Crypto isn’t just for retail investors anymore. In the last few years, a growing number of large institutions—hedge funds, asset managers, pension funds, and even insurance companies—have begun stepping into the crypto world. They’re not just dabbling; they’re making serious moves. If you’re in the space or thinking about entering it, understanding who’s buying what and why is key. This article breaks it all down for you using real data and strategic insights.
1. Over 88% of institutional investors find crypto appealing, according to Fidelity Digital Assets (2023)
When almost 9 out of 10 institutional investors say they find crypto appealing, that’s not hype—it’s momentum.
The reasons behind this are diverse. Some are drawn to the potential for long-term growth, others are focused on the tech behind it, and many are intrigued by its role as a hedge against inflation or currency devaluation.
So what does this mean for anyone trying to get into the crypto market—whether you’re a startup, fund, or even an enterprise looking at tokenization? It means the narrative has shifted.
Institutional interest validates crypto as a legitimate asset class. If you’re building products or offering services in this space, emphasize security, regulatory compliance, and long-term potential. These are the things institutional investors care about most.
One of the best ways to capitalize on this stat is by speaking their language. Don’t market to institutions like you would to retail. Develop whitepapers, clear financial models, and risk mitigation strategies.
Build trust. Highlight your compliance measures, your cold storage solutions, your audit trails.
Above all, remember this: if the majority already find it appealing, what they’re looking for now is the right entry point, the right partner, and the right infrastructure. Be that partner.
2. Institutional crypto adoption increased by 35% year-over-year in 2023
A 35% jump in just one year isn’t just a trend—it’s acceleration. This shows that institutions are no longer waiting on the sidelines. They’re entering fast and in larger numbers.
This growth didn’t happen in a vacuum. Better custodial solutions, regulatory clarity in some regions, and the increasing integration of crypto with traditional finance platforms have all made it easier for institutions to say yes to crypto.
And once one major player moves in, others follow—nobody wants to be left behind.
If you’re looking to attract institutional attention or investment, this data point should guide your strategy. The speed at which institutions are entering the space means you need to be ready for higher standards.
You should have the technical infrastructure, legal frameworks, and scalability that institutions expect.
This also means you should anticipate questions around risk, custody, and exit strategy. Have those answers ready. And just as importantly, don’t forget education.
Institutions might have financial knowledge, but crypto is still new territory for many of them. Offering tools, insights, or advisory services can help position your business as a trusted partner.
Being proactive now could mean securing relationships that turn into long-term capital flows. Don’t wait for them to find you—reach out, and offer real solutions.
3. More than 50% of institutional investors globally have some exposure to digital assets
When half the market already has exposure, you’re not trying to convince institutions if they should enter—you’re trying to figure out how deeply they want to go.
This opens up a world of opportunities. Exposure could mean holding Bitcoin or Ethereum, participating in a crypto fund, or even experimenting with tokenized assets.
The key here is that the barrier to entry has already been crossed for many. Now they’re asking: what’s next?
If you offer services in this space, such as custody, compliance, analytics, or infrastructure, you should shift your messaging to reflect this maturity. Don’t pitch crypto like it’s a mysterious new tech.
Frame it like a portfolio enhancer, a smart diversification move, or a yield-generation strategy.
This stat also tells you that competition is rising. If you’re a startup, make your onboarding seamless. If you’re a fund manager, show your track record and risk management. And if you’re offering a product, make sure it scales and integrates easily with legacy systems.
More than anything, this number proves the institutional floodgates are open. Your job is to meet them where they are—and help them go further.
4. 74% of institutions in Europe expressed a positive outlook toward crypto assets
Europe is increasingly friendly toward crypto, and that’s not by accident. From MiCA regulations to proactive central banks exploring digital euros, the continent is laying down frameworks that make it easier for institutions to feel secure about crypto investments.
A 74% approval rate tells us institutions aren’t just watching—they’re optimistic. That’s a rare and valuable signal.
For crypto companies, developers, and platforms in or targeting Europe, now’s the time to lean in. Make sure your offerings are MiCA-compliant. Focus on transparency, stability, and cross-border compatibility.
European investors tend to be cautious but thorough—they’ll reward diligence and discipline.
If you’re looking to raise capital, tailor your pitch decks with a European mindset. Talk about compliance, data privacy, and sustainable growth. Show how your tokenomics align with responsible investing.
