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

A growing number of institutional investors are becoming more receptive to digital assets, with improving sentiment and expanding use cases serving as key drivers of adoption, as indicated by a recent survey conducted by Tokyo-based bank Nomura and its crypto subsidiary Laser Digital. The study, which garnered responses from over 500 investment professionals in Japan, found that 31% of respondents now hold a positive outlook on crypto for the upcoming year, marking an increase from 25% in 2024. Meanwhile, negative sentiment has decreased, signifying a gradual shift in perception as the asset class continues to mature. A primary theme emerging from the survey is the importance of diversification, with 65% of respondents viewing crypto as a vital portfolio diversifier. Furthermore, 79% of those considering exposure plan to invest within a three-year timeframe, with most expecting modest allocations, typically between 2% and 5%, indicating that institutions are still in the early stages of adoption. This shift is being supported by evolving regulatory and policy frameworks. In Japan, policymakers have spent the past year refining crypto regulations, including discussions around classification, taxation, and investor protections. Globally, clearer rules in major markets, coupled with the approval and expansion of crypto investment products such as exchange-traded funds (ETFs) and tokenized assets, have reduced some of the uncertainty that previously deterred institutions. As a result, interest 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 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 alleviated. Nonetheless, the survey suggests that the conversation is shifting, with institutions increasingly focused on how to invest in crypto, rather than debating whether to do so, indicating that digital assets are moving closer to becoming a standard component of institutional portfolios.