65% of Institutional Investors Consider Crypto a Crucial Portfolio Diversification Tool, According to Nomura Study

A new study conducted by Tokyo-based bank Nomura and its crypto arm, Laser Digital, indicates a growing acceptance of digital assets among institutional investors, driven by improving sentiment and the emergence of new use cases. The survey, which gathered responses from over 500 investment professionals in Japan, found that 31% of respondents now have a positive outlook on crypto for the next year, up from 25% in 2024. Meanwhile, the number of respondents with negative views has decreased, suggesting a gradual shift in perception as the asset class matures. A key finding is that 65% of respondents view crypto as a vital tool for diversifying their portfolios, with 79% of those considering investment planning to do so within the next three years. Most institutions expect to allocate between 2% and 5% of their portfolios to crypto, indicating that they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with policymakers in Japan refining crypto frameworks over the past year. Globally, the introduction of clearer rules and the approval of crypto investment products such as ETFs and tokenized assets have reduced uncertainty and encouraged institutions to invest. As a result, interest in crypto is expanding beyond simple price exposure, with over 60% of respondents expressing interest in staking, lending, derivatives, and tokenized assets. Stablecoins are also gaining popularity, with 63% of respondents identifying potential use cases such as treasury management and cross-border payments. However, barriers to adoption remain, including concerns around volatility, counterparty risk, and the lack of established valuation frameworks. Despite these challenges, the survey suggests that the conversation around crypto is shifting, with institutions increasingly focused on how to invest in digital assets rather than whether to do so, indicating that crypto is moving closer to becoming a standard component of institutional portfolios.