Over half of Japanese institutional investors plan to invest in digital assets within the next three years, according to a new survey by Nomura Holdings and its digital asset subsidiary Laser Digital.

Japanese Institutional Investors Warm to Digital Assets, Survey Finds

The study, which polled more than 500 investment managers from institutions, family offices, and public-service corporations in Japan, reveals a growing appetite for crypto assets among traditional financial players.

Of those surveyed, 54% indicated they intend to invest in crypto assets over the next three years. Additionally, 25% of respondents reported a "positive" impression of crypto assets, while 62% view them as a diversification opportunity.

The survey found that investors considering crypto allocations prefer a 2-5% range of assets under management. Respondents cited the development of various investment products, including ETFs, investment trusts, and staking opportunities, as key drivers for future investment.

Interestingly, about half of the respondents expressed interest in investing in Web3 projects, either directly or through venture capital funds. This interest could be bolstered by an expected revision to Japan's Limited Partnerships Act later this year, which would add crypto assets to the list of permissible investments for limited partnerships.