There are more crypto-friendly banks than previously believed, according to recent research.
Two-thirds of the 30 largest worldwide banks by assets under management (AUM) support crypto trading through regulated exchanges, according to a new CoinGecko study.
The research also stated that 74% of the top 50 institutions globally enable cryptocurrency trading by linking to authorized exchanges.
The fact that the top four banks that are not crypto-friendly are Chinese is not at all surprising. They manage over 20% of the total or $19.87 trillion assets.
The mainland still forbids trading and investing in cryptocurrencies, while Beijing promotes its programmable CBDC (central bank digital currency).
Hong Kong’s opening up and an invitation to major exchanges like Coinbase to establish themselves there suggest that China may be warming up to cryptocurrencies.
In addition, it has allegedly been stated that the subsidiaries of some of the biggest Chinese banking institutions have begun to either approach or offer their services to Hong Kong-based crypto companies.
According to the research, the top 50 banks worldwide controlled $89.37 trillion in assets in 2023. Nineteen of the top 50 banks by AUM belong to the United States and China, which dominate this list.
According to the survey, regulations, volatility, and the 2017 financial crisis are to blame for big banks’ delayed embrace of blockchain and cryptocurrencies.
Numerous British banks are listed in the report as being “crypto-friendly.” The allegation may not be entirely accurate, though, as numerous British banks, including two on that list, banned client transactions to cryptocurrency startups earlier this year.
To determine if a bank was crypto-friendly, the research examined whether it “offered crypto trading or on-ramping services within the bank’s native platforms” or “the ability to connect a bank’s current account to a regulated crypto exchange.”