30s Summary
Institutional investors are growing more confident in Bitcoin and other cryptocurrencies, with most planning to increase their investments long-term. A survey by Sygnum Bank found this confidence was spurred by secure crypto regulations and positive market trends. The survey asked 400 investors from 27 countries about their crypto investment plans. 57% plan to increase their crypto investments, only a small percentage (5%) intend to reduce them. Past regulatory worries have been replaced, with 81% of institutional investors stating the more they understand cryptocurrency, the more likely they are to invest.
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Most institutional investors are getting more confident about Bitcoin and other digital currencies, planning to increase their investments in the long term. This increase in interest is due to secure regulations and positive trends in the crypto market, revealed by a survey conducted by Swiss crypto bank, Sygnum.
Interestingly, the approval and launch of the US Bitcoin Spot ETF caught a lot of attention among investors, potentially speeding up the adoption of digital assets, according to Martin Burgherr, client officer at Sygnum Bank.
The survey had responses from 400 investors across 27 countries, where 57% of respondents planned to grow their investments in crypto. Around 31% aimed to boost it within the next three months and 32% within six months.
Only a small chunk (5%) planned to cut down on their crypto investments, and 2% weren’t sure what to do. Surprisingly, 44% of those looking to increase their funds in crypto planned to invest in a single crypto token.
Sygnum added that 36% of those planning to maintain their current investment might be waiting for particular market conditions or timing before making any change.
Previously, unclear regulations made it difficult for traditional investors to consider digital assets. However, Sygnum finds that market volatility and security issues are still hurdles for institutions.
According to Sygnum, 81% of institutional investors believe the better their understanding of crypto is, the more they will invest, moving away from past concerns about regulations.
Bitcoin, Solana, and other stablecoins remain popular choices for investors, along with growing interest in Web3 infrastructure tech. On the other hand, interest in decentralized finance has taken a hit due to frequent high-value hacks.
It’s interesting to note that compared to the previous year, the interest of institutional investors has shifted from looking at properties to equity, corporate bonds, and mutual funds.