Ey-Parthenon and Coinbase conducted a survey of more than 350 institutional investors worldwide in January 2025. Although regulatory clarity will be included large Mercado forward. Both institutional and retail investors seek new products and services with crapulars to generate performance, provide access to credit and loan services, make cross -border payments, clear transactions instantly and increase long -term wealth.
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As the ecosystem matures and continues to take shape, we will see that traditional finance companies (Tradfi) take decades of experience and reputation to offer new vehicles and investment products to customers. A more friendly regulatory backdrop will allow digital natives to innovate more quickly, promoting cases for the use of decentralized finance by attending both progressive clients and a new generation of financial clients.
Investors want more digital active and more options
Of the investors surveyed, 87% plans to increase the general assignments to cryptography in 2025, which cover a variety of options, such as bags in the stock market (ETPs), investments in digital asset companies, stable, future and mutual funds. While many said they prefer to obtain their exposure to cryptography through vehicles registered as ETP, there is also interest in expanding custody services to offer and maintain cryptography directly. According to the survey, 55% have spot crypt through ETP, with 69% of those planning cryptographic who plan to do it using registered vehicles. At the beginning of 2024, some of the Bitcoin ETPs became the ETP of faster growth in an Altcoins spectrum, including Solana (Sun) and Ripple (XRP).
New innovation with stablcoins and tokenization
Institutional investors seek opportunities to boost new payment platforms and enjoy rewards through the participation and generation of performance. The eighty -four percent of the investors surveyed said they are using or planning to use Stablecoins, with Tether (USDT) and USD Coin (USDC) the two main preferred coins. Stablecoins promise to make compensation instantaneous, modernization and risk reduction in currency exchange, cash management and a large number of other use cases.
Token also promises to democratize access to investment options for the retail investor and provide new capital sources for institutions. More than half of the investors surveyed plan to invest in tokenized assets. The ability to diversify investments with a higher level of precision with fractional property and lower minimums will bring greater opportunities and improve risk management. In the upper part of the list of investors desires for tokenization, alternative assets such as real estate, private capital, private credit and even products such as gold and oil are found. These are investments typically reserved for ultra high institutions or customers of net assets, which through tokenization may be available for new retail investors.
Innovation has always led Wall Street forward. Investors there is an expectation that digital assets not only move to the sphere of the client’s main experience, but also provide new opportunities to participate in a growing decentralized financial system. Anchored with the backdrop of a more friendly regulatory position on cryptography in the US, worldwide investors expect new products and services to accelerate a rebirth in digital assets.
Note: The opinions reflected in this article are the opinions of the authors and do not necessarily reflect the opinions of Ernst & Young LLP or other members of the Global Ey organization.