Build connections with regulated exchanges and qualified custodians in Europe—it builds trust.
And if you’re considering where to incorporate or license your business, Europe is looking more and more attractive. Just make sure your legal and operational frameworks are airtight.
5. Bitcoin is held by over 80% of crypto-invested institutions
Bitcoin remains the heavyweight in the institutional arena. It’s the most recognized, the most traded, and the most widely accepted.
When over 80% of institutions holding crypto also hold Bitcoin, it sends a clear message: Bitcoin is still the go-to asset for credibility, security, and liquidity.
This doesn’t mean Bitcoin is the only thing institutions care about—but it does mean that any strategy, pitch, or product aimed at them should seriously consider incorporating Bitcoin as a foundational asset.
If you’re an asset manager or fund builder, start with Bitcoin. Create secure, low-fee, regulated Bitcoin vehicles.
If you’re offering a diversified crypto product, make sure Bitcoin is part of the mix—and highlight that in your materials.
And if you’re trying to win over conservative investors, Bitcoin is your Trojan horse. It’s easier to explain, has a longer track record, and is more resilient to scrutiny. Use Bitcoin to build trust, then open the conversation to other assets.
For platforms and service providers, ensure your systems are optimized for Bitcoin transactions, custody, and reporting.
Offer features that make Bitcoin management easy—automated tax reporting, risk dashboards, or even staking derivatives if the market allows.
Think of Bitcoin as the institutional handshake. If you lead with it, you’re speaking their language.
6. Ethereum is held by approximately 55% of institutional crypto investors
Ethereum is increasingly seen as more than just a coin—it’s infrastructure. Institutions holding Ethereum are often betting on the future of decentralized finance, tokenization, and smart contracts.
If Bitcoin is digital gold, Ethereum is programmable money—and institutions want in on that potential.
Holding Ethereum opens the door to participating in the broader ecosystem: staking, DeFi, NFTs, and eventually real-world asset tokenization. As an operator in this space, your job is to show institutions how Ethereum can be more than a speculative asset.
If you’re building products, ensure they’re compatible with Ethereum and its Layer 2s. If you’re offering custody, offer ETH staking options with clear yield, lock-up terms, and slashing risk transparency.
If you’re building analytics, include data on gas fees, smart contract risk, and DeFi performance—all things ETH-holding institutions care about.
It’s also smart to focus on education. Many institutions still don’t fully understand Ethereum’s role beyond being “the second biggest coin.” Make it simple. Explain what Ethereum enables.
Show case studies on tokenized bonds, permissioned DeFi pools, or NFTs used in marketing or supply chains.
The institutions that hold ETH are often more innovation-driven. If you can prove utility, you can win their trust.
7. 25% of hedge funds actively trade crypto assets
One in four hedge funds are now trading crypto. That’s not a niche—it’s a signal that crypto is becoming part of the standard trading toolkit.
These funds are not passive holders. They’re trading actively, which means they need liquidity, fast execution, risk management, and tax efficiency.
That creates a lot of opportunities for platforms, infrastructure providers, and advisory services.
If you’re targeting hedge funds, think speed, precision, and alpha. Offer access to multiple venues, real-time analytics, and automated trading APIs. Provide solutions that plug directly into their current tech stack—OMS, EMS, and compliance systems.
Also, don’t forget derivatives. Many hedge funds are using options, futures, and perpetual swaps to manage exposure or amplify returns.
If you’re building financial products, this is a huge area to focus on.
For hedge funds that haven’t yet entered crypto, now is a good time to start the conversation. Many are still trying to figure out custody, valuation, and compliance. Be the guide. Help them build a phased entry strategy: research, sandbox testing, then small allocations.
The funds already trading need better tools. The ones on the fence need a reason to jump in. Find which side you’re talking to—and tailor your approach.
8. Grayscale Bitcoin Trust holds over 600,000 BTC, mainly from institutional clients
When a single investment product holds over 600,000 BTC—worth billions—it tells you where institutions are parking their capital.
The Grayscale Bitcoin Trust (GBTC) has been one of the most popular entry points for institutions because it’s familiar. It looks and feels like a stock. It’s easy to buy, easy to hold, and fits within existing brokerage accounts.
So what does this mean for you?
