55% of the world’s top 100 banks reportedly have crypto and blockchain exposure
The global banking giants are increasing their involvement in crypto and blockchain firms by way of early and late-stage funding for projects and businesses in the industry.
As per the research by Blockdata, a blockchain market intelligence outfit, 55 out of the top 100 banks by assets under management (AUM) have some form of exposure to the novel technology.
The research places Barclays, Citigroup, and Goldman Sachs among the most active backers of crypto and blockchain firms, with JPMorgan and BNP Paribas also identified as serial investors in the emerging space.
According to a KPMG report, these investments are part of a larger trend of significant backing for blockchain startups, with funding figures already doubling the amount recorded in 2020.
The research also shows crypto custody as a major focus point for banks delving into the crypto space. Indeed, almost a quarter of the top 100 banks by AUM are either developing crypto custody solutions or are backing startups that offer custodial services for digital assets.
Several banks in the United States, Asia, and Europe are already building crypto custody platforms as part of their involvement in cryptocurrencies.
Back in May, NYDIG president Yan Zhao stated that the massive revenues of crypto trading giants such as Coinbase were making banks reexamine their initial reticence toward cryptocurrency involvement. This massive revenue potential is achieved despite these major crypto companies having smaller teams.