Coinbase: Institutional Investors Increased Allocations During Crypto Winter, Long-Term Price Outlook Positive


A recent survey sponsored by the Nasdaq-listed crypto exchange Coinbase shows that institutional investors increased their allocations during the crypto winter. The firm emphasized that there is “a strong signal of the acceptance of crypto as an asset class” and “the price outlook over the long term remains positive.”

Coinbase Institutional Investor Survey

Nasdaq-listed cryptocurrency exchange Coinbase published Thursday sponsored findings of a survey to understand how decision-makers at US institutions view digital assets. The survey was conducted independently by institutional investor Custom Research Lab between September 21 and October 27.

A total of 140 institutional investors in the U.S. participated in the survey, representing about $2.6 trillion in assets under management. Coinbase was not involved in sourcing the respondents.

Coinbase wrote:

Institutional investors increased their allocations during the crypto winter, many using it as an opportunity to learn and build for the future.

“62% of investors who are currently invested in crypto increased their allocations in the past 12 months (vs. 12% who decreased their allocations). This is evidence that institutional investors have continued to take a long-term view of the asset class even as prices have fallen,” the crypto firm detailed.

Furthermore, Coinbase shared:

58% investors expect to increase their allocation over the next three years. The majority of investors (59%) are currently using or planning to use a buy-and-hold approach.

“Overall sentiment towards digital assets has remained positive with 72% supporting the view that digital assets are here to stay (86% among those currently invested in crypto and 64% among those planning to invest),” Coinbase continued, elaborating:

Given the current climate, this is a strong indication of the acceptance of crypto as an asset class.

“While some investors categorize digital assets as either real assets/commodities or as alternative assets, more investors are creating their own category for crypto or classifying crypto as part of innovation or emerging technologies. This is also evidence of a long-term opportunity that may emerge in the future,” Coinbase further described.

Despite the crypto winter, Coinbase noted that institutional investors are still bullish about crypto long term, stating:

The price outlook over the long term remains positive with 71% of investors saying that they expect digital asset valuations to increase over the long term.


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