Japanese Institutional Investors Eye Crypto Amid Diversification Drive
In a recent survey conducted by Nomura Holdings and Laser Digital, it was found that a significant portion of institutional investors in Japan are eyeing the cryptocurrency market for investment opportunities within the next three years.
The survey reached out to 547 investment managers, including those from institutional investors, family offices, and public-service corporations.
Key Highlights:
- Investor Interest: Over half (54%) of the respondents expressed their intention to invest in cryptocurrencies in the coming three years. Their primary motivations include portfolio diversification and the potential for high returns amidst low correlation with traditional assets.
- Motivations: Investors view cryptocurrencies as a means to diversify their investment portfolios, hedge against inflation, and leverage the 24/7 trading nature of the crypto market.
- Allocation Plans: A majority (66%) of the surveyed investors plan to allocate between 2-5% of their assets into cryptocurrencies over the next few years.
- Optimism: A notable 25% of respondents held a positive outlook on crypto assets, indicating confidence in the sector’s future in Japan.
- Investment Drivers: Key factors driving interest in crypto investments include the development of crypto ETFs, investment trusts, and opportunities in staking and lending. Additionally, there is significant interest in Web3 projects, either through direct investments or venture capital funds.
- Barriers: Concerns among potential investors include counterparty risks, market volatility, and regulatory uncertainties, which pose challenges to entering the crypto market.
READ MORE: German Government Sells $54 Million in Bitcoin
The survey results suggest a growing inclination among Japanese institutional investors towards cryptocurrencies, driven by perceived diversification benefits and advancements in digital asset financial products.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
