According to the latest report posted by blockchain research company, Blockdata, it is revealed that more than 50% of the banks worldwide are getting involved in the cryptocurrency and blockchain side.
Blockchain Research company, Blockdata stated in its latest reports that 55 of the 100 world banks operating by assets under management have put in significant investments into cryptocurrencies and several blockchain techs operated companies by directly getting into contact or connecting using subsidiaries.
Top Bank Investments
Blockdata also showed a list of the topmost banks, ranked on the basis of their investment numbers in different blockchain-based companies and firms. Leading the list was the Barclays Bank from the UK, having invested in 19 blockchain operating companies. Second place was handed to American Bank Citigroup, which currently has investments in 9 different blockchain companies. Third place was achieved by the behemoth, Goldmann Sachs, having invested in 8 companies. Following the top 3 were Investment Bank JPMorgan with investments in 7 companies and BNP Paribas from the French side, with six companies investing in.
Banks and Crypto Custody
With respect to these rankings, Blockdata said that the investment choices that the crypto space and blockchain technology provide have definitely contributed to the attraction of many of the top 100 worldwide banks operating on a global scale. Blockdata also found out a very interesting thing that banks have been showing a lot of interest in crypto custody, with 23 from the top 100 banks, as per AUM have been progressing in the development of crypto custody projects, and some have also been in contact with other companies who specialize in providing such development services.
Blockdata mentioned that despite all of the very negative views about Bitcoin, the thing that is important is that the amount of potential revenue streams that Bitcoin can generate is severely underrated and that gaining a strong position in the crypto space can build up a ton of advantages.
Critical Factors of Considering Crypto
The main reasons why banks have started to consider getting into cryptocurrency and blockchain are that crypto exchanges have started to gain a lot of profit and importance, compared to standard banks, followed by an endless amount of demand for crypto-based solutions from clients and the changing regulations that allowed banks to enable crypto custody solutions.