Forty-seven per cent of wealth managers and institutional investors already investing in digital assets have a stablecoin strategy, while 52% are developing one as interest in the sector surges, new findings from Brava Finance have shown.

Global research by the stablecoin management platform revealed that the vast majority of institutional investors and wealth mangers (95%) who are already investing in stablecoins say the asset class is generating a yield.

Brava Finance, whose platform helps users access stablecoin-based credit strategies through decentralized finance (DeFi), conducted its research with 200 wealth managers, institutional investors working for pension funds, insurance asset managers, family offices and hedge funds investing in digital assets.

Looking to the next three years, 89% of the study’s respondents believe the institutional use of stablecoins will increase, with 8% expecting a dramatic increase. Just over one in ten (11%) said the use of stablecoins would remain the same.

CEO and founder at Brava Finance, Graham Cooke, commented: “Stablecoins are already a trusted component of many professional investors’ portfolios, and our research shows the cryptocurrency will continue to take an even bigger role in investment strategies before the end of the decade.

“Stablecoins offer a unique combination of stability, liquidity and access to digital financial markets, and because they are pegged to fiat currencies like the US dollar, they can provide a safe zone during times of market turbulence.”

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