Traditional finance is rapidly converging with digital assets, as new data from Bitwise Asset Management reveals that major global banks and financial institutions are expanding their presence in crypto through trading, custody, and tokenization initiatives.
According to Bitwise’s October 27 report, leading names such as Bank of America, JPMorgan Chase, BlackRock, Fidelity, Goldman Sachs, and Deutsche Bank are now engaged across multiple segments of the crypto market, from private funds and crypto exchange-traded products (ETPs) to on-chain payments and tokenized assets.
Banks are buying in. pic.twitter.com/6jUrLQxMkW
— Bitwise (@BitwiseInvest) October 27, 2025
The data highlights how institutional adoption has entered a new phase. Banks are no longer experimenting; they are actively building crypto infrastructure. Firms like BNY Mellon and State Street are offering institutional-grade custody, while Mastercard and Visa are enabling crypto payment rails and tokenized settlement experiments for cross-border transfers.
Analysts note that this expansion coincides with rising regulatory clarity and growing client demand for digital exposure. The surge of spot Bitcoin and Ethereum ETFs, along with ongoing tokenization pilots from Citi and HSBC, demonstrates how traditional finance is preparing for a hybrid model where blockchain and legacy systems coexist.
Bitwise’s findings reinforce the broader institutional trend observed throughout 2025, that the world’s largest financial entities are positioning themselves early in what could become the next trillion-dollar frontier of asset management. As banks scale their blockchain operations, the line between traditional finance and crypto continues to fade, signaling that full integration is no longer a question of if, but when.