65% of Institutional Investors View Crypto as Crucial for Portfolio Diversification, Says Nomura Study

A growing number of institutional investors are embracing digital assets, driven by improving sentiment and expanding use cases, according to a new survey by Nomura and its crypto subsidiary, Laser Digital. The study, which gathered responses from over 500 investment professionals in Japan, found that 31% of respondents now hold a positive outlook on crypto for the next year, up from 25% in 2024, while negative sentiment has decreased, indicating a gradual shift in perception as the asset class matures. Diversification emerged as a key theme, with 65% of respondents viewing crypto as a vital portfolio diversifier, and 79% of those considering investment planning to do so within three years. Most institutions anticipate modest allocations, typically between 2% and 5%, suggesting they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with clearer rules in major markets and the approval of crypto investment products, such as exchange-traded funds (ETFs) and tokenized assets, reducing uncertainty. As a result, interest is expanding beyond simple price exposure, with over 60% of respondents expressing interest in staking, lending, derivatives, and tokenized assets, reflecting growing demand for yield-generating strategies and more sophisticated portfolio construction. Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases, including treasury management, cross-border payments, and investment in tokenized securities. Despite remaining barriers, such as volatility and regulatory uncertainty, the survey suggests that institutions are shifting their focus from whether to invest in crypto to how to do so, indicating that digital assets are becoming a more standard component of institutional portfolios.