Institutional investors ready to buy crypto -etps’ in a matter of weeks when UK FCA inheritance shut up: wisdomtree

Institutional investors in the UK who manage money, on behalf of retail customers, prepare the trigger on crypto-exchange-related products, according to Activamanager Wisdomtree.

Speaking at Digiassets 2025, said Dovile Silenskyte, director of Wisdomtree of Digital Assets Research, that she had been in contact with “a large number of institutional investors who are doing a lot of work to get ready to invest in Crypto.”

Silenskyte added that British companies see the “Light at the end of the tunnel” with the regulator of the country, the Financial Conduct Authority, who investigates whether retail investors should have access to crypto ETPs. “If it allows that, institutional investors who manage money on behalf of the retail trade will move within a few weeks,” she said.

Wisdomtree received approval from the FCA last month to mention its physical bitcoin and physical Ethereum ETPs on the London Stock Exchange for professional investors. That marked a litter of the regulator, who had previously banned crypto-derivative products.

The discussions of the company with institutional investors have focused on BitcoinThe volatility, Silenskyte said. She noticed: “It was the best performing acquisition for the last eight out of 11 years, and the worst performing property in the last three of the 11 years, but it was not correlated with traditional assets.”

With correlations around or less than 20%, she added: “As soon as you add such a volatile but non-correlated assets to a multi-asset portfolio, and if you make a wise allocation and remain in balance, the portfolio will improve its risk/return statistics and start to recognize that.”

Altcoin ETFs

Although Wisdomtree had applied for an XRP ETF at the end of last year, Silenskyte predicted that about 80% of investors would concentrate on Bitcoin products, 10% on Ethereum products with the remaining 10% consisting of Altcoin products.

“For most investors, Bitcoin is what they will assign; Bitcoin is what they will have in their Multi -Activa portfolios,” she said.

Those investors without earlier Bitcoin exposure or in-depth knowledge of the crypto sector would probably focus on investing products that combine a basket with digital assets, she added. “Most investors don’t have a person like me in their house,” she said.

“They don’t have someone who is 100% dedicated to look at individual coins and know the value of each,” she explained. “For most of them, selecting an individual token is to use a lot of money an impossible task. It would guess: is it solana, is it XRP, is it Dogecoin? So for most of them it is going for the crypto basket they will do.”

Published by Stacy Elliott.