60% of Institutions Aim for Larger Investments in Cryptocurrencies
Institutional investors are no longer just experimenting with blockchain — they’re betting big on it. According to State Street’s Digital Asset Outlook 2025 report, the majority of major financial institutions now see tokenization and digital assets as central to their long-term growth strategies.
Research based on a global survey of 324 senior executives in the asset and property management sector paints a clear picture: digital transformation in finance has moved from theory to implementation.
Organizations moving beyond the pilot phase
Nearly 60% of respondents said they plan to increase their allocation to digital assets in the coming year, with total exposure expected to double within three years. For most people, digital assets are no longer a side project — they are becoming a strategic investment.
Joerg Ambrosius, president of investment services at State Street, said the pace of adoption is accelerating. He said the convergence of encryption, artificial intelligence and quantum computing is helping early adopters reshape the global financial system.
Private markets lead the push for encryption
The report identifies private equity and private fixed income as the first major sectors to undergo tokenization. This shift reflects investors’ growing focus on unlocking liquidity and efficiency in slow and opaque capital markets.
By 2030, more than half of respondents expect 10–24% of their portfolios to include tokenized instruments. For many, tokenization is no longer a far-fetched concept — it’s the path to modernizing the way capital markets operate.
Why Organizations Are Turning to Blockchain
When asked about the benefits driving adoption , organizational leaders pointed to:
Higher transparency (52%)
Faster transactions and payments (39%)
Reduced compliance costs (32%)
Nearly half believe that increased transparency alone could deliver cost savings of 40% or more.
Digital asset classes are becoming popular
Another notable trend: 40% of institutional investors now have dedicated digital asset units, while nearly a third report that blockchain activities are fully integrated into their broader digital strategies.
AI and quantum technology seen as catalysts
Interestingly, the report found that more than half of respondents believe that generative AI and quantum computing will have an even greater impact on investing than blockchain itself. However, most see these technologies as complementary, together driving the next generation of financial systems.