Ey -Parthenon and Coinbase conducted a survey of more than 350 institutional investors worldwide in January 2025. Although regulatory clarity will be loomed in the developments in the landscape of digital assets in 2025 – Investors in the survey called innovation n ° 1 for growth – the illustrated survey underlying the enthusiasm and an appetite for innovation that will lead the illustrated market. Institutional and retail investors are looking for new products and services supplied by Crypto to generate performance, give access to credit and credit services, make cross -border payments, clear transactions instantly and increase the long -term wealth.
You read Crypto Long & Short, our weekly newsletter with ideas, news and analyzes for the professional investor. Register here to get it in your reception box every Wednesday.
While the ecosystem matures and continues to take shape, we will see traditional financing companies (tradfi) take advantage of decades of experience and reputation to secure new vehicles and investment products to customers. A more user -friendly regulatory background will allow digital natives to innovate more quickly, pushing decentralized financial use cases by addressing both progressive customers and a new generation of financial customers.
Investors want more digital assets and more options
Investors interviewed, 87% plan to increase global crypto allowances in 2025, covering a variety of options such as stock market (FTE) products, investments in digital asset companies, stablecoins, future and thematic commun funds. While many said they prefer to expose themselves to the crypto thanks to registered vehicles such as ETPs, there is also an interest in extending child care to offer and maintain cryptography directly. According to the survey, 55% hold the crypto spot via ETPs, with 69% of those who plan to have a cash cryptography to do so using recorded vehicles. Earlier in 2024, some of the Bitcoin ETPs became the fastest growth through an altcoin spectrum, including Solana (soil) and Ripple (XRP).
New innovation with Stablecoins and Tokenization
Institutional investors are looking for opportunities to feed new payment platforms and take advantage of the awards thanks to the production and generation of elements. Eighty-four percent of the investors interviewed said they used or planned to use stabbed, with TETH (USDT) and USD Coin (USDC) being the two main favorite parts. Stablecoins promise to compensate instantly, modernize and reduce risks in currency exchange, cash management and a host of other use cases.
The tokenization also promises to democratize access to investment options for the retail investor and provide new sources of capital to institutions. More than half of the investors questioned plan to invest in tokenized assets. The ability to diversify investments with greater level of precision with a fractional property and lower minimums will bring greater opportunities and will improve risk management. At the top of the list of wishes for investors for token are alternative assets such as real estate, investment capital, private credit and even raw materials such as gold and oil. These are investments generally reserved for institutions or ultra net value customers, which, by tokenization, may be available for new retail investors.
Innovation has always advanced Wall Street. Investors expect digital assets to move not only in the sphere of traditional customer experience, but will also offer new opportunities to participate in a growing decentralized financial system. Anchored in the backdrop of a more user-friendly regulatory position on the crypto in the United States, investors expect new products and services accelerating a renaissance of digital assets.
Note: The opinions reflected in this article are the views of the authors and do not necessarily reflect the views of Ernst & Young LLP or other members of the EY World Organization.
