71% of Institutional Investors Still Shying Away from Cryptocurrencies

A new survey from JPMorgan reveals that the majority of institutional investors remain hesitant towards cryptocurrencies, despite the improvement in the regulatory framework in the United States. Only 29% of participants are active or plan to engage in this market.

Institutional traders remain hesitant towards cryptocurrencies

The annual survey by JPMorgan, conducted from January 9 to 23 with 4,200 clients across 60 locations worldwide, reveals that 71% of institutional traders have “no plans” regarding cryptocurrencies for 2025. Although this is a decrease from 78% in 2024, this figure confirms the persistent caution of the sector towards digital assets.

However, the study highlights a gradual adoption: 16% of respondents plan to enter the market this year, while 13% are already active, an increase compared to the previous year.

Eddie Wen, global head of digital markets at JPMorgan, notes that the regulatory environment is becoming more favorable in the United States, particularly under the influence of the Trump administration.

“Recent developments show increased government support for the market, with reforms that reduce barriers for traditional financial institutions”, he explains.

Inflation and geopolitical tensions at the heart of concerns

The survey results highlight the primary concerns of institutional traders for 2025. Inflation and tariff rates are seen as the most influential factors in the markets, followed by increasing geopolitical tensions.

Gergana Thiel, co-global head of macroeconomic sales at JPMorgan, emphasizes that 51% of participants consider inflation and customs duties as major risks.

“It is not surprising that 51% of respondents believe these two elements will be central challenges for financial markets.”

The volatility of the markets also worries 41% of traders, compared to 28% in 2024. Yet, paradoxically, 100% of participants expect to intensify their online trading activities, particularly on the least liquid assets.

The Trump administration is reinforcing its support for cryptocurrencies. The creation of a sovereign fund managed by pro-crypto figures (Scott Bessent, Howard Lutnick) and the stablecoin project led by David Sacks illustrate this new orientation.

However, despite this more favorable environment, most institutions remain cautious and still favor traditional financial instruments. The recent escalation of the trade war between the United States and China is pushing many investors towards gold.