Surge of Interest in Cryptocurrency: Insights from the 2025 Bitwise/VettaFi Benchmark Survey
By Lawrence Jengar
January 10, 2025
Cryptocurrency has entered a new era, one characterized by increased acceptance and enthusiasm from financial advisors across the United States. The 2025 Bitwise/VettaFi Benchmark Survey serves as a powerful testament to this growing trend, revealing how the aftermath of the 2024 U.S. election has reshaped advisor perspectives on crypto investments. Here at Extreme Investor Network, we are committed to delivering you unparalleled insights into the evolving landscape of cryptocurrency, enabling you to make informed investment decisions.
A Crypto Awakening: Key Takeaways from the Survey
The survey, conducted from November 14 to December 20, 2024, reveals that over half (56%) of financial advisors have become more inclined to invest in cryptocurrency following the recent election outcomes. This pivotal moment in the crypto market is amplified by the burgeoning acceptance of the first spot Bitcoin (BTC) and Ethereum (ETH) ETFs in the U.S. The key findings of the survey include:
- Doubling Allocations: Cryptocurrency allocations have surged from 11% to 22% year-over-year, showing remarkable growth amidst rising interest.
- Client Curiosity: A staggering 96% of advisors reported receiving client inquiries about cryptocurrency, illustrating a robust demand for information and investment opportunities.
- Commitment to Crypto: Among those already allocating to cryptocurrencies, an impressive 99% intend to sustain or escalate their exposure in the coming year.
- Emerging Allocators: The percentage of advisors contemplating crypto allocations in 2025 has more than doubled from 8% to 19%, reflecting a broadening recognition of crypto’s viability.
- ETF Selection Factors: Expense ratios are the most critical factor when selecting Bitcoin ETFs, with 58% of advisors prioritizing this over the issuer’s brand (46%) and support (43%).
- Client Autonomy: A significant 71% of advisors noted that their clients are independently investing in crypto, creating an opportunity for advisors to weave these assets into comprehensive wealth management strategies.
Insights from Industry Experts
The survey’s findings have caught the attention of industry leaders. Matt Hougan, Chief Investment Officer at Bitwise, remarked, "If you had any doubt that 2024 was a massive inflection point for crypto, this year’s Bitwise/VettaFi survey dispels it." His observations highlight the surge in advisors recognizing cryptocurrency’s transformative potential, despite the fact that nearly two-thirds of advisors still lack direct access to crypto assets for their clients.
Todd Rosenbluth, the Head of Research for TMX VettaFi, shares a more optimistic view. He states, "The future is very bright as advisors and investors gain more access and education about the potential benefits." This sentiment embodies the exciting prospects ahead for crypto as advisors better understand its role in financial planning.
The Road Forward: Bridging Access and Education
At Extreme Investor Network, we believe that the results of this survey are only the beginning of a larger transformation in the financial landscape. As the demand for cryptocurrency grows among clients and the barriers to entry begin to lower, the critical next step for advisors will be to educate themselves and offer robust strategies that integrate cryptocurrencies into their clients’ portfolios.
Conclusion: Navigating the New Crypto Frontier
In summary, the Bitwise/VettaFi 2025 Benchmark Survey paints a promising picture of the crypto investment landscape as we head into a new era. With increasing allocations, strong client interest, and industry acknowledgment of the potential that exists, now is the opportune time for both investors and advisors to dive deep into the world of cryptocurrencies.
For further details on the survey and to explore additional insights surrounding cryptocurrencies and their merits, visit us at Extreme Investor Network. Your best decisions are only a read away.
For further reading and complete survey results, check out the Bitwise Investments resource here. Image source: Shutterstock