If you’re developing crypto products, design them to feel familiar. Mimic traditional financial structures wherever possible. Whether it’s wrapped tokens, ETFs, or crypto notes, institutions want products that fit their internal processes and compliance frameworks.
This stat also underscores the importance of accessibility. GBTC’s success wasn’t just because of Bitcoin—it was because of how easy it made Bitcoin accessible to institutions.
If you’re a platform or custodian, focus on reducing friction. Make onboarding seamless, offer consolidated reporting, and integrate with traditional custodians and banks.
Finally, learn from GBTC’s limitations. The trust has faced premium/discount issues and redemption limitations.
If you can build products that offer better liquidity and NAV stability, you’ll win over the next generation of institutional investors.
Trust drives adoption—but so does familiarity. Combine both.
9. Over $10 billion in institutional funds flowed into digital asset investment products in 2023
Ten billion dollars in a single year is serious capital, and it’s flowing through structured vehicles like ETFs, trusts, ETPs, and hedge funds.
This stat tells us two things: institutions are here, and they’re bringing big money with them.
The growth in fund flows also indicates confidence in the long-term viability of crypto. It means the narrative is no longer “if crypto survives,” but “how do we profit from it.”
If you’re raising capital, building products, or even just trying to find your niche in the crypto world, this is your green light.
Start by aligning your offering with what institutions are buying. That means clear investment theses, easy onboarding, robust compliance, and risk disclosures.
Consider launching your own fund or product if you have a unique strategy—maybe a yield-bearing product, a multi-asset index, or a staking portfolio.
Also, pay close attention to service providers in this pipeline—administrators, legal advisors, auditors. Partner with the best and build a professional ecosystem around your product.
This stat also shows that education is working. Institutions are no longer dismissing crypto—they’re allocating serious capital. Don’t hold back. Get in front of them with a clear, well-packaged offering.
10. CME Bitcoin futures average daily open interest surpassed $2.5 billion in 2023
The Chicago Mercantile Exchange (CME) is a titan of traditional finance.
When its Bitcoin futures products start seeing billions in open interest, it sends a powerful signal: institutions are trading crypto derivatives through familiar, regulated channels.
If you’re in the crypto world, this stat should guide your thinking on product strategy. Derivatives aren’t just for speculation—they’re also essential for hedging, arbitrage, and price discovery.
Institutional investors love structure. Futures give them exactly that: leverage, risk control, and access to crypto without holding the underlying asset.
That means there’s room for more derivative products—ETH futures, crypto volatility indexes, and even carbon-credit-backed tokens.
If you’re offering trading infrastructure, make sure it connects to CME and other regulated venues. If you’re an asset manager, educate clients on how futures can help manage risk and improve performance.
And if you’re in fintech, think about building tools that simplify futures trading—dashboards, automated strategies, or cross-platform execution.
Derivatives are where sophisticated capital plays. If you want to serve that capital, you need to be in the game.
11. BlackRock’s Bitcoin ETF (IBIT) attracted over $5 billion in inflows within its first two months
When the world’s largest asset manager launches a Bitcoin ETF and pulls in over $5 billion in just 60 days, it’s a massive vote of confidence—not just in Bitcoin, but in crypto as a whole.
BlackRock didn’t just launch any product. They launched a highly regulated, accessible, and familiar investment vehicle aimed squarely at institutions.
The fact that investors piled in immediately tells us that the demand was already there—just waiting for the right product to unlock it.
This is a major lesson for startups, platforms, and service providers in the crypto space: the right structure changes everything.
If you’re looking to offer crypto exposure to institutions, mirror the qualities of successful ETFs: transparency, simplicity, daily liquidity, and strong compliance. This also means aligning with Tier-1 custodians, clear reporting, and regulated exchanges.
Use this stat in your investor pitch or whitepaper. It’s proof that institutions are ready to allocate—but only if they trust the wrapper.
Design your fund or token with that level of seriousness in mind.
And if you’re not ready to build an ETF or structured fund yourself, consider collaborating with partners that are. White-label solutions, index strategies, or feeder funds into products like IBIT are all valid ways to ride this wave.
BlackRock just opened the floodgates. Position yourself as a bridge—not a barrier—to that capital.
12. 32% of pension and endowment funds have crypto exposure or are exploring it
This is perhaps one of the most eye-opening stats in the article. Pension and endowment funds are famously risk-averse. They answer to boards, committees, and fiduciary duty above all else.
