Author: Sam Bourgi
Compiled by: DeepWave TechFlow
DeepInsight Summary: According to CoinShares' latest quarterly survey, among 26 institutional investors managing a combined $1.3 trillion in assets, 32% hold BTC and 25% have allocated to ETH. Digital asset allocations remain around 1%, but inflows have been positive for four consecutive weeks, with net inflows into spot BTC ETFs nearing $1 billion in early May. Improved regulatory friendliness and the opening of ETF channels are key drivers, while internal compliance restrictions remain the primary bottleneck.
Fund managers are re-embracing digital assets. The latest survey by CoinShares shows that Bitcoin continues to dominate institutional allocation preferences, while overall sentiment in the crypto market is improving.
This April survey covered 26 institutional investors managing a combined $1.3 trillion in assets. Digital assets still represent a low allocation of approximately 1% in portfolios. CoinShares described this as a “typical entry position,” reflecting the current risk-off market environment.
James Butterfill, Head of Research at CoinShares, wrote in the report: "Bitcoin remains the digital asset with the most compelling growth prospects." Sentiment toward ETH and SOL has also seen modest improvement compared to the previous quarters.
Survey data: 32% of respondents have invested in BTC, and 25% have allocated ETH.
Institutional investors are gradually increasing their positions, driven by improving market sentiment, rising ETF adoption, and a more favorable regulatory environment. At the same time, respondents cited internal compliance restrictions and regulatory uncertainty as the primary barriers to broader adoption. The survey also highlights a trend: capital is shifting from established altcoins toward newer DeFi protocols and emerging blockchain sectors.
Caption: Fund managers believe Bitcoin has the strongest growth prospects among digital assets, followed by ETH and SOL.
Source:CoinShares
Funds continue to flow in, and sentiment indicators have turned broadly positive.
The optimistic tone of the survey aligns with broader institutional capital flow data. CoinShares data shows that digital asset investment products have recorded net inflows for multiple consecutive weeks, primarily driven by demand for Bitcoin.
Crypto ETPs attracted $1.2 billion in inflows over the four weeks ending April 27, marking the fourth consecutive week of positive inflows and a total of $3.9 billion over the four-week period.
This momentum continued into early May. According to SoSoValue data, U.S. spot Bitcoin ETFs recorded nearly $1 billion in net inflows this week, and the price of BTC reclaimed $80,000.
Caption: Bitcoin ETF inflows have continued to rise since last Friday.
Source: SoSoValue
The trend of capital inflow is also consistent with the joint survey by Coinbase and EY-Parthenon: 73% of institutional investors plan to increase their exposure to digital assets this year, with most expecting crypto asset prices to rise over the next 12 months.
The launch of U.S. spot Bitcoin ETFs in January 2024 was widely seen as a turning point for institutional adoption. The ETF structure reduced operational friction for institutions and provided regulated Bitcoin exposure without requiring direct custody of digital assets.