Why finance veterans are still skeptical about blockchain
Blockchain has been part of the finance conversation for over a decade now. Yet many professionals remain cautious.
Many seasoned professionals in finance, wealth management and economics often question blockchain’s relevance, asking, How exactly is blockchain supposed to fit into what we already do?
This question reflects a few key ongoing skepticisms about blockchain within finance.
Uncertainty about practical applications
Blockchain offers some big promises: faster settlements, stronger security and better transparency. But actually applying those promises across banking, accounting and operations is still complicated.
A 2021 APQC survey identified the main hurdles: a lack of industry-wide adoption, skill gaps, trust issues, financial constraints and problems with interoperability. Even organizations that want to embrace blockchain often struggle to turn ideas into working solutions.
Doubts about necessity
Some finance professionals aren’t convinced blockchain is necessary at all.
The same APQC survey showed trust issues and a lack of understanding as major reasons for the slow adoption. Without a clear and compelling return on investment (ROI), it’s tough to justify tearing up existing systems that, frankly, still work.
Lack of understanding
Maybe the biggest obstacle? A lack of understanding.
A 2024 study revealed that only 13.7% of financial advisers engage with clients about cryptocurrencies despite increasing client interest and the approval of crypto exchange-traded funds (ETFs) between 2021 and 2024.
Moreover, while groups like the American Institute of Certified Public Accountants (AICPA) are trying to build frameworks for blockchain compliance and auditing, there’s no standard playbook yet. And without clarity, leadership teams are stuck.
This article will aim to address each of these skepticisms, ultimately providing an answer to how blockchain fits into finance in 2025.
Did you know? Christina Lynn, a behavioral finance researcher and certified financial planner, highlighted in her 2024 Journal of Financial Planning article that many financial advisers dismiss cryptocurrency due to biases, fear and regulatory concerns despite growing investor interest. She urges advisers to educate themselves, adopt a balanced approach, and provide guidance to avoid client mistakes.
The 2025 blockchain landscape: Key developments
Unbeknownst to many, thanks to regulatory shifts, stablecoins gaining ground and major institutions building on-chain infrastructure, blockchain is moving from experimental to essential within finance. Below are the developments serving as key contributors in 2025.
Regulatory shifts
The US Federal Reserve has relaxed its 2022 stance, no longer requiring banks to get explicit approval to offer crypto services. Similar signals from the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency show that regulators are starting to treat blockchain as a legitimate tool.
At the same time, SEC Chair Paul Atkins is pushing for clearer, innovation-friendly crypto rules, moving away from vague enforcement tactics and toward a more structured regulatory framework.
Stablecoin stampede
The stablecoin market capitalization has climbed to nearly $240 billion as of late April 2025, brushing up against an all-time high.
Regulators are also stepping up. In Europe, the Markets in Crypto-Assets (MiCA) framework is now fully live, laying down clear ground rules for crypto assets. For stablecoins, that means strict 1:1 reserve requirements and a crackdown on anything resembling an algorithmic model without real backing.
Meanwhile, in the US, lawmakers are making moves, too. The STABLE Act, reintroduced in March, proposes tighter oversight over stablecoin issuers and even suggests a two-year freeze on new algorithmic coins. Alongside it, the GENIUS Act aims to set up a whole new licensing system for stablecoins, making issuers meet banking-level standards for reserves, redemption rights and compliance.
The private sector isn’t sitting still either. Coinbase recently waived fees on PayPal’s PYUSD (PYUSD) transactions and now offers seamless USD redemptions. It’s a smart play to make stablecoins more visible in day-to-day finance.
And the uptake isn’t just happening in the US. In Asia, stablecoins are becoming a go-to for cross-border remittances because they’re faster and cheaper than traditional methods. In Latin America, they’re being used to hedge against local currency collapses; in Brazil, for example, stablecoins now make up over 80% of crypto transactions.
In different corners of the world, stablecoins are solving very real problems.
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cointelegraph.com