Data shows that neobanks will grow from approximately $149 billion in 2024 to $4.4 trillion in 2034 as more services run completely on-chain and sluggish cross-border systems are replaced by software rails.
Summary
- Market projections show that the neobank business will grow past $1 trillion by 2029 and reach $4.4 trillion by 2034, with growth driven by digital, mobile-first and on-chain banking models.
- On-chain neobanks run core operations directly on blockchains, offering 24/7 global payments, transparent ledgers, and software-based scaling instead of branches.
- Analysts say these platforms could become fundamental to internet economies, expanding into payments, savings and wealth management as adoption increases.
The global neobanking sector is expected to grow significantly over the next decade. The market size will grow from approximately $149 billion in 2024 to $4.4 trillion in 2034, according to market data.
Market forecasts for neobanking will exceed $1 trillion
The projections indicate that the market will surpass $1 trillion by 2029, which the analysis predicts will represent accelerating year-on-year growth rather than linear expansion.
Neobanks, which started as mobile-first alternatives to traditional banking institutions, are increasingly operating on blockchain infrastructure without physical branches or legacy banking systems, the report said.
On-chain neobanks differ from traditional neobanks in that they run their core financial activities directly on the blockchain infrastructure rather than relying on partner banks, custodians or regional payment rails, the analysis shows. These platforms manage assets on-chain with transparent data, process payments globally and operate without restrictions of banking hours or geographical boundaries, the report said.
The blockchain-based model eliminates delays associated with cross-border settlement, removes dependence on closed banking networks and operates without regional cut-off times, according to the analysis. The architecture allows these institutions to scale through software upgrades and smart contracts instead of physical branch expansion and manual back-office processes, the report said.
The expected growth to $4.4 trillion by 2034 reflects expected expansion beyond user growth to include structural changes in the delivery of financial services, the market analysis said. The projections take into account greater adoption in payments, savings, wealth management and global money movements through digital, on-chain financial institutions, the report said.
Market analysts cited in the report suggest that blockchain-based neobanks represent early iterations of the financial infrastructure designed for internet-native economies, although the sector is still in early adoption stages, based on the growth trajectory shown by the data.
