Institutional investors have increased their allocations to digital assets and related products and plan to continue doing so.
The lack of regulatory clarity and perceived trustworthiness of ecosystem partners remain key obstacles to the growth and adoption of cryptocurrencies and tokenization.
The major demand for spot cryptocurrencies in 2023 has shifted to a strong preference for regulated investment vehicles in 2024, notably following the launch of Bitcoin ETPs.
Family offices and hedge funds have a higher allocation to cryptocurrencies and a more diversified investment across different tokens compared to asset managers and allocators.
There is growing interest in investing in tokenized assets, especially alternative assets, to drive portfolio diversification.
Asset managers, particularly large ones managing over $500 billion, are showing strong interest in launching crypto and tokenized funds.