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Swis crypto bank Sygnum's recent survey of institutional investors reveals a strikingly bullish outlook for the crypto market in 2024. A notable 60% of respondents are optimistic, expecting substantial returns in the coming year. This positive sentiment underscores a significant shift in the institutional approach to cryptocurrency investment.
The survey was conducted shortly before the crypto market’s November 2023 rally commenced, among traditional investors on a wide range of topics including their crypto asset allocation and investment strategies, their perceived crypto investment barriers and future market outlook. Among the 150 respondents, 18 were from Singapore.
- Bullish Outlook: The majority of investors are bullish about the crypto market's future, indicating a strong belief in its growth potential.
- Preference for Established Assets: There's a growing trend towards single token exposure, particularly in well-established cryptocurrencies like Bitcoin and Ethereum.
- Rising Interest in Tokenized Real Estate: Surprisingly, tokenized real estate has emerged as a hot favorite, even overtaking venture capital and art collectibles in terms of investor interest.
- Higher Allocations in 2024: The survey indicates a regional trend – 60% of Asia-Pacific investors currently investing in crypto plan to increase their allocations, with 78% doing so within the next 3-6 months.
In the city-state, institutional investors view cryptocurrency as a long-term investment – 75% of Singaporean respondents plan to increase crypto allocations in 2024. About 61% see Singapore as crypto-friendly, and over 66% expect higher future returns. Some 22% have over half their portfolio in crypto.
“As the crypto industry has evolved, many institutional investors have also evolved from sceptics to evangelists, with over 80% now agreeing that crypto has an important role to play in the global financial industry. It’s now truly becoming a trusted gateway that is rapidly transforming the economic landscape,” Lucas Schweiger, Sygnum digital asset research manager and report author, said in an announcement.