How Crypto Investors Shift Focus to Infrastructure Today

• Crypto Investors Shift Focus to Infrastructure Amid Liquidity Concerns as capital moves away from hype-driven DeFi toward scalable, resilient blockchain systems.
• Investors are prioritizing infrastructure investment, seeing it as essential for enabling long-term growth and mainstream adoption.
• A recent survey at the CfC St. Moritz conference revealed a consensus among 242 industry leaders that infrastructure needs to be the top focus over decentralized finance (DeFi) and user experience.

The global digital asset market is entering a quieter, more deliberate phase. After years dominated by rapid experimentation, speculative enthusiasm, and consumer-facing decentralized finance products, the industry’s most influential participants are changing course. Crypto investors are no longer chasing every new DeFi trend or short-term yield opportunity. Instead, they are placing their attention—and capital—on the less glamorous but critically important foundations that keep markets functioning. This shift reflects a broader maturation of the crypto ecosystem. As the market grows larger and more interconnected with traditional finance, weaknesses that once seemed manageable are now seen as serious risks. Liquidity bottlenecks, limited settlement capacity, and fragile market plumbing have emerged as barriers to long-term growth. For many senior investors and executives, infrastructure has become the missing piece needed to unlock the next phase of adoption. A recent industry survey conducted during the CfC St. Moritz digital asset conference highlights just how widespread this thinking has become. Participants across institutional investing, regulation, and corporate leadership delivered a consistent message: the future of crypto depends less on hype and more on building resilient systems that can support scale, compliance, and trust.

A Survey That Signals a Strategic Turn

The CfC St. Moritz survey gathered insights from 242 respondents representing a cross-section of the digital asset world. The group included institutional investors, startup founders, C-suite executives, regulators, and family office managers—people who typically shape capital flows rather than follow trends. Across this diverse audience, the results were strikingly aligned. An overwhelming majority ranked infrastructure investment as their top priority, well ahead of decentralized finance, cybersecurity, regulatory compliance tools, or improvements in user experience. Roughly 85 percent of respondents said funding core systems should take precedence over other segments of the market. This consensus suggests the industry is reassessing its recent past. While DeFi and consumer applications drove innovation and attention in earlier cycles, many participants now see those areas as constrained by underlying technical and market limitations. Without stronger foundations, even the most creative applications struggle to attract large-scale capital. For crypto investors, this represents a shift from experimentation to consolidation. The emphasis is no longer on what can be built quickly, but on what can last.

Liquidity Constraints Take Center Stage

Liquidity emerged as the single most pressing concern among survey participants. Despite years of growth, many believe crypto markets still lack the depth needed to support sustained institutional participation. Large orders can move prices significantly, creating volatility that discourages conservative investors. Settlement capacity is another recurring issue. Current systems, respondents noted, are not always equipped to handle high transaction volumes efficiently. Delays, fragmentation across platforms, and inconsistent standards make it difficult for institutions to operate with confidence. These challenges help explain why some of the largest pools of capital remain cautious. Even as interest in digital assets grows, infrastructure shortcomings act as a bottleneck. For crypto investors managing significant portfolios, reliable execution and predictable settlement are non-negotiable. The survey paints a picture of a market that has demand but lacks sufficient structural support. Until these gaps are addressed, many believe adoption will continue at a slower pace than its potential allows.

Confidence in the Macro Environment, Caution in the Market

Interestingly, the survey reveals optimism about the broader economic environment for digital assets. Around 84 percent of respondents described global conditions as supportive of crypto growth. This includes rising institutional awareness, increasing regulatory clarity in key regions, and continued interest in blockchain-based solutions. Yet this optimism is tempered by realism. Participants widely agree that existing market infrastructure is not ready to absorb large inflows of capital. Scalability remains uneven, and operational risks persist. This contrast highlights a critical tension. On one hand, the opportunity for growth is clear. On the other, the tools needed to safely capture that growth are still under development. For crypto investors, bridging this gap is now the central challenge.

