tl;dr
A report by Ripple, CB Insights, and the UK Centre for Blockchain Technologies reveals that major banks like Citigroup, JPMorgan Chase, and Goldman Sachs are actively investing in blockchain technology, with 345 investments made globally between 2020 and 2024. These investments focus on early-stage ...
A new report by Ripple, CB Insights, and the UK Centre for Blockchain Technologies reveals that Citigroup, JPMorgan Chase, and Goldman Sachs are among the leading traditional financial institutions actively investing in blockchain technology. The study analyzed over 1,800 banks between 2020 and 2024, showing a significant shift in how legacy financial firms approach digital assets.
Between 2020 and 2024, global banks engaged in 345 blockchain investments, including 33 mega-rounds. Global systemically important banks (G-SIBs) made 106 investments, featuring 14 deals exceeding $100 million. Citigroup and Goldman Sachs topped the list with 18 deals each, followed by JPMorgan Chase and Mitsubishi UFJ Financial Group at 15 each. Most investments targeted early-stage firms in seed and Series A rounds, signaling banks’ focus on nurturing emerging companies aligned with their strategic goals. Key funding areas included institutional trading, tokenization infrastructure, payments, and digital asset custody.
JPMorgan Chase gained attention for initiatives like the Kinexys platform and conducting its first public blockchain transaction for tokenized U.S. Treasuries, collaborating with Chainlink and Ondo Finance. Goldman Sachs and Citigroup built multiple blockchain partnerships to explore tokenized assets and capital market reforms. Notable projects highlighted include Partior, a cross-border payment platform backed by JPMorgan and Standard Chartered, and HQLAx, a securities finance solution invested in by several G-SIBs.
The report emphasizes that most major banks prefer investing in or partnering with blockchain companies rather than acquiring them outright. After a slowdown in 2022 and 2023 due to factors like the FTX collapse, investment activities rebounded in 2024 amid clearer regulations in key markets such as the U.S., EU, UAE, and Singapore. The future outlook points to scaling blockchain solutions beyond pilot phases.
Industry forecasts predict tokenized real-world assets could exceed $18 trillion by 2033. While Tier-1 banks lead the charge, smaller regional banks are entering the blockchain space through fintech partnerships and platform participation. According to a 2022 U.S. survey, 11% of community banks planned to offer crypto-asset services, indicating growing adoption at multiple levels of traditional finance.