Financial institutions intensify digital assets investment

Major financial institutions are ramping up their focus on digital assets with heightened investment and staff training, according to a research.

The research by Global Digital Finance, the global members association and platform for open innovation in digital assets in financial services, which included finance firms across the US, Asia, Europe and the Middle East, found that about 79% are establishing teams dedicated to digital asset strategy.

The report indicated that internal reorganisation is taking place alongside increased investment in staff training and monitoring of digital asset developments. This dual approach highlights the sector’s growing importance and the need for specialised knowledge and strategies to navigate it, it added.

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Approximately 80% of surveyed firms believe they are allocating sufficient staff and investment to keep up with developments in the digital assets space, with 31% strongly agreeing. Furthermore, up to 83% of firms feel they have devoted enough resources to training and developing expertise in digital assets.

The research also revealed that financial institutions are heavily relying on industry support services for information on digital assets. About 80% of respondents turn to asset management and servicing firms as their primary source of information, surpassing the 57% who rely on crypto and digital asset research firms. Additionally, around half use market data providers, while 45% look to industry associations and 37% to accountancy firms for insights.

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Lawrence Wintermeyer, executive co-chair at GDF, commented: “Engagement with the digital assets sector among financial firms is intensifying with financial services firms increasingly building business units focused on the sector. This is highlighted by the increased investment in staff and training as firms look to build experience and expertise in the sector.”

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