If nearly a third of them are either exposed or actively exploring crypto, the perception shift is real.
For these types of investors, crypto must fit within very strict guidelines: long-term value, low correlation, and minimal operational risk.
This means they’re not chasing moonshots—they’re investing in what they believe will still be here a decade from now.
So what can you do to attract them?
First, speak their language: long-term returns, capital preservation, risk-adjusted performance. Provide models showing how a small crypto allocation (even 1–3%) can enhance a portfolio. Show historical Sharpe ratios, uncorrelated performance, and conservative scenarios.
Next, offer institutional-grade custody, insurance, and third-party audits. If you’re running a fund, ensure your NAV is accurate, timely, and professionally administered.
If you’re tokenizing assets, make sure they comply with securities laws and reporting standards.
Finally, build relationships. These investors move slowly and cautiously. Host webinars, attend pension fund conferences, publish whitepapers—educate, don’t sell.
This is one of the final frontiers in crypto adoption. Get your house in order, and be ready when they come knocking.
13. 56% of family offices globally invest in digital assets or plan to do so
Family offices are known for being early movers. They’re agile, discreet, and often manage large amounts of capital. With more than half already involved or preparing to enter crypto, this audience deserves your full attention.
Unlike pension funds or large asset managers, family offices value flexibility and direct relationships. They prefer bespoke strategies over one-size-fits-all products. Many are driven by generational wealth planning, tax optimization, or legacy impact.
To win them over, offer tailored solutions. That could mean structured notes with crypto exposure, customized staking portfolios, or tokenized real estate investments. Offer high-touch service, clear performance tracking, and a focus on security.
Family offices also care deeply about education and succession. Create materials that explain crypto in terms of legacy, wealth transfer, and multi-generational value. These aren’t just numbers people—they care about story, purpose, and long-term vision.
Also, think globally. Family offices from Asia, the Middle East, and Latin America are often more aggressive in crypto than their Western counterparts. Localize your approach and understand their regional concerns.
If you can combine trust, performance, and purpose, you can build lifelong relationships with this powerful group.
14. Stablecoins like USDC and USDT are used by over 40% of institutional traders for settlement
Stablecoins aren’t just for retail traders anymore. Over 40% of institutional crypto traders now rely on stablecoins like USDC and USDT to settle trades. Why? Because they offer speed, cost-efficiency, and 24/7 global liquidity.
This stat is crucial because it shows that institutions aren’t just investing in crypto—they’re operating within it. They’re using stablecoins for real-world purposes: cross-border transfers, margin collateral, and liquidity management.
If you’re building tools, services, or platforms, make stablecoin support a core feature. Enable seamless conversions between fiat and stablecoins. Offer real-time transfer tracking, compliance screening, and reconciliation tools.
If you’re a fintech or payments company, start thinking about stablecoin rails. There’s growing demand for B2B crypto payments, especially in markets with weak banking infrastructure or tight capital controls.
This trend also opens the door to regulated, institution-specific stablecoins. Think JPM Coin, Euro-denominated stablecoins, or even CBDCs. If you’re in the tokenization or compliance space, build tools that help institutions navigate this evolving ecosystem.
Don’t overlook stablecoins—they’re the invisible engine behind much of crypto’s institutional adoption.
15. Coinbase Institutional serves over 11,000 institutional clients
When one platform serves over 11,000 institutional clients, you know the demand is serious. Coinbase Institutional isn’t just an exchange—it’s a full-service solution offering custody, execution, staking, analytics, and API access.
This stat shows how important infrastructure and credibility are in attracting institutions. Coinbase didn’t just build tools—they built trust. They hired compliance officers, passed audits, and partnered with regulators.
If you’re building a product or looking to work with institutions, model your approach after Coinbase. Be transparent, responsive, and focused on regulation. Build relationships with auditors and custodians. Offer clear SLAs and onboarding support.
Also, consider using Coinbase as a platform—not a competitor. You can build products on top of their APIs, offer white-labeled solutions, or route trades through them for execution quality. Their scale creates opportunities for your niche.
For new players, this stat is also motivation. Institutions are not shy—they’re out there, looking for quality providers. If you can offer a better experience, tighter focus, or more flexible terms, you can carve out your own share.
Trust and infrastructure are the pillars. Build on them.
