Institutions bet on crypto rise despite market volatility

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Institutions bet on crypto rise despite market volatility
Institutions bet on crypto rise despite market volatility
Mahathir Bayena
Written by Mahathir Bayena
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Institutional investors remain bullish on crypto, with 74% expecting prices to rise over the next 12 months despite recent market volatility.

A Coinbase and EY-Parthenon survey found 73% of institutions plan to increase their digital asset allocations in 2026, signalling sustained confidence in the sector.

The findings highlight a growing preference for regulated investment vehicles, with two-thirds of respondents favouring exchange-traded products and similar instruments.

“Regulation was cited as a key factor attracting institutional participation,”

The report noted.

Market turbulence has not reduced exposure, but instead shifted focus toward risk management, with 49% of respondents prioritising liquidity and position sizing.

Stablecoins are emerging as a key use case, with 85% of institutions already using or planning to use them for payments and treasury operations.

Regulatory developments are expected to further drive adoption, with 83% saying legislation such as the GENIUS Act would increase institutional engagement with stablecoins.

Interest in tokenisation is also rising, with 63% of investors looking to gain exposure to tokenised assets and 61% expecting it to reshape market structure.

The survey underscores a broader shift toward infrastructure, compliance and real-world use cases as institutions deepen their involvement in digital assets.

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