Majority of Institutional Investors View Crypto as Essential for Portfolio Diversification

A new study conducted by 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 that 31% of respondents now have a positive outlook on crypto for the next year, up from 25% in 2024, while negative sentiment has decreased, reflecting a gradual shift in perception as the asset class matures. The key theme emerging from the study is the role of crypto in portfolio diversification, with 65% of respondents viewing it as a vital component. Moreover, 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. This shift is supported by a changing regulatory landscape, with clearer rules in major markets and the expansion of crypto investment products reducing uncertainty. As a result, interest in crypto is expanding beyond simple price exposure, with over 60% of respondents expressing interest in yield-generating strategies such as staking, lending, and tokenized assets. Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases. However, challenges such as volatility, counterparty risk, and valuation frameworks remain. Despite these challenges, the survey suggests that the conversation among institutions is shifting from whether to invest in crypto to how to do so, indicating that digital assets are becoming increasingly accepted as a standard component of institutional portfolios.