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

A growing number of institutional investors are embracing digital assets, driven by improving sentiment and the emergence of new use cases, according to a recent survey conducted by Nomura, a Tokyo-based bank, and its crypto subsidiary, Laser Digital. 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. Conversely, negative sentiment has decreased, indicating a gradual shift in perception as the asset class matures. A key theme emerging from the survey is the role of diversification, with 65% of respondents viewing crypto as a vital component of portfolio diversification. Furthermore, 79% of those considering investing in crypto plan to do so within the next three years, with most expecting to allocate between 2% and 5% of their portfolio to crypto, suggesting that institutions 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, including discussions on classification, taxation, and investor protection. Globally, clearer regulations in major markets, alongside the approval and expansion of crypto investment products such as ETFs and tokenized assets, have reduced uncertainty and encouraged institutions to participate. 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, reflecting a growing demand for yield-generating strategies and more sophisticated portfolio construction. Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases ranging from treasury management to cross-border payments and investment in tokenized securities. Despite this, challenges persist, including concerns around volatility, counterparty risk, and the lack of established valuation frameworks. Regulatory uncertainty, although improving, has not been fully alleviated. Nonetheless, the survey suggests a shift in the conversation, with institutions increasingly focused on how to invest in crypto, rather than debating whether to do so, indicating that digital assets are moving closer to becoming a standard component of institutional portfolios.