Nasdaq survey has painted a predictably bullish picture for institutional adoption in the U.S.
Eighty-six percent of advisors surveyed, who control approximately $26 trillion in cumulative capital, also plan to invest more in crypto over the course of the year, meaning institutional adoption is expected to increase in a year. near future, according to a recent survey of 500 financial advisors conducted by Nasdaq.
Those who have already invested in cryptocurrencies on behalf of their clients do not plan to reduce their positions over the next 12 months.
Yet the advisors who took part in the survey are not ready to dive headlong into cryptocurrencies; their ideal allocation currently stands at a modest 6%.
Moreover, the survey does not include those financial advisors who remain skeptical of cryptocurrencies, which obviously makes it less reliable.
High demand for a spot crypto ETF
The vast majority of respondents (72%) would be more likely to invest in cryptocurrencies through a cash exchange-traded fund in the US, highlighting strong demand for a product that does not hasn’t been launched yet.
The U.S. Securities and Exchange Commission (SEC) approved a future-based Bitcoin futures exchange last October, but it has so far rejected multiple attempts to launch a spot-based ETF. More than 50% of the respondents gain exposure to crypto through a futures-based fund. Nearly a third of them are also planning to put money into such an investment vehicle in the future.
Despite the initial excitement surrounding the launch of a futures-based ETF, investors quickly became dissatisfied with the product due to the diluted exposure, fees, and price discrepancy of the underlying asset. underlying and paper futures. Therefore, many are calling for an ETF based on spot prices.
Sixty-nine percent of advisors are in favor of gaining exposure to crypto with the help of index funds.
