A new survey from JPMorgan indicates that most institutional investors are still hesitant about cryptocurrencies, despite regulatory improvements in the U.S.
Cautious Attitude Towards Cryptocurrencies
The annual survey by JPMorgan conducted from January 9 to 23 with 4,200 clients across 60 countries reveals that 71% of institutional traders have no plans regarding cryptocurrencies for 2025. Although this is a decrease from 78% in 2024, it confirms the persistent caution of the sector towards digital assets. However, the study highlights a gradual adoption, with 16% planning to enter the market this year and 13% already active, an increase from the previous year.
Inflation and Geopolitical Tensions as Risks
The survey results highlight the primary concerns of institutional traders for 2025. Inflation and tariff rates are seen as the most influential market factors, followed by growing geopolitical tensions. Gergana Thiel, co-global head of macroeconomic sales at JPMorgan, emphasizes that 51% of participants consider inflation and customs duties the major risks.
Support for Cryptocurrencies From Trump Administration
The Trump administration is reinforcing its support for cryptocurrencies. The creation of a sovereign fund managed by pro-crypto figures and a stablecoin project illustrate this new orientation. Yet, despite the more favorable environment, most institutions remain cautious and favor traditional financial instruments.
The survey indicates that while some institutional investors are showing interest in cryptocurrencies amid regulatory improvements, the majority still lean towards traditional instruments due to the current economic and geopolitical conditions.
