Bitcoin enters a new chapter: "Trillions of Dollars influx from institutional investors" industry leaders speak at the conference

Table of Contents* 1. The world's largest "Bitcoin 2025" conference opens

• 1.1. Outlook on Institutional Investors' Entry into the Bitcoin Market
• 1.2. The Fusion of Bitcoin and DeFi
• 1.3. The Future of Bitcoin Financial Products

• 2. The entry of institutional investors has ushered the Bitcoin market into a new chapter.

• 2.1. Full-scale inflow of institutional money into the U.S. Bitcoin ETF
• 2.2. Pension funds and government-affiliated funds are also intensifying their investments.
• 2.3. Bitcoin price reaches an all-time high
• 2.4. Institutional investors' support rate for BTC investment is '51%'.

The World's Largest "Bitcoin 2025" Conference Opens

The world's largest Bitcoin conference "Bitcoin 2025" will be held in Las Vegas, Nevada, USA for three days from May 27, 2025.

On the first day of the event, a panel discussion was held with Kevin Kelly, founder and CEO of Kelly Intelligence, serving as the moderator. Industry leaders including Hunter Horsley, CEO of Bitwise, Mike Belshe, CEO of BitGo, and Justin Sun, founder of TRON (TRX) and advisor to WBTC, took the stage to discuss the future of Bitcoin (BTC).

Outlook for Institutional Investors' Entry into the Bitcoin Market

Mr. Horsley first mentioned the Bitcoin market in 2025, stating that "due to changes in the situation of regulatory authorities, we have entered a new chapter", indicating that the progress in the regulatory environment in the United States will serve as a tailwind for institutional investor participation.

Furthermore, Mr. Horsley stated that the total assets managed by wealth management companies in the United States reach between $30 trillion and $60 trillion, adding that "if they allocate a certain percentage of their clients' assets to the Bitcoin market, it would result in trillions of dollars flowing in."

He also mentioned the current trend of companies purchasing Bitcoin, stating, "This is a prominent theme this year. As of the first quarter, 79 publicly traded companies hold Bitcoin as corporate assets, with a total holding exceeding 600,000 BTC. Out of the maximum issuance of 21 million BTC, the scale of 600,000 BTC corresponds to about 2.9% of the total, which is an extremely large proportion," emphasizing the rapid progress of Bitcoin being used as a reserve asset by companies.

With the improvement of the regulatory environment and the expansion of corporate involvement, it is said that the number of companies adopting Bitcoin will further increase, and new purchases on the scale of hundreds of thousands of BTC will be made.

In response to Mr. Horsley’s assessment, there are voices within the industry saying that "the growth of the Bitcoin market, which is rapidly expanding with the entry of institutional investors as the regulatory framework develops, is expected to continue to see significant growth in the future."

There are indications that the perception of Bitcoin on Wall Street has been shifting from a "speculative bet" to a "strategic asset that should be incorporated into portfolios" among major U.S. institutions since the beginning of this year.

The fusion of Bitcoin and DeFi

Mr. Justin Sun mentioned the integration of Bitcoin and DeFi (Decentralized Finance).

Mr. Sun stated that "Bitcoin can be brought into smart contract platforms in its original form," explaining the significance of incorporating Bitcoin into DeFi through wrapped BTC and other means.

Specifically, it states that "it is possible to borrow stablecoins and other major tokens collateralized by Bitcoin, or earn yields with the Bitcoin held," emphasizing the advantages for Bitcoin holders to manage their assets in decentralized finance.

Mr. Sun further added, "All transactions can be verified on the blockchain, and the reserve address is also public. It is secure, highly transparent, and very smart," highlighting the reliability and utility of utilizing Bitcoin on-chain.

This also refers to the movement to tokenize and utilize Bitcoin on other chains such as Ethereum (WBTC, etc.), and he appealed that new value can be extracted by using Bitcoin from more diversified angles rather than limiting it to conventional holdings.

The Future of Bitcoin Financial Products

Mike Belshe of BitGo mentioned the topic of stablecoins as an example of financial products using Bitcoin, stating that "what is needed for a great stablecoin, whether it is USD or Bitcoin, is liquidity in markets around the world."

