Blockchain technologies that underpin crypto could help issuers of financial instruments like bonds reduce financing costs in the next five years, according to a report by credit ratings agency Moody’s Investors Service.

While incorporating these technologies into businesses could increase IT costs and require “substantial investment” at first, it could help lower expenses over time, the report published Wednesday said.

Recent innovations have increased the transformative potential of technologies like artificial intelligence (AI) and distributed ledger technology (DLT) when applied to financial markets, Moody’s said. While AI could potentially reduce operating expenses for financial institutions by automating manual tasks, DLT could “gradually lower financing expenses, especially for smaller issuers,” according to the report.

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