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

A growing number of institutional investors are embracing digital assets, driven by improving sentiment and the emergence of new use cases, as revealed in a recent survey conducted by Nomura and its cryptocurrency arm, 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 cryptocurrency over the next year, up from 25% in 2024. Meanwhile, negative sentiment has decreased, indicating a gradual shift in perception as the asset class continues to mature. A key theme emerging from the study is the role of diversification, with 65% of respondents viewing cryptocurrency as a vital component of portfolio diversification. Furthermore, 79% of those considering investment in cryptocurrency plan to do so within the next three years, with most expecting to allocate between 2% and 5% of their portfolio to cryptocurrency. This shift is supported by a changing regulatory landscape, with policymakers in Japan refining cryptocurrency frameworks over the past year, including discussions around classification, taxation, and investor protection. Globally, clearer regulations in major markets, alongside the approval and expansion of cryptocurrency investment products such as exchange-traded funds (ETFs) and tokenized assets, have reduced some of the uncertainty that previously deterred institutions from investing. As a result, interest in cryptocurrency 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. However, barriers to adoption remain, including concerns around volatility, counterparty risk, and the lack of established valuation frameworks. Regulatory uncertainty, although improving, has not been completely eliminated. Nevertheless, the survey suggests that the conversation around cryptocurrency is shifting, with institutions increasingly focused on how to invest in cryptocurrency rather than whether to do so, indicating that digital assets are moving closer to becoming a standard component of institutional portfolios.