This view is that a sufficient market size and liquidity are essential for it to function widely as a stable currency, including Bitcoin-collateralized stablecoins (such as tokenized Bitcoin like WBTC).

Mr. Belshe emphasized that even when Bitcoin is backed by assets, a globally robust trading market is key to its reliability.

Mr. Sun also agrees that developments in the U.S. market will have a global ripple effect, saying, "If institutional adoption of Bitcoin in the U.S. progresses, it will lead to the promotion of adoption throughout the world."

Moderator Kevin Kelly concluded the panel discussion by summarizing, "The ongoing development of Bitcoin-related regulations and corporate entry in the U.S. will likely accelerate global Bitcoin adoption."

Institutional Investors Entering Marks a New Chapter for the Bitcoin Market

The environment surrounding Bitcoin and institutional investors has been steadily progressing since this conference.

Institutional money flows into US Bitcoin ETF in earnest

In 2025, the inflow of funds into Bitcoin spot ETFs (exchange-traded funds) in the United States became significant, with net inflows exceeding for five consecutive weeks until mid-May.

In the past week, the net inflow of Bitcoin into the U.S. ETF market reached approximately $630 million (about ¥87.5 billion), with a particularly notable new inflow of about $260.27 million (approximately ¥37.8 billion) on May 16 alone.

Among them, BlackRock's "iShares Bitcoin Trust (IBIT)" has raised approximately $129.7 million (about ¥18.8 billion) on the same day, and since its launch in January 2024, this fund alone has gathered about $57 billion (approximately ¥8.3 trillion), growing into the world's largest cryptocurrency fund.

The emergence of a Bitcoin spot ETF has significantly lowered the entry barrier for institutional investors, creating a situation where a large amount of institutional money flows indirectly into the Bitcoin market.

Pension funds and government-affiliated funds are also starting to invest in earnest.

The Wisconsin State Employee Retirement Fund has increased its holdings of IBIT to 6 million shares by the fourth quarter of 2024 (compared to the end of the previous year), and it has been revealed in SEC filings that hedge fund Tudor Investment Corp has also increased its ETF share count to approximately 8 million shares, nearly doubling from the previous period.

By the end of 2024, IBIT is expected to exceed an operating asset balance of $55 billion (approximately 7.9 trillion yen). For the first time, Mubadala Investment, a government fund from Abu Dhabi, has acquired over 8 million shares, indicating that a wide range of investors, including pension funds and government-related funds that have traditionally kept their distance from Bitcoin, are starting to invest in Bitcoin.

Bitcoin price hits a new all-time high

The inflow of funds from institutional investors contributed to the rise in Bitcoin prices, and on May 22, the price of Bitcoin recorded an all-time high in the range of $110,000.

In the background, there was a decrease in investment risks associated with the improvement of US-China relations, as well as an increase in demand for alternative assets due to the downgrade of US Treasury bonds. However, it is analyzed that the two tailwinds, namely "the entry of institutional investors" and "the favorable regulatory environment in the United States," have pushed the Bitcoin market to a new stage.

Institutional investors' support rate for BTC investment is "51%"

JPMorgan CEO Jamie Dimon, who has been a long-time skeptic of cryptocurrencies, has indicated a policy to allow his company's clients to purchase Bitcoin, and the major US cryptocurrency exchange Coinbase has been included in the stock market index S&P 500. These events signify the growing acceptance of Bitcoin in the traditional financial sector.

Furthermore, a survey found that 51% of institutional investors believe that "digital assets are worth investing in", indicating a significant positive shift in the perception of Bitcoin among institutional investors compared to a few years ago.

As the regulatory environment improves and market infrastructure expands, the likelihood of significant capital inflows from institutional investors managing large assets such as pension funds and insurance companies into the Bitcoin market is increasing.

As indicated by the statements of various experts and market data, Bitcoin has now become an undeniable presence for institutional investors, and it is expected that the Bitcoin market, which is entering a new chapter, will continue to attract significant amounts of capital in the future.

*The price is based on the exchange rate at the time of writing (1 dollar = 144.12 yen)

Latest cryptocurrency news here

Source: Conference "Bitcoin 2025"

Written and translated by: BITTIMES Editorial Department

Thumbnail: AI-generated image