16. Over 70% of institutional crypto investors are motivated by long-term capital appreciation
Institutions are not jumping into crypto for quick flips—they’re thinking in years, not weeks. Over 70% say their main reason for investing is long-term capital appreciation. That changes everything about how you should approach them.
If you’re offering a product, fund, or service, frame it around long-term value. Talk about scarcity, network effects, and adoption curves. Avoid buzzwords and hype. Show how your offering fits into a five- or ten-year plan.
This stat also tells you that volatility isn’t a deal-breaker. Institutions can tolerate short-term swings if the long-term thesis is solid. So focus on helping them manage risk, not avoid it.
You should also build tools and content that emphasize holding. Performance dashboards, tax optimization for long-term gains, and custody solutions with multi-year retention in mind all matter.
If you’re raising capital or trying to onboard institutions, build a long-term narrative. What happens when your protocol scales? When adoption hits critical mass? When your assets become tokenized? Paint the picture clearly—and back it up with real numbers.
It’s not about timing the market. It’s about staying in the market. Help institutions see that—and help them stay there.
17. 45% of institutions cite portfolio diversification as the top reason for crypto allocation
Nearly half of all institutions see crypto as a way to diversify their portfolios.
That’s big. In traditional finance, diversification is not just strategy—it’s religion. If crypto helps reduce risk while increasing potential return, it earns a seat at the table.
This is where you come in. If you’re offering crypto products, illustrate how they complement existing holdings. Show back-tested correlations with equities, bonds, and commodities. Build tools that make it easy for institutions to model crypto allocations in traditional portfolios.
You should also think about asset classes. Offer access to multiple types of tokens—Bitcoin, Ethereum, stablecoins, DeFi tokens, maybe even tokenized real estate or commodities. The more ways institutions can diversify within crypto, the more likely they are to commit capital.
On the messaging front, avoid hype. Use phrases like “non-correlated asset class,” “modern portfolio theory,” and “tail-risk hedge.” These are terms they know and trust.
And make it easy for them to execute. Provide allocation models, sample portfolios, and even rebalance tools. Help them do what they already want to do—diversify—just with a new set of instruments.
Crypto isn’t replacing traditional finance. It’s complementing it. That’s the story you need to tell.
18. 38% of asset managers offer crypto products to their clients
This stat shows that crypto is not a side conversation anymore. Nearly 4 in 10 asset managers are actively offering crypto products. This could be ETFs, managed funds, separately managed accounts, or token portfolios.
For you, this is both an opportunity and a challenge.
The opportunity is clear: more asset managers are looking for partners—custodians, research providers, tokenization platforms, and regulatory tech. If you offer any of these services, now’s your time to build those bridges.
The challenge? Competition is heating up. You’re no longer one of the few. You have to stand out with performance, transparency, or specialization. Maybe you focus on sustainable tokens.
Maybe you offer enhanced staking strategies. Maybe you use AI to optimize allocations.
Also, consider white-labeling your strategies or tech. Many asset managers want to offer crypto, but don’t have the in-house resources. If you can provide plug-and-play solutions, you can grow faster by serving them behind the scenes.
Finally, make it easy for them to communicate with their clients. Build tools that explain your strategies, generate client reports, and handle compliance. Make them look good—and they’ll keep you around.
Asset managers are no longer crypto skeptics. They’re becoming crypto distributors. Be the partner that makes that shift seamless.
19. JPMorgan allows wealth clients access to crypto funds from Grayscale and Osprey
When one of the most conservative, influential banks in the world opens the door to crypto, it signals a shift in mindset.
JPMorgan allowing clients to invest in Grayscale and Osprey crypto funds isn’t just about access—it’s about endorsement.
This move matters because it legitimizes crypto in the eyes of both institutions and regulators. It means wealth managers are being trained, client demand is rising, and internal risk committees are giving the green light.
If you’re building financial products or services, this is your signal to design for banks, RIAs (registered investment advisors), and wealth platforms. Make your offering easy to plug into advisory ecosystems.
Provide prospectuses, performance history, and custodial partnerships.
Also, consider working with wealth managers directly. Offer them crypto education materials, webinars, or client-facing decks. Help them understand how crypto fits into tax planning, estate strategy, or retirement goals.
If JPMorgan is doing it, smaller firms will follow. Position your offering now so you’re ready when they come looking.
