Survey Reveals 65% of Institutional Investors Consider Crypto Crucial for Portfolio Diversification
A growing number of institutional investors are embracing digital assets, driven by improving sentiment and expanding use cases, according to a new study by Nomura and its digital asset arm, Laser Digital. The survey, 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. Meanwhile, negative sentiment has decreased, indicating a gradual shift in perception as the asset class matures. A key finding is that 65% of respondents view crypto as a vital portfolio diversifier, with 79% of those considering investment planning to do so within three years. Most institutions anticipate allocating between 2% and 5% of their portfolio to crypto, suggesting they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with Japan's policymakers refining crypto frameworks over the past year, including discussions on classification, taxation, and investor protection. Globally, clearer regulations and the expansion of crypto investment products have reduced uncertainty, prompting institutions to move beyond simple price exposure. Over 60% of respondents expressed interest in staking, lending, derivatives, and tokenized assets, reflecting a growing demand for yield-generating strategies and sophisticated portfolio construction. Stablecoins are also gaining popularity, with 63% of respondents identifying potential use cases such as treasury management, cross-border payments, and investment in tokenized securities. However, concerns around volatility, counterparty risk, and valuation frameworks remain. Despite these challenges, 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 standard component of institutional portfolios.