Banks Plan for Blockchain Technology with 67% Increase in Budgets
As a whole, the global financial services industry managed to surpass $1 billion in their spending for blockchain advancement in 2017 as a whole. However, in the current year, individual banks have managed to increase that amount by another 67% to continue with the technology.
Greenwich Associates performed research on this industry, finding that 10% of the banking institutions in their survey said that their own spending exceeded or reached $10 million last year. Of all of the institutions, 14% of them have already established their blockchain solutions. Over 75% of the projects presently acting as proof-of-concepts will be moving to live production within the next 24 months.
Richard Johnson, who wrote the report from Greenwich Associates as the VP, reported that over half of the executive associates integrating the technology was more difficult than anticipated. His study covered 200 different institutions from around the globe, which have all had some role in their own blockchain development with their establishment. Additional staff have been required to keep up with the technology, which has doubled in the last year. The report noted that one of the top-tier banks in the survey is now dedicating 18 members of their company to exclusively work on the development of blockchain.
This report is indicative of the continued gravitation towards blockchain investments and shows how the banking industry is keeping up. When the previous report was created in the beginning of 2016, it had predicted the rise of the blockchain technology in the industry could reach $1 billion, which it has.