Research from Opinium found just 5% of independent financial advisers (IFAs) believed cryptocurrency was an opportunity for their clients.
Two thirds, or 66%, said they felt negative about cryptocurrency as an investment.
Among advisers with a negative view, 42% said they did not trust cryptocurrencies and 34% did not think it was safe.
Security was also a concern, with 51% saying crypto was more at risk of fraud and scams, and 55% believing it was not regulated enough, leaving it open to crime.
The research also found that a lack of understanding may be behind some of the negative views, with a quarter (25%) of advisers with a negative view saying they did not understand crypto.
Alexa Nightingale, global head of financial services research at Opinium, said: “Many IFAs express scepticism about cryptocurrency as an investment opportunity due to concerns over its volatility, lack of regulatory clarity, and potential for fraud.
“In addition, the dramatic price swings and the speculative nature of many digital assets, can lead to significant losses – which is likely another reason advisers tend to have a more negative view.
“This cautious stance reflects a broader concern about protecting clients from the inherent risks associated with the rapidly evolving crypto market.”
Nightingale added: “However, given it is evolving, and seemingly here to stay, it’s essential that those advisers who don’t feel they have a good understanding get across it quickly so that they can give their clients the best possible advice.”
