CoinDesk Analysis: Institutional Investors Seek Crypto Assets Beyond Bitcoin and Ethereum to Manage Concentration Risk and Diversify Portfolios
CoinDesk analysis indicates that as the crypto market matures, institutional investors are looking beyond Bitcoin and Ethereum to manage concentration risk and capture broader market opportunities through multi-asset indices. Glenn Williams Jr., a crypto market analyst at ProShares, stated that market leadership can change over time, and over-concentration in the two largest assets may limit portfolio exposure. The CoinDesk 20 Index aims to provide more balanced and diversified exposure to crypto assets through a weighted methodology that caps the largest constituent at 30% and other constituents at 20%. A 2026 survey by EY-Parthenon and Coinbase revealed that 73% of institutional investors plan to increase their crypto allocations in 2026, and 74% expect crypto prices to rise in the next 12 months.
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