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

According to a new survey by Nomura and its cryptocurrency division, Laser Digital, institutional investors are increasingly embracing digital assets, driven by improving sentiment and expanding 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 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 matures. A key finding is that 65% of respondents view cryptocurrency 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 cryptocurrency, suggesting they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with Japan refining its cryptocurrency frameworks over the past year, including discussions on classification, taxation, and investor protection. Globally, clearer regulations in major markets, alongside the approval and expansion of cryptocurrency investment products, have reduced uncertainty and encouraged institutions to invest. 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 growing demand for yield-generating strategies and sophisticated portfolio construction. Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases, including treasury management, cross-border payments, and investment in tokenized securities. However, barriers to adoption remain, including concerns over volatility, counterparty risk, and the lack of established valuation frameworks. Despite this, the survey suggests that the conversation around cryptocurrency is shifting, with institutions now focused on how to invest in digital assets, rather than whether to do so, indicating that cryptocurrency is moving closer to becoming a standard component of institutional portfolios.