Nickel Digital Sees Growing Institutional Demand for Crypto Assets

Nickel Digital Sees Growing Institutional Demand for Crypto Assets

Research by Nickel Digital, a digital asset hedge fund manager founded by former Goldman Sachs and JPMorgan investment professionals, found that more than half the institutional investors in a survey plan to increase their crypto asset exposure between now and 2023.

  • Of the 23 wealth managers and other institutions asked, 11 said they will add to their exposure, with a further six saying they will "dramatically" increase their exposure.
  • The managers oversee a total of $66.5 billion in assets and already have some exposure to digital assets.
  • The long-term appreciation prospects of crypto assets was cited as the reason.
  • Nine institutions said they have become more confident with how the asset class works, and nine cited the improving regulatory environment.
  • However, 16 also expressed concerns relating to the relative size of the crypto market, issues with liquidity and a lack of transparency.
  • Source