Banks Adapt to Digital Assets, Regulation
Source: pymnts.com
Banking Transformation in 2025
Digital assets, including crypto and stablecoins, are becoming more mainstream, with institutions such as JPMorgan Chase providing clients access to Bitcoin ETFs. JPMorgan Chase CEO Jamie Dimon said, “We are going to allow you to buy it…We’re not going to custody it. We’re going to put it in statements for clients,” noting he still has reservations.
SoFi CEO Anthony Noto said, “We’re preparing to re-enter the cryptocurrency sector, from which we had to withdraw. Our goal is to allow our members to invest in cryptocurrencies once again … incorporating genuine crypto or blockchain capabilities across all our product areas.”
Regulatory and Economic Factors
Banks are adapting to a changing interest rate environment, with the Federal Reserve expected to cut rates. According to EY’s Global Banking Outlook, loan growth is expected to increase to 6% in 2025. However, return on equity may plateau. Deloitte projects U.S. GDP growth at 1.5% this year.
FinTech and Compliance
Nearly half of consumers use mobile banking apps weekly. JPMorgan’s Dimon said that investments in banks, branches, technology, and AI will continue regardless of the environment. FinTechs are focusing on execution using AI, embedded finance, and compliance automation. Splitit CEO Nandan Sheth said, “We’re headed into an age of regulatory relaxation, but it will be easier for new FinTechs to come to market.”
Industry Outlook
Eighty percent of bankers surveyed by Cornerstone Advisors are optimistic about 2025. The second half of 2025 may bring volatility but also opportunities for leaders. Change is certain, and the fastest banks will shape the future.