There's an interesting new thing I just noticed about how major banks will choose their blockchain networks moving forward. Raoul Pal from Real Vision has a pretty bold perspective on this — he says it's very likely banks will choose Ethereum, not because of hype, but because of proven uptime, resilience, and scalability.

According to him, the real question has shifted. In the past, people asked whether banks would adopt blockchain; now, the question is which network they trust the most. And Raoul Pal believes the answer is Ethereum. He even said, "the entire banking system will switch to ETH" — quite a statement, but his argument is solid. Banks care about boring but critical things: uptime, long operational track record, deep liquidity, strong developer support, and clear security standards. Ethereum has all of that.

The good news is, this transformation has already started happening. Banks are testing tokenization, stablecoins, blockchain settlement, and custody systems in live pilots. Vivek Raman, CEO of Etherealize, says Ethereum has the best product-market fit for upgrading the financial markets. He sees Ethereum not just as a tokenization platform, but as a platform for everything in modern financial infrastructure.

There are several technical reasons why this is important. Ethereum’s transition to proof-of-stake makes the network more aligned with modern financial standards — more energy-efficient, more sustainable. That’s a big plus for institutions concerned about environmental issues. Plus, the deep liquidity and long-standing network history make Ethereum a natural choice for tokenized financial infrastructure.

Raoul Pal has an ambitious prediction about this timeline. He estimates that major global banks could move their clearing, settlement, and custody operations to Ethereum within the next 12 to 18 months. If that happens, the liquidity potential of tokenized assets could reach $4.2 trillion by 2027. That’s a huge number.

The main catalyst here is ISO 20022, the global banking messaging standard. If this can be smoothly integrated into the Ethereum system, it could significantly reduce barriers between traditional finance and blockchain pathways. A concrete example is Project Guardian, led by the Monetary Authority of Singapore in collaboration with JPMorgan and DBS Bank. That shows institutional blockchain adoption is moving from theory to execution.

So, in summary, according to Raoul Pal and other executives in this space, we are at a major threshold moment. Banks will choose networks that reduce their career risk and operational risk, and all signs point to Ethereum. Finance will remain multi-chain, but Ethereum will become the cornerstone. It’s worth watching how this development unfolds in the coming months.