Renowned global consulting firm EY-Parthenon recently conducted a survey of institutional investor decision makers around the world and found that over 20% of them recognized the opportunity to invest in XRP.
XRP Community Expert WrathofKahneman (WOK) highlighted That’s the development in today’s post on X. The survey covered 277 institutional investors, including COOs, CEOs, and portfolio managers.
Respondents represented asset managers, family offices, traditional asset managers, hedge funds and asset owners. The majority – at least 147 – were from the United States. Europe made up the next largest number, with 90 respondents. Other institutional investors surveyed were from the Asia-Pacific region (APAC), Canada and Latin America.
Notably, EY-Parthenon conducted the survey in early March after the SEC approved the Bitcoin ETF. The survey aimed to understand respondents’ views on crypto assets, including sentiment, distributions, future expectations, and tokenization prospects. A third party ensured a fair and balanced response pool.
Institutional Investors Recognize XRP’s Existence
The survey found that a significant portion of respondents who invest in cryptocurrency have diversified their portfolios beyond the two biggest players. Specifically, 57% of respondents have invested in coins other than Bitcoin (BTC) or Ethereum (ETH), which is comparable to last year’s record of 60%.
This trend is even more pronounced among family offices, with 68% favoring investing in alternative cryptocurrencies such as XRP.
However, it is worth noting that BTC and ETH make up the largest share of their cryptocurrency allocations. Specifically, 98% of respondents agreed that their companies allocated in Bitcoin, while 78% disclosed that they allocated in Ethereum.
Solana (SOL) and XRP follow, with 24% admitting to investing in SOL and only 20% agreeing to invest in XRP.
Meanwhile, the study also noted a shift in the stablecoin market, with USDC’s dominance increasing year-on-year as institutions moved away from Tether (USDT).
While USDC preference has increased, USDT market share among these investors has declined from 42% in 2023 to 35% in 2024. Notably, PayPal USD has become one of the top three players in the stablecoin market over the past year.
Future Distribution Plans
The survey also provided insight into the future of digital asset distribution. It showed that investor segments plan to maintain their current distribution levels from 2023 to 2024. However, distribution is expected to increase significantly over the next three years.
In 2023, 42% of investors increased their investments in digital assets, 42% maintained their investments at the same level, and 16% reduced their investments.
