The Good Tech Companies - How Institutions Are Bridging Crypto and Traditional Banking

Episode Date: May 30, 2025

This story was originally published on HackerNoon at: https://hackernoon.com/how-institutions-are-bridging-crypto-and-traditional-banking. Traditional finance (or TradFi) was developed in an era when paper procedures, physical offices, and limited access made sense. However, the world has changed. Check more stories related to web3 at: https://hackernoon.com/c/web3. You can also check exclusive content about #web3, #tradfi-vs-defi, #crypto-and-traditional-banking, #good-company, #multibank.io, #trust-in-crypto, #derivatives-trading, #cryptocurrency, and more. This story was written by: @flashpr. Learn more about this writer by checking @flashpr's about page, and for more stories, please visit hackernoon.com. The future of finance does not include one system dominating the other. It combines old and new, with blockchain addressing inefficiencies and traditional finance ensuring stability. Crypto does not need to damage the system to update it. All it needs is an update. By 2025, the upgrading will be well underway, with institutions such as MultiBank leading the way from within.

This audio is presented by Hacker Noon, where anyone can learn anything about any technology. How Institutions Are Bridging Crypto and Traditional Banking, by FlashPR. For years, headlines have portrayed cryptocurrency as an enemy of banks. Thiefrizz's, Disrupt, Replace, and, Revolt, were most commonly used. The plot was straightforward, cryptocurrency would destroy the banking system and replace it with something new. However, in 2025, that story is no longer applicable. What is actually happening is significantly less dramatic but far more impactful. Cryptocurrency is not replacing traditional finance. It is reconstructing it from the inside out, utilizing better tools and smarter processes while preserving what is presently functional.

Why does the traditional system need help? You've seen the issue if you've ever waited three days for a bank transfer to clear or paid hidden fees to move your own money. Traditional finance, or trad phai, was developed in an era when paper procedures, physical offices, and limited access made sense. However, the world has changed. We now live in a global, digitally-driven economy, and the old system has not entirely caught up. Crypto arrived with the promise of fast payments, more transparency, and open access to anybody with an internet connection. Blockchain technology enables you to transmit money across borders in minutes, authenticate transactions in real time, and even divide bigger assets like property into smaller, tradable digital bits.

But technology isn't enough. What was missing? Despite their promise, many crypto initiatives hit the same wall. Trust. Users still require security, clear regulations, and technologies that function across borders. Regulation matters, as does experience, which was not always the case in the cryptocurrency industry. That's why collaborating with traditional finance has shown to be the best strategy, building together for a smarter future. Now, we see more collaboration than confrontation. Financial organizations embracing Web3

nowadays aren't simply using jargon. They bring years of experience in compliance, risk management, and client protection to the table. Exactly what blockchain requires to scale safely.multiBank.io, a platform developed by one of the world's largest regulated financial companies, illustrates this progression. With over 15 licenses in several countries and a history of FX and derivatives trading, Multibank understands how to create creative and compliant solutions. Their $3 billion real estate tokenization agreement with MAG and Maverick sends a strong statement about the industry's direction. By converting property into blockchain-based assets, they are helping to make real estate more accessible, liquid, and transparent without

compromising regulation or confidence. Not a replacement. A reinvention. The future of finance does not include one system dominating the other. It combines old and new, with blockchain addressing inefficiencies and traditional finance ensuring stability. Crypto does not need to damage the system to update it. All it needs is an update. By 2025, the upgrading will be well underway, with institutions such as Multibank leading the way from within. This story was authored under Hacker Noon's business blogging program. Hashtag Dyor before making any financial decision.

Thank you for listening to this Hacker Noon story, read by Artificial Intelligence. Visit HackerNoon.com to read, write, learn and publish.