55% of Hedge Funds Now Hold Crypto, AIMA Survey Finds

The Alternative Investment Management Association’s (AIMA) comprehensive survey reveals a watershed moment for institutional cryptocurrency adoption, with 55% of traditional hedge funds now holding digital assets as of 2025. This represents a significant 8% increase from the 47% reported in the 2024 survey, demonstrating accelerating institutional interest despite the cryptocurrency market’s well-documented volatility. The survey, which drew participation from 122 hedge fund managers representing $982 billion in assets under management, provides compelling evidence of a structural shift in how traditional finance views digital assets.

The growing institutional embrace of cryptocurrency marks a departure from the skepticism that characterized traditional finance’s approach to digital assets in previous years. The survey data indicates that hedge funds are increasingly viewing cryptocurrencies like BTC and ETH as legitimate portfolio components rather than speculative curiosities. This institutional validation represents a crucial maturation point for the cryptocurrency ecosystem, suggesting that digital assets are becoming integrated into mainstream investment strategies rather than remaining on the periphery of portfolio construction.

While the survey shows that funds allocate an average of 7% of their portfolios to crypto-related assets, the distribution reveals a cautious approach to initial positioning. Most hedge funds maintain relatively low exposure, with the majority investing under 2% in cryptocurrency. This conservative allocation strategy suggests that institutions are dipping their toes into digital assets rather than making substantial bets, reflecting a measured approach to an asset class that remains relatively new to traditional portfolio managers.

The 7% average allocation figure, while modest in absolute terms, represents significant capital given the scale of the participating funds’ $982 billion in combined assets under management. This allocation pattern indicates that hedge funds are treating cryptocurrency exposure as a strategic diversifier rather than a core portfolio component. The concentration of most funds below the 2% threshold suggests that institutional adoption is proceeding through careful, incremental steps rather than aggressive positioning, reflecting both the perceived opportunities and risks associated with digital assets.

The most telling indicator of institutional sentiment comes from forward-looking intentions, with an overwhelming 71% of surveyed hedge funds planning to increase their cryptocurrency exposure over the next year. This planned expansion suggests that current allocations represent initial positions that managers intend to build upon as they become more comfortable with the asset class. The survey specifically notes that clearer United States regulatory frameworks are boosting institutional confidence, indicating that regulatory clarity is a key driver of increased cryptocurrency adoption.

The planned increase in exposure across such a significant majority of funds suggests that the current 55% adoption rate represents merely the beginning of a broader institutional trend. The connection between US regulatory developments and institutional confidence highlights how regulatory uncertainty has been a primary barrier to institutional cryptocurrency adoption. As regulatory frameworks become more defined, traditional financial institutions appear increasingly willing to allocate capital to digital assets, viewing them through the lens of established investment frameworks rather than as purely speculative instruments.

The combination of current adoption rates and future intentions paints a picture of sustained institutional interest in cryptocurrency that transcends short-term market volatility. The data suggests that hedge funds are developing longer-term strategies for digital asset inclusion rather than making tactical bets based on price movements. This institutional commitment to increasing exposure, even as many maintain conservative current allocations, indicates a belief in the enduring value proposition of cryptocurrencies within diversified investment portfolios.