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Bitwise Survey Shows Institutional Crypto Allocations Primarily Between 1% and 2%
A recent survey conducted by Bitwise Asset Management reveals that most large institutions allocate between 1% and 2% of their total investable assets to cryptocurrency. The survey, which involved in-depth interviews with senior professionals from 15 major institutions, indicates that while the range of crypto allocations can extend from 0.5% to 13%, the majority of institutions are adopting a cautious approach, viewing cryptocurrency more as a hedge than a speculative investment.
Bitcoin remains the dominant digital asset among these institutions, with every surveyed entity holding it as their primary cryptocurrency. This trend positions Bitcoin as a store of value akin to gold, driven by concerns over fiat currency debasement. Although Ethereum and Solana are also included in some portfolios, they represent smaller, more speculative investments.
Interestingly, during a significant market downturn from October 2025 to April 2026, where crypto markets saw a drawdown of approximately 50%, none of the institutions reduced their crypto holdings. In fact, many increased their positions, citing regulatory changes and thesis failures as potential reasons for exiting rather than market price fluctuations.
The survey also highlights a shift towards spot exchange-traded funds (ETFs) as the preferred investment vehicle for institutions. This preference is attributed to lower operational costs and the familiarity of back-office processes associated with traditional funds. While some institutions express hesitance regarding ETFs due to internal policies, the overall trend suggests a growing acceptance of cryptocurrency within institutional portfolios, with projections indicating that the majority of institutional investors will hold crypto assets within the next five years.
Source: KLEA News