Majority Of Institutional Traders Avoid Crypto In 2025, JPMorgan Survey Reveals

According to Cointelegraph, a recent JPMorgan survey indicates that over 70% of institutional traders have no plans to engage in cryptocurrency trading this year. The survey, conducted in January, highlights a slight decrease in disinterest from 78% in 2024 to 71% in 2025. Despite this, 16% of respondents expressed intentions to trade crypto, and 13% reported they are already involved, marking an increase from the previous year. Interestingly, all participants in the annual trading poll expressed intentions to boost online or e-trading activities, particularly for less liquid assets. This trend emerges amid an evolving regulatory landscape for digital assets in the United States, following significant changes in financial agencies under U.S. President Donald Trump's administration. Eddie Wen, JPMorgan’s global head of digital markets, noted that recent developments have reduced barriers for traditional banking entities to enter the crypto space. The survey also revealed that inflation and tariffs are expected to have the most significant impact on markets in 2025, with geopolitical tensions following closely. Market volatility was identified as the primary trading challenge by 41% of respondents, up from 28% last year. Gergana Thiel, global co-head of Macro Sales at JPMorgan, commented on the survey results, noting the anticipated focus on tariffs and inflation as central market risks. The survey involved 4,200 JPMorgan clients from 60 global locations, conducted between January 9 and 23. Signals of U.S. government support for the crypto industry have been bolstered by the SEC's recent decision to scale back its crypto enforcement unit. Additionally, President Trump signed an executive order to establish a sovereign wealth fund, to be managed in part by pro-crypto officials Treasury Secretary Scott Bessent and Secretary of Commerce Howard Lutnick. Senator Cynthia Lummis suggested the fund might be used to purchase Bitcoin. In related developments, White House “crypto czar” David Sacks announced plans to bring stablecoins onshore, aiming to enhance the dollar’s international dominance and digital presence. These moves reflect a broader governmental shift towards embracing the crypto industry, potentially influencing future market dynamics.