Coinbase survey: 83% of institutional investors are planning to expand crypto exposure in 2025

Coinbase survey: 83% of institutional investors are planning to expand crypto exposure in 2025

  • 14.03.2025 16:00
  • coinjournal.net
  • Keywords: High Risk, Market Growth

83% of institutional investors plan to expand crypto exposure by 2025, driven by interest in stablecoins, tokenization, and DeFi despite regulatory challenges.

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Estimated market influence

Coinbase

Coinbase

Positivesentiment_satisfied
Analyst rating: Buy

Coinbase conducted the survey and is launching new products.

EY-Parthenon

Neutralsentiment_neutral
Analyst rating: N/A

Collaborated with Coinbase on the survey.

Context

Analysis of Coinbase Survey on Institutional Investors' Crypto Exposure

Market Sentiment

  • 83% of institutional investors plan to expand their crypto exposure in 2025, reflecting strong bullish sentiment.
  • Conducted in January 2025 when Bitcoin reached an all-time high of $109,000.
  • 70% view crypto as the biggest opportunity for attractive risk-adjusted returns.

Allocation Plans

  • 59% of investors plan to allocate over 5% of their assets under management to digital assets in 2025.
  • 75% intend to invest in tokenization by 2026, indicating growing interest in decentralized financial instruments.

Stablecoins and DeFi

  • 84% of institutions are already using or planning to use stablecoins in 2025.
  • Decentralized finance (DeFi) adoption is projected to rise from 24% to 75% over the next two years, with top use cases being:
    • Derivatives (40%)
    • Staking (38%)
    • Lending (34%)

Regulatory Considerations

  • Institutions see regulatory clarity as both a major opportunity and risk.
  • Key regulatory areas of focus include:
    • Custody
    • Tax treatment
    • Stablecoin use
  • Despite optimism, barriers to DeFi adoption include:
    • Regulatory concerns (57%)
    • Compliance challenges (55%)
    • Lack of internal knowledge (51%)

Competitive Dynamics

  • Coinbase's launch of CFTC-regulated Solana (SOL) and Hedera (HBAR) futures contracts highlights growing competition in the institutional crypto space.
  • Institutional investors expect regulatory clarity to attract new market participants and drive increased activity.

Long-term Implications

  • The survey indicates a significant shift in institutional investment strategies toward digital assets, with long-term implications for traditional financial markets.
  • Growth in DeFi adoption could reshape the financial services industry, but challenges related to regulation and knowledge gaps remain critical barriers.

This analysis underscores the transformative potential of crypto and DeFi within institutional investing, while also highlighting the importance of regulatory clarity and market education.