The UK Centre for Blockchain Technologies (UK CBT), in partnership with Ripple and CB Insights, has released a new report titled ‘Banking on Digital Assets: How Traditional Finance is Investing in Blockchain.’ The report provides a comprehensive look at how banks worldwide are engaging with blockchain technology and digital assets.

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The research covers investment trends between 2020 and 2024, revealing that banks participated in 345 investments in blockchain companies during that period. These investments span areas such as tokenisation, custody services, digital payments, and institutional infrastructure. The report also highlights the growing role of stablecoins and forecasts tokenised assets to exceed $18 trillion in value by 2033.

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One key takeaway is the increasing involvement of Global Systemically Important Banks (G-SIBs) in blockchain innovation. Institutions like HSBC, JP Morgan Chase, and Goldman Sachs are backing blockchain firms and launching their own solutions. HSBC’s recent deployment of quantum-secure technology for tokenised gold is one such example.

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Dr. Francesco Pierangeli, Director of the MSc in FinTech at the University of Birmingham and Deputy Director of UK CBT, noted:

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“Tokenisation is no longer a fringe concept. Institutions are beginning to roll out secure, scalable blockchain solutions for both institutional and retail clients. This report shows blockchain's shift from experiment to infrastructure.”

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As regulation evolves and standards like the Digital Token Identifier (DTI) gain traction, the report affirms that blockchain is becoming a core component of the financial system, not just a future possibility, but a present reality.

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Download the full report here.

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