A survey by Nomura (NMR) and its digital asset subsidiary Laser Digital found that a significant majority of Japanese institutional investors plan to enter cryptocurrencies within the next three years.
Majority of Japanese Institutional Investors Plan to Invest in Crypto Within Three Years
According to the findings, 54% of participants expressed their intention to invest in digital assets in the next three years.
Additionally, 25% of companies stated that they have a positive impression of cryptocurrencies. The survey highlighted that 62% of respondents see crypto as a diversification opportunity alongside traditional assets such as cash, stocks, bonds and commodities.
This shows that digital assets are increasingly accepted as a legitimate investment class.
Investors prefer to allocate 2% to 5% of their assets under management (AUM) in digital assets, with nearly 80% of respondents planning to invest within a year.
The development of new investment products, including exchange-traded funds (ETFs), investment trusts, and staking and lending offerings, has been cited as a key driver for future investments.
Nearly half of the participants expressed interest in investing in Web3 projects directly or through venture capital funds.
Despite the excitement, some barriers still prevent some managers from entering the digital asset space. These obstacles include counterparty risk, high volatility, and concerns about regulatory requirements.
Nomura's survey highlights a significant shift in Japanese institutional investors' attitudes towards cryptocurrencies and points to a growing interest and significant investment potential in the sector in the near future.
*This is not investment advice.