And remember: wealth clients often follow the advice of their bankers. Educate the advisors, and the capital will follow.
20. 64% of institutions worry about regulatory uncertainty as a barrier to crypto investment
No surprise here—regulatory risk remains the number one concern. When 64% of institutions say it’s a barrier, that means you need to take it seriously.
But here’s the good news: this is a solvable problem.
Start by making compliance a feature, not a burden. Highlight your licenses, audits, legal opinions, and KYC/AML frameworks. Use third-party validators to review your smart contracts or tokenomics. Partner with firms that specialize in crypto legal work.
If you’re offering DeFi or token products, consider launching in jurisdictions with clear frameworks—Singapore, Switzerland, Dubai, or parts of Europe. And be ready to adapt. Regulatory change is inevitable. Build flexibility into your governance, smart contracts, and operations.
You should also think about communication. Create clear, easy-to-read compliance summaries. Build trust by being transparent about how you handle data, risk, and counterparty exposure.
Institutions don’t need no risk—they need understood risk. If you can clearly explain how you manage it, they’re more likely to move forward.
You don’t have to solve regulation. You just have to show that you’re ready for it.
21. Institutional DeFi participation has grown 12x since 2021
A 12x growth in just a couple of years is explosive. This tells us that DeFi is no longer just a playground for crypto-native users—it’s maturing into a serious, institutional-grade ecosystem.
But institutions aren’t diving into random yield farms. They’re using DeFi strategically: for liquidity provision, lending, collateral management, and sometimes, access to yield-enhanced strategies.
The key difference is that they’re doing it through permissioned or whitelisted protocols that offer extra compliance layers.
If you’re building in DeFi and want to attract institutional capital, make your protocol safe, auditable, and transparent. Consider integrating KYC/AML at the smart contract level.
Explore partnerships with custodians and compliance firms to verify user identities without compromising decentralization.
You should also create dashboards and reporting tools that make sense for CFOs and fund administrators—not just developers. Institutions need real-time PnL, performance history, and risk analysis. If you can offer that, you make their entry easier.
Another tip: get insurance. DeFi insurance is becoming more available. If you can bundle your offering with third-party smart contract coverage, you instantly become more appealing.
And don’t forget education. Even sophisticated institutions may not fully grasp the difference between staking, LPing, or yield farming. Offer onboarding walkthroughs, scenario modeling, and security explainers.
The growth is real. The opportunity is huge. But you must meet institutions halfway by speaking their language—and securing their capital.
22. Over 50% of institutional DeFi use is through permissioned protocols like Aave Arc
Permissioned DeFi is where traditional finance and blockchain finally meet. Aave Arc, for instance, allows only whitelisted participants to interact—meaning all users are KYC’d, transactions are traceable, and legal accountability is baked in.
This solves the biggest issue institutions have with DeFi: compliance risk.
Over 50% of institutional DeFi activity now flows through these permissioned protocols. That tells us one thing loud and clear—institutions want DeFi’s benefits (transparency, automation, 24/7 access), but not at the cost of legal and reputational risk.
So how can you build for this?
First, if you’re launching a protocol, consider offering a dual-layer system: a public pool for retail users, and a permissioned pool for institutions. Use tools like Fireblocks, Chainalysis, or TRM Labs for identity verification and transaction monitoring.
Second, create robust governance models. Institutions want clarity—who’s in charge, how upgrades happen, what happens during emergencies. The more structured your governance, the more comfortable institutions feel participating.
And third, provide integrations with enterprise tools. APIs for accounting systems, dashboards for fund managers, and audit logs for compliance teams make all the difference.
Permissioned DeFi isn’t boring—it’s the path to mass adoption. Build for the 1% now, and the 99% will follow.
23. Fidelity manages over $4.5 trillion in assets and launched a Bitcoin ETF in Canada in 2021
Fidelity’s entry into the crypto space wasn’t just symbolic—it was strategic. When a firm managing $4.5 trillion steps into crypto, it signals to the market that digital assets aren’t fringe anymore—they’re foundational.
By launching a Bitcoin ETF in Canada, Fidelity side-stepped U.S. regulatory delays and gave institutions access to Bitcoin through a traditional product. This tells you that geographic flexibility matters.
If you’re in the fund space and hitting walls in your jurisdiction, look at more crypto-friendly countries. Canada, Switzerland, the UAE, and parts of Asia are leading the way. Set up your structure where the rules are clear and investor protection is strong.
