Banks Transform Finance: Cryptocurrency Adoption Sparks Fundamental Shifts

More financial institutions are turning to cryptocurrencies, reflecting a growing trust in digital assets among established players. LevelField Financial Inc., a company specializing in crypto, has recently received the green light from the Illinois Department of Financial and Professional Regulation to purchase Chicago’s Burling Bank,

to bring cryptocurrency offerings into the realm of conventional banking. This development highlights a wider movement as both regulators and banks adjust their strategies in the wake of the 2023 failures of crypto-friendly banks like Silvergate Capital and Signature Bank.

LevelField’s planned acquisition of Burling Bank, which could be worth as much as $70 million, still awaits the final nod from the Federal Reserve Board. Should the deal close by the end of the year, Burling will be transformed into a comprehensive bank providing deposit accounts, loans, and custody solutions specifically designed for digital assets. CEO Gene Grant II stressed the importance of internal transformation in the sector, noting, "Financial services must be changed from the inside, and unlike other industries, outside disruptors barely move the needle."

for traditional deposits, while also rolling out new offerings such as credit cards and term loans backed by Bitcoin or Ethereum. LevelField is also in talks with card networks to enable crypto-based rewards, further merging the worlds of digital and traditional finance.

The regulatory environment for crypto banking has changed dramatically. After the collapse of two major crypto-friendly banks in 2023, authorities have become more cautious but remain open to innovation. LevelField’s ability to secure state approval is a sign of this shift. The company had previously tried to buy Burling in 2023 but pulled back amid industry upheaval.

pledge to make the U.S. the “crypto capital,” indicating growing political support for the sector. Trump’s recent meeting with Wall Street leaders, including JPMorgan Chase CEO Jamie Dimon, .

Outside the United States, institutional adoption of crypto is also accelerating. in November 2025, aiming at institutional clients with regulated, exchange-cleared products. This initiative fits into a larger trend, with crypto derivatives averaging $187 billion in daily trading volume, much of it centered in Asia. , is designed to connect traditional finance with digital assets by providing greater transparency and scalability.

Meanwhile, the integration of fintech in Southeast Asia faces obstacles. Superapp leaders Grab and GoTo have found it difficult to unify their diverse digital financial services. Even with rising revenues—Grab’s Superbank saw a 20% quarter-over-quarter increase in deposit customers—both companies still depend heavily on ride-hailing and food delivery for the bulk of their earnings[

]. Regulatory hurdles and consumer preferences for niche platforms have slowed the realization of the superapp model, highlighting the difficulties of merging crypto with traditional services in a competitive landscape.

The LevelField-Burling deal and SGX’s perpetual futures launch are key moments in the mainstreaming of crypto. As financial firms respond to evolving regulations and market needs, their approaches will likely influence the future of digital asset adoption. With the convergence of fiat-backed crypto products, institutional-grade infrastructure, and political backing, the industry seems set for deeper integration—though challenges around user uptake and regulatory consistency remain.