We are excited to bring Transform 2022 back in-person July 19 and virtually July 20 - 28. Join AI and data leaders for insightful talks and exciting networking opportunities. Register today!

(Reuters) — The bulk of the trading in the $6.6 trillion-a-day foreign exchange markets is expected to focus on cloud technology over the next five years, according to a survey conducted by fintech firm Integral.

Two-thirds of 94 heads and senior managers in currency trading at banks and buy-side institutions — surveyed between September 2020 and January 2021 — expect to adopt the secure and cost-effective cloud-based solutions to “a significant degree.” That’s compared to just 26% now.

Cloud technology, as against the widely used on-premise technology in foreign exchange trading, is hardly a new concept, with companies increasingly using it to make data management more cost-effective, centralized, and efficient.

COVID-19, in part, has accelerated this trend.

“As the COVID-19 pandemic took hold in 2020, market participants realized that a remote working environment is not only a reality, but one that isn’t going away in the near term,” Integral said in a statement.

Making remote trading secure and efficient is seen as the greatest workflow challenge currently, the firm said, a finding that has been echoed in other surveys by market participants in recent weeks.

In other key findings, the survey participants see shares of electronic trading over voice trading in foreign exchange markets jumping another 11% to 83% by the end of 2021.

VentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative enterprise technology and transact. Learn more about membership.