Half of UK advisers report crypto oversight gap; 61% restrict crypto

CoinShares surveyed 261 wealth management professionals across France, Germany, Italy, Switzerland and the United Kingdom and found a large portion of client cryptocurrency holdings sit outside adviser oversight. In the UK, 52% of advisers reported a management gap above 50%. Across the five countries, one in four advisers reported a management gap above 50%.

The report defines the management gap as the share of a client's digital asset exposure that advisers do not oversee. That includes holdings on personal exchange accounts and assets kept in self‑custody wallets.

CoinShares identified firm policy as the main driver of the gap. Sixty‑one percent of advisers work at firms that either explicitly restrict digital assets or provide no clear internal guidance, a group the report labels “blocked firms.” In blocked firms, active recommendation of crypto products is 1%, compared with 48% in firms that offer clear internal support. The management gap averages 34% in blocked firms and 4% in supported firms.

Jean‑Marie Mognetti, co‑founder and CEO of CoinShares, wrote that the issue is a firm‑policy problem becoming a wrong‑way risk. The report found that more than three‑quarters of advisers who say they do not feel sufficiently informed to advise on digital assets work in blocked firms, indicating limited training where firms do not position themselves to support advisers.

Respondents ranked regulatory recognition of digital assets as a mainstream asset class as the top factor that would increase their confidence, chosen by 45%. Access to exchange‑traded products was next at 43%. Client‑facing educational tools were rated lowest at 9%.

The survey flagged a “self‑investing signal” where rising client interest coincides with large unmanaged exposures. Eight percent of advisers reported this pattern across the sample; in the UK the figure was 14%, the highest among the countries surveyed. CoinShares warned that ongoing firm silence can allow client wealth to migrate beyond advisers' visibility and influence.

The report notes upcoming regulatory and market changes that could affect the gap. The Markets in Crypto‑Assets framework will complete its transition period on July 1, creating a harmonized European market. The UK regulator has proposed allowing authorised funds to hold up to 10% in crypto exchange‑traded products, and French authorities are reviewing which assets may qualify for UCITS funds. Italy reported the lowest management gap in the survey at 12%, which the report links to a permissive retail advisory model and frequent direct adviser‑client contact.

The data are based on the CoinShares survey of 261 wealth management professionals in the five countries. The report frames the management gap as driven by firm policy and regulatory structure rather than by adviser capability or client demand.