Institutional investors plan to double their exposure to digital assets by 2028
- Institutions plan to double their exposure to digital assets in 3 years
- More than half expect to tokenize up to 25% of portfolios by 2030
- Tokenization and AI are seen as pillars of financial transformation
A new report from State Street, one of the world's largest asset managers and custodians, revealed that institutional investors are rapidly increasing their involvement with digital assets and tokenization. The Digital Assets Outlook 2025 study shows that nearly 60% of institutions intend to increase their allocations to digital assets next year, and average exposure is expected to double within three years.
The survey, which surveyed senior executives at global funds and asset owners, indicates that blockchains and tokenization are becoming established as permanent components of long-term investment strategies. State Street, which manages approximately $49 trillion in assets under custody and $5,1 trillion in assets under management, highlighted that tokenization is already seen as the next natural step in the modernization of the financial market.
More than half of respondents expect between 10% and 24% of institutional portfolios to be tokenized by 2030, with a particular focus on private market assets such as private equity and private fixed income. These categories are considered ideal for tokenization because they offer opportunities for liquidity and operational efficiency in traditionally illiquid assets.
Top reasons for adoption cited by investors include transparency (52%), faster negotiations (39%) and reduced compliance costs (32%), with almost half expecting savings of over 40% as a result.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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