Challenger banks vs. crypto institutions: The battle for the future of finance
Will DeFi and crypto overthrow traditional banks, or is there a middle ground? Over the years, the financial industry has undergone significant transformation as challenger banks and crypto institutions have emerged to challenge the traditional banking system (TradFi). According to data acquired by Finbold, downloads for selected six European mobile-only bank apps peaked at 26.3 million in 2022 for Android and iOS operating systems, representing year-over-year (YoY) growth of 54.09% from 2021’s figure of 17.06 million. Number of European Mobile-only Bank App Downloads in 2022 Source: Finbold Similarly, the global crypto currency market cap has grown significantly over the past year, reaching a total market value of over $2.5 trillion in early 2022. As digital Banking and crypto adoption gain more traction, the competition to shape the future of Finance is intensifying. Thus, which will come out on top? Challenger Banks Challenger banks represent financial institutions that ‘challeng...