TLDR
- Banks invested over $100 billion in blockchain infrastructure between 2020-2024, participating in 345 blockchain deals globally
- Citigroup and Goldman Sachs led with 18 deals each, followed by JP Morgan and Mitsubishi UFJ with 15 investments
- 90% of surveyed finance leaders expect blockchain and digital assets to have major impact on finance by 2028
- Payment infrastructure and crypto custody were the top investment priorities for traditional banks
- Real-world asset tokenization could reach $18 trillion by 2033 according to industry projections
Traditional banks have invested more than $100 billion in blockchain technology between 2020 and 2024. A new report by Ripple, CB Insights, and the UK Centre for Blockchain Technologies analyzed over 10,000 blockchain deals during this period.
The research surveyed more than 1,800 global finance leaders. It found that major banks are increasing investments in custody, tokenization, and payment infrastructure despite ongoing regulatory uncertainty.
Traditional financial institutions participated in 345 blockchain deals globally from 2020 through 2024. Payment-related infrastructure attracted the largest share of investments, followed by crypto custody and tokenization services.
Leading Banks Drive Investment Activity
Citigroup and Goldman Sachs emerged as the most active players with 18 deals each. JP Morgan and Mitsubishi UFJ followed closely with 15 investments each during the four-year period.
Global Systemically Important Banks accounted for 106 deals total. This group contributed to 14 mega-rounds valued at over $100 million each.
Banks focused heavily on mega-rounds worth $100 million or more. They contributed to 33 such funding rounds, targeting firms in trading infrastructure, tokenization, and custody solutions.
CloudWalk in Brazil raised over $750 million across two rounds with backing from Banco Itaú. Solaris in Germany secured over $100 million from SBI Group before becoming a majority acquisition target.
US and Japanese institutions led in deal volume during this period. Singapore, France, and the UK banks also remained active in blockchain investments.
More than 90% of finance executives surveyed believe blockchain will have major impact on finance by 2028. Among bank respondents, 65% said they are actively exploring digital asset custody services.
Focus Shifts to Infrastructure Over Consumer Products
More than half of banks cited stablecoins and tokenized real-world assets as top priorities. Less than 20% of banks reported offering crypto trading or retail wallet services to consumers.
The report describes the shift as more infrastructural than speculative in nature. Institutions are investing in blockchain to modernize cross-border payments and streamline balance sheet management.
Banks want to reduce reliance on legacy payment systems. Roughly 25% of investments focused on infrastructure providers powering blockchain settlement and asset issuance.
Examples include HSBC’s tokenized gold platform and Goldman Sachs’ blockchain settlement tool GS DAP. SBI has been working on quantum-resistant digital currency development.
More than two-thirds of surveyed banks expect to launch digital asset initiatives within three years. These efforts may range from piloting tokenized bonds to building settlement layers for central bank digital currencies.
Stablecoin volumes reached $650-700 billion per month in Q1 2025 according to Citi research. More banks are launching their own stablecoins to offer programmable money without volatility exposure.
Boston Consulting Group and Ripple estimate tokenized real-world assets could exceed $18 trillion by 2033. This represents a compound annual growth rate of 53% for the tokenization market.