This also tells you that brand trust matters. Institutions already working with Fidelity were far more likely to consider their crypto products. If you’re not a giant, that’s okay—borrow brand trust through partnerships, advisory boards, or affiliations with respected players.
Also, keep your eye on regulatory trends. As more asset managers follow Fidelity’s lead, being ahead of the curve in compliance could be your biggest edge.
Fidelity’s move was more than a product launch—it was an invitation to the rest of Wall Street. Make sure you’re ready to be part of the conversation.
24. Goldman Sachs resumed crypto trading desks and offers crypto derivatives
When Goldman Sachs reactivates its crypto desk and starts offering derivatives, it’s not dabbling—it’s building infrastructure.
This tells you that crypto is no longer a curiosity. It’s now part of serious trading strategies for the world’s biggest money managers.
Goldman’s re-entry is particularly telling because they only build markets when there’s real demand. That means hedge funds, asset managers, and institutions are asking for crypto products—especially derivatives.
So what should you do with this?
First, learn how crypto derivatives work—futures, options, swaps, and structured products. If you’re building tools, include pricing, margining, and risk modeling. If you’re an asset manager, learn how to integrate derivatives into yield-enhancing or hedged strategies.
Second, don’t ignore TradFi partnerships. Many institutions want exposure but don’t want to self-custody or trade on DEXs. They’ll go through Goldman, Morgan Stanley, or CME.
If you’re on the infrastructure side, make sure your product or fund can plug into these systems.
Finally, start preparing for institutional standards. That means compliance docs, onboarding workflows, and enterprise-grade risk tools. When institutions use derivatives, they need daily risk metrics and compliance oversight. Provide that, and you’re instantly more attractive.
Goldman is back in the game. That’s your signal: the money is serious, and the expectations are high.
25. 61% of institutional investors plan to increase crypto allocations in the next 12 months
This is one of the most bullish stats in the entire list. When 61% of institutions are planning to increase their crypto exposure, not just maintain it, it tells us that the market hasn’t peaked—it’s expanding.
This also shows a shift in mindset. Institutions have moved from testing the waters to diving in deeper.
Their early concerns about volatility, security, and regulation are being addressed, and now they’re hungry for opportunity.
So what should you do?
If you’re already working with institutional clients, now is the time to deepen those relationships. Offer expanded products—multi-asset portfolios, cross-chain exposure, staking options, or real-world asset tokenization.
Don’t assume their initial allocation is all they want—show them what’s next.
If you’re still building, use this stat in your decks, proposals, and investor pitches. It’s your validation that demand is growing. Be proactive. Reach out to wealth managers, funds, family offices—don’t wait for them to knock.
Also, prepare your infrastructure. Scaling your back office, compliance checks, and customer service is critical. If you want to capture more capital, you need to be ready to handle it.
Finally, help your clients build their strategy. Provide allocation models based on their risk tolerance and goals. Create forecasting tools and dashboards. The easier you make it for them to increase exposure, the more likely they are to do it—with you.
This isn’t just market noise—it’s market momentum. Ride it.
26. 18% of institutional crypto allocations exceed 2% of their total portfolio
A lot of institutions are still dipping their toes in crypto—but this stat proves that a growing minority are going in with conviction. Nearly 1 in 5 institutions have allocated more than 2% of their portfolio to digital assets. That’s no longer “experimental”—that’s strategic.
So what does this mean for your business?
First, understand what this type of allocation represents. At that size, crypto starts to materially affect overall portfolio performance. That means institutions will demand better reporting, more control, and stronger governance.
If you’re managing assets or building products, this is your opportunity to offer portfolio management tools tailored to larger positions. Include things like risk modeling, performance attribution, and volatility controls.
Think in terms of institutional-grade asset management.
Also, remember that bigger allocations come with more scrutiny. You’ll need tighter compliance, third-party audits, and potentially SOC 2 certification or similar frameworks.
Don’t wait until you’re asked—make it part of your pitch.
And this is also a signal for you, the builder or investor. If institutions are getting comfortable with a 2–5% allocation, the ceiling for institutional capital inflow is much, much higher than most people think.
Start thinking bigger. Because they are.
