A new survey conducted by Nomura, a Tokyo-based bank, and its cryptocurrency division, Laser Digital, reveals a significant improvement in sentiment among institutional investors towards digital assets. 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, marking an increase from 25% in 2024. Furthermore, negative sentiment has decreased, signifying a gradual shift in perception as the asset class matures. A key finding is that 65% of respondents consider cryptocurrency a vital component for diversifying their portfolios, with 79% of those contemplating investment planning to do so within the next three years.
Most institutions anticipate allocating between 2% and 5% of their portfolios to cryptocurrency, indicating that they are still in the early stages of adoption. This shift is supported by evolving regulatory and policy frameworks.
In Japan, policymakers have refined cryptocurrency regulations over the past year, including discussions on classification, taxation, and investor protection. Globally, clearer regulations in major markets, coupled with the approval and expansion of cryptocurrency investment products such as exchange-traded funds (ETFs) and tokenized assets, have reduced uncertainty, encouraging institutions to participate.
As a result, interest in cryptocurrency extends beyond mere price exposure, with over 60% of respondents expressing interest in staking, lending, derivatives, and tokenized assets. This reflects a growing demand for yield-generating strategies and more sophisticated portfolio construction. Stablecoins are also gaining popularity, with 63% of respondents identifying potential use cases, including treasury management, cross-border payments, and investment in tokenized securities. However, barriers to adoption persist, including concerns over volatility, counterparty risk, and the lack of established valuation frameworks.
Although regulatory uncertainty has improved, it has not been entirely eliminated. The survey suggests that the conversation around cryptocurrency is shifting, with institutions now focusing on how to invest in digital assets rather than debating whether to do so, indicating that cryptocurrency is moving closer to becoming a standard component of institutional portfolios.