A growing number of institutional investors are embracing digital assets, driven by improving sentiment and an expansion of use cases, according to a new study by Nomura and its crypto subsidiary, Laser Digital. The study, which gathered responses from 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, indicating a gradual shift in perception as the asset class matures. A key theme emerging from the study is the role of crypto in portfolio diversification, with 65% of respondents viewing it as a vital diversifier and 79% of those considering investment planning to do so within three years.
Most institutions anticipate making modest allocations, typically between 2% and 5%, suggesting they are still in the early stages of adoption. This shift is supported by a changing regulatory landscape, with policymakers in Japan refining crypto frameworks over the past year, including discussions on classification, taxation, and investor protections. Globally, clearer regulations in major markets, alongside the approval and expansion of crypto investment products such as ETFs and tokenized assets, have reduced uncertainty, encouraging institutions to engage more deeply with digital assets.
As a result, interest is broadening 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 more complex portfolio construction. Stablecoins are also gaining acceptance, with 63% of respondents identifying potential use cases including treasury management, cross-border payments, and investment in tokenized securities. However, challenges persist, including concerns over volatility, counterparty risk, and the lack of established valuation frameworks, which continue to hinder adoption. Regulatory uncertainty, although improving, has not been entirely eliminated.
Nonetheless, the survey indicates a shift in the conversation, with institutions now focusing on how to invest in crypto rather than whether to do so, suggesting that digital assets are moving closer to becoming a standard component of institutional investment portfolios.