Singapore's Crypto Investors Get Savvy: "Flight-to-Quality," Profit-Taking Define New Era

Forget the FOMO-driven frenzy of past crypto cycles. Singapore's digital asset investors are entering a new, more discerning era, characterized by strategic profit-taking, a "flight-to-quality," and a clear preference for established cryptocurrencies like Bitcoin. This is according to the 2025 Independent Reserve Cryptocurrency Index (IRCI) , released today, which paints a picture of a maturing market focused on thoughtful, disciplined plays rather than speculative hype.

The annual study by Independent Reserve (IR), Singapore’s first licensed cryptocurrency exchange, reveals that despite a bull market rally in 2024, nearly half (49%) of Singaporean crypto investors have sold part or all of their holdings, with a significant 67% of those reporting they locked in profits. This strategic deleveraging has led to a slight dip in overall crypto ownership in Singapore, from 40% in 2024 to 29% this year.

"What we’re seeing from this year’s IRCI data is not a retreat from crypto, but a recalibration," said Lasanka Perera, CEO of Independent Reserve Singapore. "Seasoned investors in Singapore have weathered a few market cycles and are now choosing to concentrate on a handful of strong, well-established cryptocurrencies they have conviction in."

Bitcoin Reigns Supreme, Stablecoins Bridge the Gap

In this era of selective investment, Bitcoin continues to be the undisputed king, with 68% of crypto investors holding the digital asset. Awareness of Bitcoin has also jumped significantly, reaching 91% of respondents. Interestingly, the report highlights that Bitcoin supporters still overwhelmingly prefer direct investment via crypto exchanges over ETFs or other intermediated products.

Meanwhile, stablecoins are rapidly emerging as a crucial bridge between traditional finance and the decentralized world. With 46% of crypto investors in Singapore owning or having owned stablecoins, their utility extends beyond mere trading tools. The IRCI data shows a significant 53% of stablecoin holders are using them for "real-world transactions," including payments, overseas transfers, and DeFi activities.

"This year’s Independent Reserve Cryptocurrency Index (IRCI) makes one thing abundantly clear: stablecoins are becoming essential infrastructure across APAC (and the globe) for the adoption of crypto as a whole. The IRCI data shows the market is ready," Fiona Murray, APAC managing director at Ripple, said.

Beyond the Hype: Focus on Quality & Regulation

The report underscores a significant shift away from FOMO-driven investments, with declining influence from friends and family, media curiosity, and exchange promotions as motivating factors. Instead, Singaporean investors are prioritizing portfolio diversification and wealth growth, viewing digital assets as a complementary class to traditional investments.

Confidence in the long-term future of crypto remains robust, with 77% of crypto investors believing Bitcoin will stay above S$100,000 ($77,500) by 2030, and 57% expecting mainstream adoption. However, a key takeaway is the strong demand for regulatory clarity, with 58% stating it would increase their trust in cryptocurrency. Singaporeans also expect greater corporate responsibility and robust safety measures from crypto companies.

"The scars of past market losses have upended investor behaviour, steering them towards high-quality assets that maintain resilience in volatile conditions," added Mark Wong, IR Singapore's head of trading. The data suggests a focused portfolio is a winning strategy, with 75% of investors holding two to five cryptocurrencies reporting gains or breaking even, compared to only 40% for those with eleven or more.

While the "Trump effect" and his pro-crypto stance in the U.S. have garnered attention globally and positively influenced some Singaporean investors, the report notes that Singaporeans generally take a more measured view, factoring in broader global trends.