Based on assets under management, more than half of the 100 largest banks are reported to be investors in companies and projects based on significant cryptocurrency and blockchain technology. Global banking giants are reported to be increasingly involved in emerging cryptocurrency and blockchain companies by financing early and late stages of industry projects and businesses
According to research by Blockdata, a blockchain market intelligence organization 55 of the 100 largest banks in terms of assets under management (AUM) have some form of exposure to innovative technology. This involvement is reported to include direct and indirect investments by banks or through their subsidiaries in cryptographic and decentralized general ledger technology companies.
According to Blockdata’s research, Barclays, Citigroup and Goldman Sachs is one of the most active supporters of cryptocurrency and blockchain companies, and JPMorgan and BNP Paribas are also among the serial investors in the emerging area. These investments are part of a larger trend of significant support for blockchain startups, and KPMG reports that funding figures are already doubling the amount recorded in 2020.
Research shows that cryptocurrency is also one of the main focal points of banks entering the cryptocurrency. Indeed, according to AUM, nearly a quarter of the top 100 banks either develop cryptocurrency solutions or support startups that offer custody services for digital devices.
As previously reported by the Cointelegraph, several banks in the United States , Asia and Europe build cryptocurrency depository platforms as part of the pre-entry into cryptocurrencies
Blockdata attributed the growing cryptographic and blockchain involvement of banks to three main factors:
Back in May, Yan Zhao, president of NYDIG, said that cryptocurrency giants such as Coinbase their initial stay. This huge revenue potential exists despite the fact that these large cryptocurrencies employ significantly smaller teams.
With $ 58.09 billion worth of Coinbase at the time of writing, Goldman Sachs, the 13th largest bank in the world, is almost half, despite the fact that Coinbase employs only about 4 percent of the latter’s employees.
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