27. NFTs have been explored by 21% of institutions for branding and engagement strategies
NFTs aren’t just collectibles—they’re a new way to engage, reward, and connect. When 21% of institutions are exploring NFTs for branding, it means this technology has moved beyond art into strategy.
Brands are using NFTs for loyalty programs, event access, exclusive content, and digital identity. Think Starbucks’ loyalty NFT program, or Nike’s digital sneaker drops. These are use cases that drive value—not speculation.
If you’re in Web3 marketing, development, or branding, this stat is your entry point. Offer NFT solutions tailored to corporate goals. Create white-label NFT platforms that integrate with existing CRMs.
Build loyalty mechanics around NFT tiers or engagement milestones.
You should also help with storytelling. Most institutions don’t fully grasp how NFTs can drive engagement. Create case studies. Run pilots. Offer analytics to show NFT redemption, interaction, and retention rates.
Also, think cross-chain. Many institutions care about carbon impact and brand reputation. Offer NFTs on eco-friendly chains like Polygon or Flow.
NFTs for branding aren’t a trend—they’re a tool. One that smart institutions are learning to use.
28. Institutional demand accounts for over 70% of crypto ETF trading volume
ETFs are becoming the preferred vehicle for institutional access. And when institutions make up more than 70% of the trading volume, it shows how much they value structure, liquidity, and ease of use.
This should shape how you approach product development. Whether you’re launching your own ETF, building analytics tools, or supporting investors, you need to understand the ETF ecosystem.
For ETF providers, focus on simplicity and performance. Track indexes that are easy to understand. Avoid over-engineering. Offer real-time NAV tracking, strong liquidity partners, and transparent fee structures.
For startups, this stat opens the door to indirect participation. Build ETF analytics platforms, robo-advisors that include crypto ETFs, or tax optimization tools for ETF holders.
And if you’re marketing to institutions, position ETFs as a first step into crypto. They’re regulated, familiar, and trade like stocks. Build content around ETF performance, rebalancing schedules, and how they fit into modern portfolios.
This is the institutional on-ramp. Help pave it—and you’ll grow with it.
29. 48% of institutions prefer accessing crypto through funds or ETFs over direct ownership
Nearly half of all institutional investors would rather invest through funds or ETFs than directly hold tokens. And who can blame them? Direct ownership requires custody, wallet management, security protocols, and tax tracking. Funds simplify all of that.
This stat tells you how to structure your offerings. If you’re selling access to crypto, wrap it in something familiar. Private funds. Managed accounts. Trusts. ETFs. Even structured notes with a crypto underlayer.
It also shows you that UX matters. For many institutions, managing wallets and private keys is just not practical. Offer custodial solutions that plug into their existing platforms. Help them meet compliance standards with integrated reporting, auditing, and onboarding tools.
And don’t try to force them into DeFi wallets or obscure platforms. Meet them where they are—brokerage accounts, fund platforms, or multi-manager structures.
The future of crypto might be decentralized—but institutional entry still starts with simplicity. Be the bridge.
30. 63% of institutional investors say better custody solutions are driving crypto adoption
Security has always been the elephant in the crypto room. But now, thanks to custodians like Anchorage, Fireblocks, and Coinbase Custody, institutions are gaining confidence.
With 63% citing custody improvements as a reason for adoption, it’s clear that trust in infrastructure is catching up.
If you’re building a product or service, don’t overlook this. Even if custody isn’t your main offering, you need to integrate with the best. Partner with top custodians. Offer multiple options—hot, cold, insured, multi-sig. Make security visible and verifiable.
Also, think beyond basic wallet storage. Institutions need workflows: trade approval systems, user roles, multi-party computation (MPC), audit logs, and integration with traditional custodians or fund administrators.
Highlight your security practices in your marketing. Institutions want to know how their assets are stored, monitored, and recovered in case of failure.
And don’t forget about insurance. Work with underwriters who offer crypto-specific policies. If you can include insurance as part of your custody package, you eliminate one more friction point.
Custody isn’t just a tech problem—it’s a trust problem. Solve that, and you’ll open the doors to serious capital.
wrapping it up
Crypto is no longer a fringe market. It’s a serious asset class drawing interest—and capital—from the world’s biggest investors.
From hedge funds and family offices to pensions and global banks, institutions are not just curious—they’re allocating. They’re trading, staking, launching products, and building infrastructure. They’re in it for the long haul.
