Key Highlights:

• Fundraising aimed at advanced crypto investment strategies has not yet fully realized the expected boost from the Trump administration, as noted in a report by the Crypto Insight Group.
• The report states, “Net inflows continue, yet the pace lags early-year projections as allocators calibrate risk budgets.”
• Fund managers overall express a “largely constructive” sentiment towards the Trump administration, according to survey results.

Fundraising activities targeting sophisticated crypto investment vehicles are still absorbing the anticipated positive shifts promised by the Trump presidency, according to a new report by the Crypto Insight Group.

Momentum is described as “positive but slower than fund managers anticipated under the new Trump administration,” based on the Hedge Fund Outlook 2Q25 report.

The report indicates, “Net inflows continue, yet the pace lags early-year projections as allocators recalibrate risk budgets.”

The Trump administration’s seemingly pro-crypto stance sparked optimism within the digital asset sector due to the anticipated increase in regulatory clarity in the U.S. However, hopes for a defined regulatory framework by June “may have been a bit optimistic,” as noted by Laura Vidiella del Blanco, head of investor relations for digital assets at VanEck.

While new capital continues to flow into private funds, the early months of 2025 brought unexpected elements that influenced allocators’ urgency regarding deployment and the timeframe many fund managers expected to operate within.

Despite optimism regarding the benefits a pro-crypto administration in Washington, D.C. could yield, President Trump’s announcement of substantial tariff proposals has instigated volatility in financial markets, impacting crypto as severely as other asset classes.

In the days following the introduction of new tariffs earlier this month, Bitcoin plunged to a six-month low of approximately $76,000. This may indicate that while the Trump administration promotes certain aspects, it can also temper market performance.

According to Chris Solarz, chief investment officer of Amitis Capital, “Trump’s tariffs have already unleashed mayhem in global markets and destroyed trillions of dollars in value.”

Nevertheless, the overall sentiment among fund managers towards the Trump administration remains “overwhelmingly constructive,” with over half of the surveyed respondents expecting more favorable outcomes from policy decisions in the upcoming year, in contrast to fewer than 10% anticipating more negative developments.

Managers have hopes for positive surprises including clearer token classifications, stablecoin regulations, and appropriate pathways to spot market offerings. “Trump’s recent geopolitical moves support this optimism, as they highlight U.S. competitiveness in strategic technology, possibly acting as catalysts for institutional adoption rather than hindrances.”

Responses were divided on whether Trump’s geopolitical actions would affect institutional crypto adoption, with approximately 36% suggesting delays, 34% predicting acceleration, and 30% believing there would be no impact.