Singapore’s Temasek Rules Out Crypto as $400B Fund Doubles Down on AI

Key Insights

• Temasek crypto investments remain absent after the FTX write-down.
• AI exposure could rise from 6% to 15% of the portfolio by 2031.
• Blockchain infrastructure stays in focus, but direct tokens remain avoided.

Temasek crypto investments remain off the table as Singapore’s state investor deepens its focus on artificial intelligence and blockchain infrastructure. The fund is valued at around $400 billion. It has not rebuilt direct digital asset exposure since writing down its FTX stake in 2022.

Crypto news reveals that Nagi Hamiyeh, Temasek’s president of global investments, said regulatory uncertainty still clouds crypto’s role in mainstream finance. The comments also come as CoinGecko data showed that Bitcoin trades near $62,824, while Ethereum is at $1,750.

That keeps institutional liquidity in crypto news under close watch.

Temasek Crypto Investments Stay off the Table After FTX

Temasek’s latest crypto news shows how the FTX Crypto loss still shapes its risk framework. The fund wrote down US$275 million after FTX collapsed. That exposure covered US$210 million in FTX International and US$65 million in FTX US.

Temasek Crypto News | Source: X

Temasek said in 2022 that the investment represented 0.09% of its net portfolio value. It also stressed that the stake was not a direct cryptocurrency position.

Hamiyeh told CNBC that the firm does not hold direct crypto investments today. He said the firm cannot yet determine how crypto assets will fit into the wider economy. For a sovereign investor, that uncertainty carries regulatory, reputational, and liquidity risks.

The message is cautious rather than dismissive. Temasek investments in crypto could return only after clearer rules emerge across major markets. Until then, direct token exposure does not match the fund’s mandate.

Temasek Shifts Focus Toward Blockchain Use

The firm is still tracking blockchain infrastructure, even as direct crypto exposure remains absent. The firm views the technology as more useful when linked to real-world systems. Those areas include settlement, supply chains, identity, and enterprise data flows.

This gives Temasek a way to follow digital asset innovation without absorbing daily token volatility. It also separates infrastructure from speculative trading.

In broader crypto news, large investors have shown more interest in tokenization and payment rails than outright coin holdings. Banks and asset managers continue testing blockchain platforms for faster settlement and lower back-office costs.

Temasek investments in digital assets, therefore, remain a narrow category. The wider opportunity sits in software, infrastructure, compliance tools, and digital finance systems. That structure allows the fund to monitor adoption while avoiding direct balance-sheet exposure.

AI Exposure Rises as Firm Shifts Portfolio Weight

Artificial intelligence is taking more capital inside Temasek’s long-term plan. The fund aims to lift AI exposure from 6% of its portfolio to 15% by 2031. Its focus is practical business use, not only frontier models.

Hamiyeh said the key question is not always who owns the most advanced model. The larger opportunity may sit with companies that use AI to build stronger operations.

According to reports, Temasek also keeps about 25% of its portfolio in liquid assets. That gives the fund room to manage shocks and move into new trends as valuations shift.

Some AI valuations have outpaced fundamentals, so Temasek is choosing entry points carefully. That caution echoes its position on FTX Crypto exposure, where reputational lessons still affect allocation choices.

In other words, Temasek’s investments in crypto are now being weighed against stronger themes in AI, infrastructure, and private credit.

Europe has become a larger destination for the firm. Hamiyeh said the region attracted about €12 billion across two years. Key areas include luxury goods, consumer brands, energy transition, and family-owned industrial companies.

Defense remains selective. Temasek focuses on dual-use technologies and reviews governance links on a case-by-case basis. Its current direct defense exposure is limited to ST Engineering.

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