Bitcoin News: Gone are the days when cryptocurrencies were only associated with novice investors or illegal activities. With the unstoppable bull rally of Bitcoin and the rise of DeFi, institutional investment in the ecosystem has reached unprecedented levels over the past year.
Even those who once made their voices heard with their harsh criticism have now allocated millions of dollars to financing or investment activities. As inflation in the US hits the highest levels seen years ago, the number of investors turning to crypto is expected to increase even more.
Bitcoin with Surveys
Research on institutional investor interest by Fidelity Digital Assets involving 1,100 global institutional investors between December 2020 and April 2021 revealed that 70% of respondents are likely to buy or invest in digital assets in the near future. Also, almost 90% of respondents can be expected to add cryptocurrencies to their companies or clients’ portfolios in the next 5 years.
The above-mentioned finding is consistent with other surveys investigating investor interest in the BTC market. Earlier this month, a survey by Nickel Digital Asset Management showed that 82% of institutional investors plan to increase their cryptocurrency exposure between now and 2023.
Finally, the survey by Fidelity revealed that more than half of the institutions surveyed already hold digital assets. Additionally, it is stated that Asian investors are more exposed to crypto assets than European and US investors.
However, skepticism is still common among investors surveyed. Along with market manipulation and fundamental lack, price volatility is the primary deterrent for these investors to enter the crypto market. The second main reason is that the Bitcoin ETF is not approved in the United States by the country’s regulatory authorities.