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

A new study from Nomura and its digital assets 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 a notable increase in positive sentiment towards crypto, with 31% of respondents now holding a favorable outlook for the next year, up from 25% in 2024. Meanwhile, negative sentiment has decreased, suggesting a gradual shift in perception as the asset class matures. A key finding is that 65% of respondents consider crypto a vital component for diversifying their portfolios, with 79% of those considering investment planning to do so within the next three years. Most institutions anticipate allocating between 2% and 5% of their portfolios to crypto, indicating 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 expansion of crypto investment products contributing to reduced uncertainty. As a result, institutions are looking beyond simple price exposure, with over 60% of respondents expressing interest in more complex strategies such as staking, lending, derivatives, and tokenized assets. Stablecoins are also gaining popularity, with 63% of respondents identifying potential use cases including treasury management and cross-border payments. However, challenges persist, including concerns over volatility, counterparty risk, and valuation frameworks. Despite these challenges, the survey suggests a shift in the conversation, with institutions now focusing on how to invest in crypto rather than whether to do so, indicating that digital assets are becoming an increasingly standard component of institutional portfolios.