Banks’ Blockchain Budgets Spiked 67% in 2017, Survey Finds

June 13, 2018
73 Views

The global financial services industry spent a combined $1.7 billion on blockchain development in 2017, with institutions having increased their individual budgets for the technology by 67 percent in the same year.

According to research published by U.S.-based market intelligence firm Greenwich Associates on Tuesday, amid the general increase, 10 percent of the surveyed banking institutions reported that they had grown their budgets for areas such as blockchain research and product development to $10 million or more in 2017.

Furthermore, the report said 14 percent claimed they had already deployed a blockchain solution. Meanwhile, Greenwich Associates found that the shift from proof-of-concepts to live production is expected within the next two years in over 75 percent of the projects.

However, Richard Johnson, author of the report and vice president of the firm’s market structure practice, said that over 50 percent of the executives interviewed said that implementing the technology “was harder than they expected.”

The study, which earlier this year interviewed around 200 global institutions that have participated in blockchain development, said the number of staff dedicated to blockchain also doubled during the same period. Citing its interview results, the firm said that, in general, a top-tier bank now has around 18 full-time employees focusing on blockchain development.

The report signals the growing investments being made by financial institutions on blockchain technology over the past two years. In a survey published in early 2016, the firm estimated that total spending by financial and technology firms on blockchain in 2016 could reach $1 billion.

Calculator image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

https://www.coindesk.com/banks-blockchain-budgets-spiked-67-in-2017-survey-finds/

You may be interested

Israeli Court Rules Bitcoin Is an Asset in Feud Over Tax Payment
Crypto News
23 views
Crypto News
23 views

Israeli Court Rules Bitcoin Is an Asset in Feud Over Tax Payment

btcethereumadmin - May 22, 2019

An Israeli court has ruled that bitcoin is an asset and not a currency, and thus subject to capital gains…

Russia’s Central Depository to Launch Security Token Blockchain Next Month
Crypto News
26 views
Crypto News
26 views

Russia’s Central Depository to Launch Security Token Blockchain Next Month

btcethereumadmin - May 22, 2019

Russia’s National Settlement Depository (NSD) plans to launch its long-awaited digital asset ledger next month – 5,000 kilometers away from…

Crypto Lending Startup BlockFi Slashing Interest Rates on Ether Deposits
Bitcoin
34 views
Bitcoin
34 views

Crypto Lending Startup BlockFi Slashing Interest Rates on Ether Deposits

btcethereumadmin - May 22, 2019

Cryptocurrency lending startup BlockFi is almost halving the interest rates it offers on ether (ETH) deposits, while some bitcoin (BTC)…

Leave a Comment

Your email address will not be published.