The landscape of institutional investment in digital assets is evolving rapidly, with a significant number of institutions now considering options beyond Bitcoin and Ethereum. A recent survey conducted by Coinbase and EY-Parthenon indicates that a notable 25% of institutional investors have plans to include XRP in their portfolios by 2026. This suggests a clear movement towards a more diverse range of cryptocurrencies, as the share of firms holding altcoins has climbed from 51% to 56%.
This survey, conducted in January 2026, involved 351 decision-makers from various global institutions, predominantly from firms managing over $1 billion in assets under management (AUM). The demographic consisted of 60% from the United States, 20% from Europe (including the UK), and the remaining 20% from other regions, covering a spectrum of institutions including asset managers, hedge funds, and family offices. Among these respondents, 73% are looking to increase their digital asset investments in 2026, with 74% optimistic about rising crypto prices in the coming year.
Rising Interest in XRP
While Bitcoin and Ethereum retain their stronghold on institutional investments, the trend towards diversification is evident. Currently, Bitcoin is part of 94% of institutional crypto portfolios, and for 2026 plans, Ethereum’s presence rises from 86% to 90%. Other notable coins making headway include Solana, which is projected to increase from 36% to 38%, and Chainlink, which is expected to go from 20% to 26%. Notably, XRP is anticipated to jump from 18% to 25%, indicating its growing appeal among institutional investors.
The significance of the XRP projection is amplified by the overall growth in institutional interest in digital assets. For firms currently invested, the percentage allocating more than 5% of their AUM to digital assets is predicted to rise from 18% to 29% by 2026. The allocation categories show an increase in the 6%–10% range from 11% to 19%, and the 11%–20% range growing from 3% to 7%. Furthermore, a substantial 66% of these investors are channeling their investments through regulated vehicles like spot ETFs, up from 76% to 79% in just a year.
These trends in asset diversification and construction reflect a broader shift in institutional investment strategy. Among those looking to expand their holdings, a notable 65% attribute their decisions to improved regulatory clarity, while 51% highlight the increased accessibility of regulated investment vehicles. Additionally, 46% point to advancements in institutional-grade infrastructure as a factor driving their decisions.
Interestingly, smaller firms, particularly those with AUM between $1 billion and $50 billion, exhibit the most aggressive expansion plans, with 77% intending to increase their holdings significantly. In contrast, 69% of larger firms in the $51 billion to $500 billion range and 64% in the $501 billion to $1 trillion range plan to pursue a more measured approach.
Despite this surge in interest, institutions are not relaxing their investment criteria. The survey revealed that 49% of respondents indicated that recent market volatility has intensified their focus on risk management and liquidity. Meanwhile, 22% admitted that volatility has prompted them to slow their investment strategies or adopt a cautious stance. Regulatory clarity remains a pressing concern, with 78% highlighting the need for clearer market structures and 66% citing regulatory uncertainty as a major barrier to investing in digital assets.
As of the latest reports, XRP is trading at $1.37, reflecting its potential for future growth among institutional portfolios.
