Diversification Replaces Speculation as Core Investment Thesis for Institutional Crypto Investors

  • Blockchain
  • 12.11.2025 08:55 am

Sygnum, a global digital asset banking group, has revealed the results of its Future Finance 2025 global institutional investor report. The late-Q3 survey analyses the core interests, market sentiment and behaviour of 1000+ institutional and professional investors active in the crypto market across 43 countries. The 38-page report has six major themes; asset allocation, investment strategies, products and services, investment barriers, market outlook, plus a new spotlight on High Net Worth Individuals (HNWIs). Below is a summary of the report’s key numbers and insights drawn from the survey.

For the first time, we see respondents rating portfolio diversification (57%) as the key reason to invest in digital assets, overtaking short-term return potential (53%) and perceived value as a safe-haven investment and macro hedge (45%). Several factors are driving this trend shift. Crypto asset’s multi-dimensional nature and idiosyncratic properties are enabling new diversified models within multi-asset portfolios. An expanding digital asset universe, from yield bearing DeFi to tokenized Real World Assets (RWAs), is also enhancing diversification potential, especially when supported by institutional-grade infrastructure and on-ramps. This year’s report clearly shows that institutional crypto investors are now thinking less “crypto as defence” and more about “participation” in the structural evolution of global finance.

Key Numbers:

  • OUTLOOK → 61% plan to increase their digital asset allocations and 55% lean bullish in the short-term – however this is dependent on the Q4 arrival of a number of market catalysts and improved market conditions
  • STRATEGY → 76% favour direct token investments and 55% support ETPs/ETFs
  • BITCOIN → Over 80% believe Bitcoin is a viable treasury reserve, and 70% report that holding cash instead of Bitcoin has a high opportunity cost over 5 years
  • TOKENIZED RWAs → 26% are interested in this asset class due to greater product availability – up 20% from 2024
  • STABLECOINS → 50% allocation due to improved regulatory conditions – this is likely to grow further
  • ETFs → Over 80% are interested in crypto ETFs beyond Bitcoin and Ethereum, with 70% willing to start allocating, or to allocate more, if they offered staking
  • HNWIs → 91% agree that crypto is important in long-term wealth preservation

Lucas Schweiger, Lead Crypto Asset Ecosystem Research and report author, says “Digital assets and traditional finance are now intertwined more than ever through legislation, regulated derivatives, corporate demand and exciting new tokenisation and stablecoin trends. The story of 2025 is one of measured risk, pending regulatory decisions and powerful demand catalysts against a backdrop of fiscal and geopolitical pressures. But investors are now better informed. Discipline has tempered exuberance, but not conviction, in the market’s long-term growth trajectory.”

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