New Study Reveals 65% of Institutional Investors View Crypto as Crucial for Portfolio Diversification

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 study by Nomura and its cryptocurrency division, Laser Digital. The study, 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, the decline in negative sentiment suggests a gradual shift in perception as the asset class matures. A key theme emerging from the study is the importance of diversification, with 65% of respondents viewing cryptocurrency as a vital component of their investment portfolios. Furthermore, 79% of those considering investing in cryptocurrency plan to do so within the next three years, with most expecting to allocate between 2% and 5% of their portfolios. This shift is supported by a changing regulatory environment, with policymakers in Japan refining cryptocurrency frameworks over the past year. Globally, clearer regulations and the expansion of cryptocurrency investment products have reduced uncertainty, encouraging institutions to explore digital assets 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 more sophisticated portfolio construction. Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases in treasury management, cross-border payments, and investing in tokenized securities. While concerns around volatility, counterparty risk, and valuation frameworks remain, the survey suggests a shift in the conversation, with institutions now focusing on how to invest in cryptocurrency rather than whether to do so, indicating that digital assets are becoming a more standard component of institutional portfolios.