Investors and wealth managers are increasingly committed to expanding their allocations in digital assets, according to recent global research by Nickel Digital Asset Management, a leading regulated digital assets hedge fund manager based in London.
The study reveals that 80% of organizations already invested in digital assets plan to boost their investments over the next year, building on previous increases. About 67% of respondents reported expanding their holdings this year.
Institutional investors and wealth managers from the US, UK, Germany, Switzerland, Singapore, Brazil, and the UAE, who collectively manage approximately $1.7 trillion in assets, have a positive outlook for the sector both in the short and long term.
Nearly all (98%) consider digital asset investment opportunities attractive in the coming year, with 32% rating them as very attractive. Over the next five years, 97% find the opportunities appealing, with 44% rating them as very attractive.
Nickel’s research shows that 83% of these investors and managers have been involved in digital assets for at least two years, with 5% having invested in the past year. Currently, around 90% have up to 3% of their assets in the sector, but 60% expect to exceed this allocation within three years, with 12% anticipating investing 5% or more.