Digital banks have made a sizable dent in the business of traditional banks in recent years. The popularity of digital banks continues to grow, and according to the numbers presented by Nokyc.com, customers are expected to deposit wealth worth $15.32 trillion in 2024.
Value of deposits set to grow by 22.7% in 2024
Digital banks continue to grow in popularity. According to the latest Statista Market Insights, customers worldwide are expected to deposit funds worth $15.32 in digital banks in 2024. Such a figure would indicate a year-on-year increase of an impressive 22.7% in annual deposits. The deposits in digital banks stood at $12.49 billion in 2023.
Digital banks are a recent phenomenon, but they have already made their presence known globally. In 2017, the deposits in digital banks were worth only $800 billion globally. The value crossed the trillion mark for the first time in 2018.
Such banks have really taken off in popularity following the COVID-19 outbreak and lockdown. The value of deposits annually have grown at an incredible rate, especially after 2020. The rate of growth is expected to slow down in the coming years, but according to the Statista report, deposits in digital banks will continue to grow at a healthy rate.
In 2025, deposits are expected to reach $17.57 trillion, following a year-on-year increase of 14.7%. By 2029, annual deposits in digital banks are expected to reach $22.62 trillion.
User Base to cross 300 million in 2024
The user base of digital banks is also expected to show an impressive level of growth. The user base is expected to grow by 20.4%, on a year-on-year basis, to 301.8 million in 2024. In 2023, the total number of digital bank users was 250.7 million.
It is an impressive growth, considering the user base stood at just 18.95 million in 2027. However, the growth in the user base is expected to slow down beyond 2026. The total number of users worldwide is expected to reach 386.3 million in 2028.
