Crypto ETF Inflows Pressure Regulators for Global Rules

London-based Nickel Digital Asset Management surveyed executives at pension funds, family offices, insurance asset managers, hedge funds and wealth managers across the US, UK, Germany, Switzerland, Singapore, Brazil and the United Arab Emirates. The firms represented manage more than $14 trillion in assets. The survey found 86% of respondents forecast strong ETF inflows into Bitcoin and Ethereum this year; 17% expect dramatic increases and 14% expect inflows to be unchanged. No respondents forecast a decline.

On regulatory impact, 46% of respondents indicated continued inflows will drive the creation of comprehensive regulatory frameworks worldwide. A further 54% slightly agreed that ETF adoption would lead to standardized definitions and classifications for digital assets.

Crypto exchange-traded funds collected about $47.2 billion last year despite volatility in cryptocurrency markets. Nickel Digital’s report notes ETFs allow investors to gain exposure to digital assets through regulated exchanges and can provide custody, pricing and compliance frameworks that differ from direct crypto holdings.

Anatoly Crachilov, CEO and founding partner at Nickel Digital, described crypto ETFs as “a key bridge between traditional finance and digital assets, offering institutions a familiar, regulated and liquid entry point into the market.” He added that growing ETF adoption is increasing pressure on regulators for clearer and more consistent rules and that standards embedded in ETF structures could influence regulatory approaches across jurisdictions.

Respondents came from a mix of institutional types and international markets, indicating demand for ETF exposure to Bitcoin and Ethereum across regions. The report notes varied national regulatory approaches may complicate policymaking as authorities consider investor protection, cross-border capital flows and market structure.