Bob Diamond, Franklin Templeton CEO Urge Banks to Embrace Blockchain

Former Barclays Plc chief executive Bob Diamond said large incumbent banks risk being “left behind” unless they integrate blockchain into their core operations, arguing that the technology is rapidly reshaping capital markets. Diamond, who now serves as chairman of digital-asset platform HyperliquidX, added that distributed ledgers can cut settlement times and costs that traditional institutions can no longer ignore. Speaking separately on 19 August, Franklin Templeton President and Chief Executive Officer Jennifer Johnson said digital assets are “going mainstream,” underscoring the money-manager’s view that cryptocurrencies and tokenised securities will become a routine part of investment portfolios. Johnson called Bitcoin “the greatest distraction from one of the greatest disruptions coming to financial services,” contending that the broader blockchain infrastructure poses the more significant long-term shift. The comments from two veteran financial executives underscore growing pressure on established firms to adapt as blockchain-based trading venues and asset-management products gain traction. Global banks and investment managers have stepped up spending on distributed-ledger projects in areas ranging from payments to fund administration, seeking efficiencies and new revenue streams amid intensifying competition from digital-native platforms.