Study Reveals 65% of Institutional Investors Consider Crypto a Crucial Portfolio Diversification Tool

A new survey by Nomura and its digital asset subsidiary, Laser Digital, indicates that institutional investors are increasingly embracing digital assets, driven by improving sentiment and the emergence of new use cases. The study, which polled over 500 investment professionals in Japan, found that 31% of respondents now have a positive outlook on crypto for the next year, up from 25% in 2024, while negative sentiment has decreased. A key finding is that 65% of respondents view crypto as a vital tool for diversifying their portfolios, with 79% of those considering investment planning to do so within the next three years. Most institutions expect to allocate between 2% and 5% of their portfolios to crypto, indicating they are still in the early stages of adoption. The shift in sentiment is supported by a more defined regulatory environment, with clearer rules in major markets and the introduction of new crypto investment products such as ETFs and tokenized assets. As a result, institutions are looking beyond simple crypto price exposure, with over 60% expressing interest in more complex strategies like staking, lending, and tokenized assets. Stablecoins are also gaining popularity, with 63% of respondents identifying potential use cases such as treasury management and cross-border payments. Despite lingering concerns around volatility and regulatory uncertainty, the survey suggests that institutions are now focused on how to invest in crypto, rather than whether to do so, indicating that digital assets are becoming a more mainstream component of institutional portfolios.