A recent survey reveals a significant capital allocation shift within the crypto industry. The majority of investors now prioritize infrastructure over decentralized finance, citing liquidity and market depth as primary concerns. The United States is now viewed as the second-most favorable regulatory environment for digital assets globally, following new stablecoin legislation.
A recent survey targeting top crypto investors and executives highlights a major shift in capital allocation priorities. The survey, conducted by CfC St. Moritz, found 85% of respondents now prefer infrastructure investments to decentralized finance projects.
This shift is driven by fears of capital flight and a lack of market depth. The findings underscore the industry’s urgent need for robust infrastructure capable of handling widespread usage.
Running out of liquidity was identified as the industry’s biggest threat. Respondents simultaneously pointed out the need for improved market infrastructure.
The concentration on infrastructure matches broader trends, including increased attention on custody and tokenization frameworks. The survey interviewed 242 people, including institutional investors, founders, and regulators.
Nearly 84% believed macroeconomics is favorable for crypto overall. However, they stated the current infrastructure does not allow for large-scale institutional capital to enter the market.
The survey also noted a remarkable change in perception of the U.S. regulatory environment. Respondents now consider it the second most favorable for digital assets, behind only the United Arab Emirates.
This shift is attributed to the passage of stablecoin legislation and clearer rules for regulated participants. With the industry progressing, stakeholders are prioritizing the creation of sound infrastructure to enable mass adoption.
