54% Of Japanese Institutional Investors Plan To Invest In Crypto In The Next 3 Years

A new survey by Nomura Holdings and its digital asset subsidiary Laser Digital paints a bullish picture for cryptocurrency adoption among Japanese institutional investors.

What Happened: The survey, conducted in April 2024, reveals that 54% of respondents intend to invest in cryptocurrencies within the next three years, according to Coinpost.

The primary motivators for this interest are diversification and inflation protection.

62% of respondents see virtual currencies as an opportunity to diversify their portfolios, while many view them as a hedge against inflation.

This is unsurprising, given the recent economic uncertainties.

“The survey results highlight a growing recognition of cryptocurrencies as a legitimate asset class among Japanese institutional investors,” said a spokesperson for Nomura. “The potential for diversification and inflation protection is particularly attractive in the current economic climate.”

Staking, mining, and lending were also identified as areas of interest by a significant portion of respondents, indicating a desire for deeper engagement with the crypto ecosystem beyond just buying and holding.

Also Read: German Government Continues Bitcoin Liquidation, Transfers 400 BTC To Exchanges

Why It Matters: The survey also identified some key barriers to entry.

The lack of established methods for analyzing cryptocurrency fundamentals and concerns about security and regulation were cited as the top deterrents.

Additionally, over half of respondents expressed a preference for investing in cryptocurrency ETFs, which are not currently available in Japan.

Nomura believes that the approval of cryptocurrency ETFs in Japan could significantly boost market activity.

This aligns with industry experts who will be discussing the future of digital assets at the upcoming Benzinga Future of Digital Assets event on Nov. 19.

Read Next: Bitcoin Rebounds From ETF Outflows, Back Above $61K

Image: Shutterstock