TechFlow news: According to a survey by accounting firm KPMG, Canadian institutional investors significantly increased their investments in cryptocurrency last year compared to the previous bull market. Nearly 40% of institutional investors reported holding crypto assets directly or indirectly in 2023, up from 31% in KPMG's 2021 survey.
The survey found that one-third of institutional investors allocated 10% or more of their portfolios to crypto assets, compared to one-fifth two years ago.
Institutional investors are increasing allocations to crypto assets primarily due to concerns about inflation and rising U.S. debt, as well as improved market maturity and custody infrastructure.
Canada became the first country to approve spot Bitcoin and Ethereum exchange-traded funds (ETFs) in February 2021, helping boost local investor interest in this asset class. Half of Canadian institutional investors hold crypto assets through Canadian ETFs, closed-end trusts, or other regulated products, while 58% hold them via stock markets—up from 36% in 2021.
