David Edwards
Despite increased regulatory clarity in the US, 71% of institutional traders surveyed by JPMorgan said they have no plans to trade cryptocurrencies this year. Published in January, the results show a modest decrease from 2024, when 78% of respondents said they had no interest in trading cryptocurrencies.
Institutional Crypto Interest Is Still Low
According to the poll, 16% of institutional traders intend to trade cryptocurrency in 2025, and 13% are now active in the market, both of which represent increases from the previous year, even if the majority of traders are still uninterested in digital assets.
Despite persistent pessimism about cryptocurrencies, it is noteworthy that 100% of respondents stated that they want to increase their online or e-trade activity, especially for less liquid assets. This suggests a broader move toward digital trading infrastructure.
Market dynamics and regulatory changes
Despite a more favorable regulatory environment in the United States as a result of financial policy changes under the present administration, there is still a lack of enthusiasm for cryptocurrencies.
JPMorgan’s global head of digital markets, Eddie Wen, told Bloomberg that although institutional adoption of cryptocurrencies is still limited, recent regulation reforms have made it simpler for traditional financial institutions to get involved.
In the meantime, institutional traders determined that the biggest market risks for 2025 would be tariffs and inflation, with geopolitical concerns coming in second. Market volatility was also mentioned as the largest trading challenge by 41% of respondents, up from 28% in 2024.
