Japanese Institutional Investors Eye Crypto Investments

A recent survey of Japanese investors reveals a growing interest among institutional traders in allocating funds to cryptocurrencies.

Nomura’s digital asset arm, Laser Digital, conducted a survey involving over 500 investment managers in Japan. These participants ranged from institutional investors to family offices and public-service corporations, with assets under management (AUM) spanning from several hundred million yen to several hundred billion yen.

According to the survey, over 50% of respondents expressed intentions to invest in crypto within three years. A significant 60% of participants viewed crypto as a valuable diversification opportunity, while 38% recognized its low correlation with other investment assets.

Furthermore, 37% of respondents considered crypto a hedge against inflation. Meanwhile, 30% were attracted to crypto’s high return potential, and 9% appreciated the market’s 24/7 nature.

Long-Term Commitment to Crypto

The survey also highlighted that 80% of respondents are in it for the long haul, planning to invest in crypto for at least one year. This long-term perspective underscores a strategic approach to integrating digital assets into investment portfolios.

“Respondents are interested to invest in crypto assets for the purpose of stabilizing their portfolio while reducing risk, such as diversification and hedging against inflation, more than in pursuit of potential returns.”

Nomura’s survey reflects a shifting landscape in Japan, where institutional investors are increasingly viewing cryptocurrencies as a viable asset class.