A fundamental shift is underway in the financial advisory industry as crypto assets gain traction with professional money managers.
Matt Hougan, CIO of Bitwise, revealed that leading advisory firms are preparing to roll out crypto exposure to clients at scale, forecasting widespread access to exchange-traded crypto products (ETPs) by the end of next year.
Hougan, speaking after a major industry event, noted a striking change in allocation standards. What was once a cautious 1% position in crypto is now evolving into a more confident 5%, reflecting the growing maturity of digital assets in traditional portfolios.
The introduction of spot Bitcoin and Ethereum ETPs in the U.S. has fueled this shift, offering regulatory-compliant investment vehicles for institutions. According to industry data, crypto ETPs have already attracted billions in inflows, with Bitcoin products alone managing over $90 billion in assets.
While Bitcoin dominates in scale, interest in Ethereum is on the rise, particularly among family offices and smaller firms.
This institutional embrace suggests that crypto, once viewed as a fringe asset class, is steadily becoming a standard component in wealth management strategies. As compliance frameworks solidify and asset managers gain confidence, digital assets may soon be as routine as equities and bonds in diversified portfolios.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/crypto-allocation-set-to-surge-in-institutional-portfolios-by-2025/