As traditional finance warms to blockchain, a new report by Ripple highlights growing bank investments in digital assets.
From early-stage funding to quantum-secure tokenization, global banks are reshaping their role in the evolving financial landscape. The shift signals blockchain’s transition from experimental tech to strategic infrastructure.
Banks Are Going Beyond Pilots and Proofs
Between 2020 and 2024, global banks made 345 blockchain-related investments. A new Ripple report reveals how traditional finance is rapidly entering the digital asset space. These deals show that banks see long-term value in blockchain infrastructure and tokenization technologies.
Leading institutions like JP Morgan, Goldman Sachs, and SBI Group emerged as aggressive early-stage investors. Most of their deals focused on seed and Series A funding rounds. This reflects a willingness to back foundational projects aligned with long-term digital finance strategies.
In Brazil, CloudWalk secured over $750 million from Banco Itaú, BTG Pactual, and Banco Safra. The company uses blockchain to streamline domestic payments and has since expanded into the US CloudWalk’s funding represents one of the largest blockchain investments by traditional banks.
Germany-based Solaris raised more than $100 million in 2024 with participation from Japan’s SBI Group. The company has launched Germany’s first regulated digital asset trading venue and a security token platform. SBI later acquired a majority stake in Solaris to expand its European footprint.
Another major deal came from NYDIG’s $1 billion round in 2021, backed by Morgan Stanley and MassMutual. This funding helped expand NYDIG’s institutional bitcoin platform, although the project was phased out in 2024. Still, Morgan Stanley quickly pivoted by offering bitcoin ETFs via BlackRock and Fidelity.
Despite a downturn in 2022 and fallout from the FTX collapse, bank activity rebounded slightly in 2024. While the number of deals declined, total deal value increased year-over-year. This suggests a shift from experimental investments to more strategic, higher-stakes plays.
G-SIBs Show Cautious but Committed Participation
Global Systemically Important Banks (G-SIBs) participated in 106 blockchain deals during the same period. These included 14 mega-rounds and numerous partnerships with crypto firms. G-SIBs largely avoided full acquisitions, opting for agile collaboration models.
Key G-SIB-backed firms include Talos, Fnality, Partior, HQLAx, and TradeWaltz. These startups focus on institutional-grade trading, tokenization, wholesale payments, and supply chain digitization. Their platforms aim to address real-world pain points in global finance.
Fnality builds interbank payment rails using central bank-backed digital cash. Talos connects institutional traders with crypto exchanges and OTC desks. Partior enables real-time, cross-border settlements through a shared blockchain ledger.
Quantum-Safe Tokenization Marks the Next Frontier
HSBC stands out for its bold move into quantum-secure blockchain applications. In 2024, it piloted tokenized gold using post-quantum cryptography and quantum random number generation. These technologies aim to protect digital assets from future quantum computing threats.
HSBC launched the Gold Token for retail clients in Hong Kong in March 2024. The token provides fractional ownership of physical gold via a regulated blockchain platform. This marks a major step in bringing tokenized assets to everyday investors.
Such innovations reflect a growing belief that tokenization enhances liquidity, accessibility, and efficiency in financial markets. Fractional ownership models are expanding investment access across demographics. Institutions are positioning themselves to capitalize on this shift.
Top-tier banks are building proprietary digital asset systems like JP Morgan’s Kinexys and HSBC’s Orion. Meanwhile, regional banks are forming partnerships with fintechs or joining shared infrastructure projects. A 2022 survey showed 11% of U.S. community banks plan to offer crypto services.
As competition intensifies, more banks are likely to follow suit. Blockchain is no longer an experimental edge case. It is becoming a core element of modern financial infrastructure.
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