Crypto Adoption Grows Among Hedge Funds: New Survey Shows 55% Participation In 2025

Throughout the year, President Donald Trump’s cryptocurrency policies have spurred a notable increase in the adoption of digital assets through various channels, including exchange-traded funds (ETFs) and cryptocurrency-focused Treasuries.

As a result, recently reconnaissance A study by the Alternative Investment Management Association (AIMA) and PwC revealed that the proportion of traditional hedge funds owning cryptocurrencies has risen to 55%, compared to 47% in 2024.

Large exposure to cryptocurrencies among hedge funds

Although persistent Volatility In cryptocurrency markets, 47% of institutional investors surveyed expressed that the current regulatory environment, shaped by Trump’s appointments of heads of cryptocurrency-friendly agencies and implementation of the GENIUS Act, has encouraged them to increase their allocations to digital assets.

James Delaney, Managing Director of Asset Management Regulation at AIMA, commented on the findings:

For most of these funds, regulatory uncertainty has been a major constraint. This year, these barriers began to be removed. This year’s report may constitute a turning point in overcoming these challenges.

but, Regulatory clarity It’s not the only factor driving institutional interest in cryptocurrencies. Fear of missing out on big market gains (FOMO) is also a compelling motivator.

The survey highlighted that alongside traditional hedge funds, specialist fund managers have emerged with at least 50% of their assets in cryptocurrencies, with several new funds launching this year.

Bitcoin dominates, and Solana’s popularity soars

Among the funds that focus on cryptocurrencies, Bitcoin BTC remains the most popular asset, closely followed by Ethereum (ETH) and Solana (SOL). Notably, Solana has seen its popularity rise this year, with 73% of funds now owning it, a notable increase from 45% in 2024.

On average, hedge funds allocated about 7% of their assets to cryptocurrencies, up from 6% the previous year, although more than half of survey respondents committed less than 2%. Encouragingly, 71% of those surveyed indicated plans to increase their exposure to cryptocurrencies over the next 12 months.

Major companies are also showing interest in this field. Brevan Howard Asset Management has reportedly hired a former executive from Peter Thiel’s family office to lead its cryptocurrency-focused investment division.

In addition, asset managers such as Steven Cohen’s Point72 Asset Management and Elliott Investment Management have disclosed their holdings in Bitcoin and Ethereum-linked ETFs. According to the AIMA survey, the percentage of participants using ETFs rose to 33%, compared to 25% the previous year.

The survey indicated that the most common way to access the digital asset market among managers is through derivatives, used by 67% of respondents, up from 58% in 2024. Spot trading also grew, rising to 40% from 25%.

Furthermore, some asset managers are exploring tokenizing their funds, similar to initiatives taken by companies such as BlackRock. More than half of the survey participants expressed interest in this approach.

Finally, the survey found that 43% of traditional hedge funds that invest in cryptocurrencies plan to enhance or begin their involvement with DeFi over the next three years, with nearly a third of them believing that DeFi could disrupt their business models.

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