A new report has found that a majority of Binance’s institutional clients are optimistic about crypto, despite market woes. The study was conducted by the exchange’s research arm and its VIP & Institutional team. There were a total of 208 respondents, all of whom are clients of the exchange.
As per the report, 52% of respondents have crypto assets under management of less than $25 million. Meanwhile, 22.6% of respondents have assets over $100 million.
The report found that 63.5% of institutional clients are optimistic about crypto over the next year. 31.7% are neutral, while 4.8% are pessimistic. Moreover, a whopping 88% of the clients are optimistic about crypto over the next decade, with only 2.4% being pessimistic over the same time frame.
Binance’ institutional clients are Hodling
The study also revealed that respondents held on to their crypto allocations despite adverse market developments over the previous year. Over the past year, 47% of institutional investors held their cryptocurrency allocations. Meanwhile, over a third increased their allocation. Only 4.3% of respondents claimed they would cut their allocation to cryptocurrencies in the upcoming 12 months.
Infrastructure ranked first among the investment interests of investors, with 54% saying so. With 48% and 44%, respectively, layer 1 and layer 2 projects come in close second.
Following the collapse of FTX last year, Web3 infrastructure has been a favorite among many investors. The term “infrastructure” is used broadly and can refer to anything from on-chain wallets to inter-blockchain portals.
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The poll found that the NFTs, metaverse, and gaming industries were the least significant to institutional investors. During the bull market of 2021, the popularity of NFTs and metaverse projects soared. Since then, the enthusiasm has diminished as a result of a persistently bad market that has resulted in decreasing NFT trading volume and stalled metaverse growth.
Despite the regulatory onslaught on Binance and Coinbase, institutional customers appeared positive in Binance’s study.
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