Institutional investors are increasingly embracing digital assets, driven by improving sentiment and the emergence of new use cases, as highlighted in a recent survey by Nomura and its crypto arm, Laser Digital. The survey, which gathered responses from over 500 investment professionals in Japan, found that 31% of respondents now hold a positive outlook on crypto for the next year, up from 25% in 2024, while negative sentiment has decreased, indicating a gradual shift in perception as the asset class matures. A key finding is that 65% of respondents view crypto as a vital diversifier for their portfolios, with 79% of those considering investment planning to do so within the next three years.
Most institutions anticipate allocating between 2% and 5% of their portfolio to crypto, suggesting they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with Japan's policymakers refining crypto frameworks over the past year, including discussions on classification, taxation, and investor protection. Globally, clearer regulations in major markets and the approval of crypto investment products such as ETFs and tokenized assets have reduced uncertainty, encouraging institutions to participate. As a result, interest in crypto extends 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 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. While concerns around volatility, counterparty risk, and valuation frameworks persist, the survey indicates a shift in the conversation, with institutions now focused on how to invest in crypto, rather than whether to do so, suggesting digital assets are moving closer to becoming a standard component of institutional portfolios.