Industry Insights: Irish Investment Institutions Are Preparing for a Digital Asset Future

Ireland’s asset managers are leading the charge in digital asset adoption, with strong momentum toward tokenized private markets and digital cash. Drawing on State Street’s 2025 Digital Assets Study, Chris Rowland explores how Irish institutions are preparing for an onchain investment future.

Ireland’s digital momentum: A quiet revolution in asset management

Ireland’s reputation as a fintech hub is well established, but beneath the surface a quieter revolution is underway — one that is reshaping how institutional investors think about asset ownership, liquidity and infrastructure. Supported by a robust regulatory framework and a deep pool of financial and technology talent, Ireland’s emergence as a digital asset hub has been accelerated by recent initiatives from the Central Bank, Irish Funds, and other industry groups, positioning the country as a destination for innovation in tokenization and blockchain-based finance.

"Irish institutions are not simply adapting to change, they’re helping to shape the future of digital finance through innovation and collaboration."

Ireland’s institutional investors are part of a broader global shift, with more firms establishing dedicated digital asset teams and embedding digital operations into their transformation strategies. This momentum reflects a worldwide commitment to moving beyond experimentation and toward operational integration of digital assets.

From tokenized securities to digital cash, Irish investment institutions are already integrating digital assets into their core portfolios. While the pace of adoption varies across asset classes, the direction of travel is clearly toward a future where blockchain and distributed ledger technologies are embedded in the investment process.

This article draws on insights from the 2025 State Street Digital Assets Study, with a focus on 20 Irish respondents. The findings reveal leadership and lag, optimism and realism, and a shared belief that digital transformation is not only inevitable, but investable.

Digital asset allocation: Ireland leads in key areas

Irish asset managers and owners are ahead of the global curve in several digital asset categories:

• Bitcoin Exposure: 65 percent of Irish respondents hold more than 1 percent of AUM in Bitcoin, compared to 46 percent globally.

•  Tokenized Public Assets: 50 percent of Irish firms report more than 1 percent exposure, slightly above the global average of 47 percent.

However, gaps remain:

• Tokenized Private Markets: Only 35 percent of Irish respondents have more than 1 percent exposure, versus 49 percent globally.

•  Digital Cash (e.g., stablecoins): Just 30 percent of Irish portfolios exceed the 1 percent threshold, compared to 56 percent worldwide.

Encouragingly, Irish institutions expect to close these gaps rapidly:

• Tokenized Private Assets: 95 percent anticipate greater than 1 percent exposure within three years (vs. 84 percent globally).

• Digital Cash: 93 percent expect similar exposure levels (vs. 83 percent globally).

Preparedness and perception: A pragmatic optimism

Irish respondents are fairly bullish and broadly aligned with global peers in expecting blockchain and distributed-ledger technology to become a mainstream:

• 40 percent expect integration within five years (vs. 42 percent globally).

•  25 percent expect it within five to 10 years (vs. 26 percent globally).

When asked about a fully decentralised finance (DeFi) environment replacing hybrid models:

• 0 percent of Irish respondents expect this within five years (vs. 3 percent globally).

• 15 percent expect it within five to nine years (vs. 25 percent globally).

• Only 10 percent believe it will never happen (vs. 14 percent globally).

Outcomes over efficiency: Ireland’s value lens

Irish institutions are more likely to view digital assets as a driver of improved investment outcomes rather than just operational efficiency:

• 35 percent cite outcomes (revenue or performance) as the primary benefit (vs. 29 percent globally).

• 25 percent cite efficiency (vs. 36 percent globally).

• The remainder see both as equally important.

This signals a strategic mindset that views digital transformation as a lever for growth, not simply cost control. Transparency, speed and efficiency are the top benefits cited by institutional investors globally, with nearly half anticipating cost savings exceeding 40 percent as digital assets become mainstream. Irish institutions share this outlook, viewing digital transformation as a way to drive growth and unlock new opportunities.

Conclusion: Positioning for the onchain future

State Street is committed to supporting clients in Ireland and globally as they navigate the digital asset frontier. Through our digital asset platform, we offer services across custody, tokenisation, digital issuance and digital cash, including tokenised bank deposits and regulated stable coins, settlement, and digital transfer agency.

Irish institutions are part of a broader global shift, with more firms establishing dedicated digital asset teams and embedding digital operations into their transformation strategies. As trusted custodians and asset servicing providers, State Street and its partners are uniquely positioned to support institutional investors through the evolving digital asset landscape.

Globally, private equity and private fixed income are expected to be the first asset classes to undergo tokenization, with most institutions anticipating that 10-24 percent of investments will be executed through tokenized instruments by 2030. Irish respondents are ready to participate in this trend.

As blockchain, generative AI and quantum computing converge, Irish institutions are well-positioned to capitalize on the next wave of digital transformation, further strengthening their leadership in the digital asset space.

Key challenges remain, including regulatory clarity, cybersecurity and industry-wide education, areas where continued collaboration will be essential for Ireland to maintain its competitive edge.

As our research illustrates, Irish institutions are not only preparing for change, but they are also helping shape it. As Ireland continues to lead the digital asset shift, institutional investors have a unique opportunity to participate in — and benefit from — this transformation. State Street stands ready to support clients on their digital journey, providing expertise and solutions tailored to the evolving landscape.