Crypto Craze Sweeps Hedge Funds As 55% Add Digital Assets To Portfolios
More than half of traditional hedge funds now hold cryptocurrency, according to the Seventh Annual Global crypto Hedge Fund Report by AIMA and PwC. The survey reveals 55% of funds have crypto exposure, up from 47% in 2024, signaling a shift in mainstream asset management.
Despite growing adoption, most managers remain cautious. Over half of exposed funds allocate less than 2% of their portfolios to digital assets, with an average exposure of 7%. However, 71% plan to increase their positions within the next year, driven by diversification (47%), alpha opportunities (27%), and asymmetric return potential (13%).
The trend gains credibility from the survey's scale—122 hedge fund managers controlling $980 billion in assets, showing a 17% year-over-year increase in crypto adoption. Derivatives remain the preferred vehicle, with 67% using them for indirect exposure compared to 58% in 2024.
