add NFTs into their investments mix before the end of the year.
“More and more investors around the world are understanding and valuing the potential of NFTs as major global sports franchises, fashion brands, and household name artists and musicians pile into the market,” noted deVere CEO and founder Nigel Green in a press release shared with Economy Middle East.
The development comes in the backdrop of coffee giant Starbucks sharing its vision to make NFTs a significant part of their current app-based digital ecosystem. Food chains such as Burger King have already started offering NFTs as incentives to patrons.
The deVere Group press release also talked about the launch of a series of NFT by the Mercedes-AMG Petronas Formula One. The first batch of about a dozen was introduced during last weekend’s inaugural Miami Grand Prix, as part of the team’s efforts to engage with its fans.
“Collecting memorabilia has always been a huge part of following your favorite sports team and we’re excited to create these genuinely cool digital collectibles that will also unlock new ways for fans to be closer to the Mercedes-AMG Petronas F1 team,” remarked Richard Sanders, Commercial Director of the Mercedes-AMG Petronas F1 Team.
While the adoption of NFTs by major brands across different sectors is surely a factor, Green thinks that for a majority of the HNIs though, investing in NFTs is all about diversification of their portfolio.
“Proper diversification of a portfolio across asset class, sector, region, and currency is the best way an investor can position themselves to mitigate risks and to seize opportunities when they are presented,” commented Green.
In his opinion, NFTs can help lower a portfolio’s overall risk and volatility levels, which makes them particularly appealing as an investment tool.
The deVere Group conducted the survey after launching its own NFTs platform called dV Gems, earlier this year to help investors add NFTs into their portfolios.
Green expects the appeal of NFTs as an investment tool will continue to increase as more investors realize the immutable-yet-exchangeable nature of digital assets.
