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How to Apply Blockchain in Development of Finance Apps

Written by

Faisal Jaswal

Last Updated: June 2, 2025

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Did you know the global blockchain market in fintech is projected to reach $183.56 billion by 2030, growing at a staggering CAGR of 75.80%. This explosive growth signals more than just hype; blockchain in finance is fundamentally changing how we handle money, verify identity, and eliminate fraud.

In a world increasingly dependent on digital transactions, the demand for secure, decentralized, and transparent financial technologies has never been greater. This article breaks down how blockchain can power your next finance app, from real-world applications to development steps you can take right now.

Blockchain in finance: what you need to know

At its core, blockchain in financial services refers to the use of distributed ledger technology to record and verify transactions without relying on centralized institutions. Furthermore, if you want to know “what is the purpose of blockchain?” In layman's terms, it is to build a fast, affordable, transparent, decentralized, but secure financial system for everyone to use. 

Traditional finance faces long-standing issues: fraud, slow settlements, hidden fees, and an overreliance on third parties. With blockchain financial technology, these hurdles are easier to overcome. Data is encrypted, immutable, and visible across the network. Smart contracts automate trust, while decentralization reduces bottlenecks.

Take JPMorgan’s Onyx platform, for example. It processes $1 billion in daily blockchain transactions using JPM Coin, a clear indicator that the future of finance is already arriving. 

top decentralized finance dApps in Q1 2025

Source: DappRadar - Top decentralized finance dApps in Q1 2025

Key benefits of using blockchain in finance apps

Implementing blockchain in finance and its related apps comes with some serious upsides. Here are some of the benefits of blockchain in finance:

  • Transparency & trust → All transactions are verifiable and recorded on a shared ledger, which helps remove doubt and increases confidence.

  • Security → Since each data block is encrypted, tampering is not possible.

  • Decentralization → Since the control is with the users instead of a central entity, it is more efficient and there is less chance of errors.

  • Speed & efficiency → Transactions are carried out through smart contracts almost instantaneously, and there is no waiting for approvals from any authority.

  • Cost reduction → Without a central authority, costs are lower, and overhead charges are significantly reduced.

Please note that the list above is by no means exhaustive, and the advantages mentioned above are not theoretical. Companies like Stellar and Aave are already harnessing these benefits in real-world finance platforms.

Practical blockchain applications in finance apps

Let’s explore how blockchain applications in finance are showing up in your everyday fintech solutions:

  • Payments & remittances → Platforms like Revolut and Stellar use blockchain to transfer money instantly across borders.

  • Digital identity verification → Blockchain ensures identities are tamper-proof to help combat fraud during onboarding.

  • Smart contracts for loans & insurance → Aave and Nexus Mutual are automating loans and policies with transparent smart contracts.

  • Tokenized assets & trading → Securities, bonds, and even real estate can be tokenized for faster, fractional ownership and trading.

  • Fraud detection & KYC automation → Immutable records simplify KYC compliance and strengthen anti-fraud protocols.

Each of these use cases shows that the blockchain's impact on financial services is no longer speculative; it’s part of everyday operations.

Steps to apply blockchain in finance app development

If you're considering building a finance app using blockchain, here’s how to do it right:

  1. Define your use case & compliance needs Pin down your app’s core function: remittances, identity, lending? Ensure your use case aligns with AML/KYC and GDPR standards.

  2. Choose the right blockchain platform Ethereum for DeFi, Hyperledger for enterprise apps, or Solana for speed and low fees; pick based on scalability, governance, and cost.

  3. Develop smart contracts Use Solidity or Rust to write secure, automated contracts that self-execute under defined rules.

  4. Integrate blockchain APIs & wallets Services like MetaMask, WalletConnect, or Fireblocks make it easier to connect your app with wallets and chains.

  5. Ensure regulatory compliance Monitor updates in local and global regulations to avoid legal pitfalls in data handling and transaction processing.

  6. Test for security & auditability Use third-party audits, bug bounties, and sandbox testing to secure every piece of your blockchain infrastructure.

Defi apps

Source: Moralis These steps give developers and product teams a concrete path to bringing blockchain-powered finance apps to life.

Challenges and considerations

While the benefits are clear, integrating blockchain for finance professionals comes with challenges:

  • Regulatory uncertainty → Laws vary by region and evolve quickly.

  • Scalability → Some blockchains struggle with high transaction volumes.

  • Legacy integration → Connecting old systems with new tech can be complex.

  • User trust and UX → Many users are still unfamiliar or uncomfortable with blockchain features.

Mitigation strategies include working with legal consultants, choosing scalable platforms, and investing in user-friendly interfaces.

Future outlook of blockchain in finance

Looking forward, decentralized finance (DeFi) platforms will keep reshaping how we borrow, lend, and invest. Currently, most platforms are only compatible with each other and not with other different blockchain systems; however, interoperable blockchains are poised to break this trend, allowing true multi-platform compatibility. Then, as centralized finance also jumps on the blockchain train with its central bank digital currencies (CBDCs), it will further increase awareness regarding the blockchain among the masses.

So it shouldn’t come as a surprise when we say the blockchain financial market is predicted to cross $390 billion in 2032. 

Conclusion

Blockchain in finance, as you can tell, is not just a passing fad. It’s a foundational shift in how financial services operate. As they say, the early bird gets the worm; those who will jump on the blockchain finance bandwagon will benefit greatly since the transparency, speed, and automation that it offers is unmatched. So, if you look at it from either a development or investor perspective, the time to adopt the blockchain is now – the tools are ready and the market is growing.

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