TradFi Advisors Prefer Stablecoins and Tokenization to Bitcoin

This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are highly volatile. Always do your own research before making any investment decisions.

Bitwise reports a big change among traditional finance advisors. Stablecoins and tokenization now take priority over Bitcoin, marking a sharp shift after discussions with over 40 industry professionals this week. Appetite for digital assets remains strong, even during recent economic downturns attributed to rising interest rates and inflation. Worldwide, financial advisors now manage more than $175 trillion. They increasingly use stablecoins and tokenized assets as main paths into crypto markets. Despite the tough climate, interest in digital assets stays robust.

Fringe experiments no longer define stablecoins, reports Thecurrencyanalytics. Now, stablecoins are vital for liquidity and smoother operations in global markets. Bitwise surveys show financial advisors favor stablecoins for direct links to payment networks and their steady prices. Compared to Bitcoin, stablecoins have far less volatility, which matters a lot.

Tokenization of real-world assets: the next frontier

Many predict Bitcoin alone will not drive the next asset bull run, states Bitwise research. Instead, programmable blockchains like Ethereum and Solana power seamless tokenization for regulated products and fast transactions.

Bitcoin’s evolving role for institutions

Volatility now takes center stage in how advisors view Bitcoin’s role in markets. While long-term growth remains possible, volatility remains a barrier to bigger institutional adoption. Fresh data shows that in June 2026, Bitcoin trading near $60,000 mainly attracts risk-seeking investors.

According to analysts at Thecurrencyanalytics, Bitcoin still acts as a hedge against monetary and systemic risks. Most portfolios managed by TradFi professionals balance Bitcoin with stablecoins and tokenized real-world assets. For those seeking large returns, Bitcoin keeps its draw. Still, real-world tokenization and stablecoins bring predictable income and fast settlements for advisor clients.

Institutional appetite keeps strong despite macro headwinds

Meetings with over 40 experts led Matt Hougan, Bitwise’s Chief Investment Officer, to share his outlook.

Risks, compliance, and integration challenges for TradFi

Thecurrencyanalytics notes persistent regulatory uncertainty slows tokenized asset adoption for some.

Outlook: What signals the next shift for institutions?

Less focus on speculation and more on strong infrastructure now drives markets. Advisors expect capital to flow toward payment networks and tokenized real-world assets. The big moves will involve payment and settlement tech rather than headline-grabbing coins. How quickly things change depends on advances in lock-tight custody and modern compliance tools. Multi-asset exposure will keep growing, as advisors expand options beyond just Bitcoin. For more macro factors, see details with this article about Bitcoin, Gold, and US Inflation.