Bitcoin (BTC) has transitioned from being a niche investment to a mainstream asset, driven by increased institutional adoption, according to WisdomTree. Their report indicates that multi-asset portfolios containing bitcoin consistently surpass those without it, as demand for cryptocurrency exposure rises. WisdomTree anticipates ongoing growth in institutional adoption throughout 2025, influenced by favorable regulatory changes and the anticipated approval of exchange-traded products for altcoins like Solana (SOL) and XRP. Notably, the rise of spot ETFs in the U.S. has made crypto investments more accessible and appealing. The report emphasizes the importance for asset managers to incorporate digital assets into their portfolios to stay competitive. Furthermore, it highlights the Ethereum blockchain's integral role in decentralized finance (DeFi) and non-fungible tokens (NFTs), despite its scalability challenges. Upgrades to Ethereum may enhance the adoption of layer-2 solutions in the upcoming year. The report anticipates significant growth in the tokenization of real-world assets, drastically impacting industries ranging from private equity to venture capital.

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