From Hype Cycles to Hard Engineering

Another notable finding from the survey is a shift in expectations around innovation. While most respondents still anticipate faster innovation by 2026, fewer predict dramatic leaps compared to previous years. This moderation reflects a changing mindset. Rather than expecting sudden breakthroughs or viral applications, industry leaders now foresee steady progress driven by engineering discipline and incremental improvement. The focus is on refining protocols, improving interoperability, and strengthening security frameworks. This evolution marks a departure from the hype-driven cycles that characterized earlier stages of the market. Investors appear more interested in measurable progress than bold promises. The industry, in turn, is responding with a renewed emphasis on execution.

Infrastructure as the New Battleground

Across the crypto landscape, investment patterns are already shifting to reflect these priorities. Companies are directing resources toward custody solutions that meet institutional standards, clearing and settlement systems that mirror traditional finance, and stablecoin frameworks designed for reliability rather than experimentation. Tokenization infrastructure is also gaining attention. By enabling real-world assets to be represented on blockchain networks, these systems require robust legal, technical, and operational foundations. Without them, tokenization remains a theoretical concept rather than a scalable product. For crypto investors, these back-end developments may lack the excitement of consumer apps, but they are increasingly seen as the true drivers of long-term value. Strong infrastructure creates optionality, allowing new applications to emerge without repeating past mistakes.

Regulation Shapes Investor Sentiment

Regulatory perceptions also play a significant role in shaping investment decisions. The survey notes a notable improvement in sentiment toward the United States as a jurisdiction for digital assets. Respondents ranked the U.S. as the second-most attractive market, trailing only the United Arab Emirates. This shift is attributed to clearer guidance around stablecoins and improved frameworks for banks engaging with digital assets. While regulatory uncertainty remains, incremental progress has reduced some of the ambiguity that previously deterred institutional participation. Clearer rules provide a foundation for infrastructure investment. When compliance requirements are better defined, companies can build systems with confidence that they will remain viable. This clarity is especially important for large investors who operate under strict regulatory obligations.

The UAE’s Growing Influence

The United Arab Emirates’ top ranking reflects its proactive approach to digital asset regulation and infrastructure development. By positioning itself as a hub for innovation while maintaining regulatory oversight, the UAE has attracted both startups and established players. Survey respondents highlighted the region’s willingness to engage with industry participants and adapt regulations as the market evolves. This flexibility, combined with clear expectations, creates an environment conducive to long-term investment. For global crypto investors, jurisdictional choices matter. Infrastructure built in supportive regulatory environments is more likely to scale and integrate with traditional financial systems.

Cooling Expectations for Public Listings

The survey also addresses expectations around crypto-related public listings. Following a record year in 2025, enthusiasm has cooled somewhat. While most respondents still anticipate additional listings, fewer express strong confidence. Lower valuations and tighter liquidity are cited as key factors behind this moderation. Public markets, like private ones, are increasingly focused on fundamentals rather than growth narratives alone. This cautious outlook reinforces the broader theme of the survey. The market is not retreating, but it is becoming more selective. Companies seeking public listings will need to demonstrate robust infrastructure, sustainable revenue models, and clear paths to profitability.

The latest insights from CfC St. Moritz underscore a pivotal moment for the digital asset industry. Crypto investors are signaling that the next chapter of growth will be built on solid foundations rather than speculative momentum. By prioritizing infrastructure, addressing liquidity constraints, and engaging constructively with regulators, the market is laying the groundwork for broader adoption and long-term stability. While innovation remains important, it is increasingly guided by practicality and resilience. As the industry continues to evolve, those who invest in the core systems today are positioning themselves to shape crypto’s future tomorrow.

Disclaimer: CryptopianNews shares this for learning and info only. It’s not meant to be financial or investment advice. Crypto markets change a lot and move quickly. Investing in them can be risky. You should always look into things yourself. Talk to a trained financial advisor before making any choices about investing.