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201

Puerto Rico Financial Commissioner George Joyner: “There’s a space for virtual assets that won’t go away”

via Crowdfund Insider

George Joyner has Puerto Rico in his blood. The Commissioner of the Office of Financial Institutions is a veteran player who has spent his whole career in the fast-growing banking and, latterly, FinTech industry in the US territory of Puerto Rico, with the exception of two years in Florida. Born on the mainland, he was brought to San Juan as a six-month-old baby. Bilingual in Spanish and English, Joyner is an American and a passionate Puerto Rican.

Puerto Rico’s tax-favored status has proved attractive to both mainstream finance and players from cryptoland. Joyner understands and shares the local passion for growth, but as the gatekeeper of Puerto Rican standards, he will only allow growth to occur in the fashion he considers prudent.

Crowdfund Insider caught up with him at the recent financial summit organised by one of Puerto Rico’s newest financial institutions, Kinetic International. (more…)

Blockchain, Cryptocurrencies, Global trends, Government activities, People of fintech

March 18, 2019

196

Where The UK Fails On Anti-Money Laundering

via PYMNTS

Hundreds of billions of pounds’ worth of criminal funds are laundered through the U.K. each year, while the non-compliant corporations and FIs that enable this receive little more than a “parking penalty” level fine. That’s according to Susan Hawley, Corruption Watch’s director of policy, who explains in this month’s AML/KYC Tracker how weak enforcement, toothless fines and lack of political will to scrutinize foreign investment all stand in the way of a cleaner system. (more…)

Global trends, Government activities, Influences FinTech

March 15, 2019

236

The challenger bank playbook: A deep dive

via Finextra

Finextra reports on the rise of the challenger bank economy in Asia, as Money20/20 prepares to open its doors to a new wave of disruptors and innovators in Singapore next week.

As challengers – established firms – and neobanks – digital mobile outfits – are not burdened with legacy technology, they are able to disrupt the status quo. These organisations have taken off in the UK because of the traditional industry having adopted digital banking from the late 1990s.

According to KPMG’s global head of banking and capital markets Judd Caplain, this phenomenon has expanded immensely and there are now more than 100 challenger banks operating worldwide. Caplain lists Asian players such as China’s MyBank backed by titan Alibaba, WeBank launched by conglomerate Tencent, Digibank of India, Vietnam’s Timo, Japanese outfit Jibun Bank and South Korea’s K Bank and Kakao Bank as success stories.

(more…)

Banks, Global trends, InspirAsia, Mobile-first banks

March 13, 2019

126

Bitbond CEO: The German regulator is “very open” to security tokens

via AltFi

AltFi sat down with Radoslav Albrecht to hear what it was like working with BaFin to bring the Bitbond token to market. (more…)

Global trends, Government activities, People of fintech

March 11, 2019

Banking on Millennials: Balancing Branch Preferences And Digital Expectations

Via The Financial Brand 

Knowing what’s really important to consumers is critical to acquisition, retention and cross-selling in the banking industry. But Millennial stereotypes frequently fool financial marketers, muddling their marketing strategies with faulty assumptions. Turns out they love branches just as much as Gen X and Baby Boomers. And all generations share one thing in common: They expect more, particularly in digital channels.

(more…)

Analytics, Banks, Global trends

October 13, 2018

2431

Should I create my own payment app?

One of the hottest niches in tech right now is payments. If it’s big enough for Google, Apple and Paypal to pursue – it’s BIG. If the Bitcoin, a currency built specifically for instant (de-centralized) online transactions, increase in value 100-fold over a period of several years, it is another very solid indication the world is moving towards digitized transactions. In fact more than 50% of all transactions taking place in the USA are cash-free.

Building a money transfer application has more than a few hurdles. Many have tried and failed, and the others are sitting on the fence waiting for the industry to boom to make substantial profits. The top money transfer apps in 2018 are composed of large companies who have been in the domain of online payments from way before mobile apps even existed.

The difficulties of creating money transfer apps

Regulation

The biggest hurdle in creating a money transfer app is definitely NOT the programming you need to put in, nor the UI, no anything else you would traditionally say is the sticking point of creating app. It’s regulation.

When you handle people’s money, you need to be carefully inspected and show beyond any reasonable doubt you are eligible to be in this position. It goes way further than just the regulator, by the way – banks are very reluctant to deal with you, and so us other providers. So, you need to be approved by a regulator (or SEVERAL regulators if you are going to accept people from different regions in the world), be in excellent relations with at least one bank, and prove one or more tax authorities people are not using your platform to evade taxation.

All of the above is far more complex than it sounds and it will require serious resources to accommodate all of the above, and particular as a startup.

Liquidity pool

If you are going to handle people money you need a line of credit to enable real-time transactions. That means that you need to cover the deficiency in cash inside your system between the time that someone pays, and until you actually receive the money. That is a significant issue and you need to have significant reserve pools just in any case. What happens if your security is breached and some money is stolen off the system? What happens if you have a an unusually high number of feedbacks in one certain month? You need a few millions of dollars to be sitting aside to facilitate a real money transfer network.

Product

Although this aspect only comes third on our list, to compete in the payment business you have to come up with a very slick app that appears trustworthy, maintains the highest level of security (super important), and is easy to use as your target audience is very broad. In essence, you need to out-do companies which have been in the market since before the 2000 high-tech bubble like Paypal. It is obtainable, but it will require high level of expertise and yet again – a sizeable investment.

Foreign exchange – liquidity and capability

If you intend to accept clients from overseas who are paying via multiple currency, you need to be able to exchange foreign exchange through your application. This requires connecting with a source of liquidity provider who is also able to facilitate currency exchange, and a lot of additional hurdles when it comes to product development and regulation. Cross border transfers tend to be more sensitive and difficult to execute.

Finding partners / Marketing

Payment applications is a very saturated market, and thus, you will need to be able to compete through not only better offering than your competitors, but in fact have powerful business partners who are able to integrate your payment app into their systems. Apple and Google don’t need such a partner, being of such immense size and influence, but you would need them.

Not making money

When you go into an overly competitive market which is currently focused on acquisition and not profit, you would not be able to compete if your prices would be higher than your competitors. Venmo is practically free when it comes to transfers in the U.S, similarly  Google Pay and Apple Pay, and cross-border applications like Transferwise’s charge as little as 0.5% off each transaction, you are not going to be making money in the short and medium term. This is a long term game.

Final words

Looking at all the hurdles expected, you should be entering the payment app industry only if you have a very solid foundation. If you plan on making your mark with your team of 4 out-of-college programmers working in your grandma’s basement, you should at softer and more niche industries.

 

Banks, Fintech news, Global trends, Hotnews, Remittances

October 7, 2018

SEC Takes Unprecedented Enforcement Actions Against Two Cryptocurrency Firms

Article by Michael S. Dicke and Alexis I. Caloza

Over the past year, the U.S. Securities and Exchange Commission has ramped up its scrutiny of cryptocurrencies and other digital token offerings. On Sept. 11, 2018, the SEC escalated its crackdown when it announced a pair of settled enforcement actions against non-issuers participating in the offer and sale of cryptocurrencies it deemed unregistered securities. As with prior cryptocurrency cases, the SEC charged the defendants with offering or selling securities without filing a registration statement or having a valid exemption from registration. However, these cases mark the SEC’s first cryptocurrency enforcement actions against non-issuers for failing to register as broker-dealers and investment companies. As such, they highlight the SEC’s continuing efforts to bring the purchase and sale of cryptocurrencies within a regulated framework, including by targeting third parties who facilitate the purchase and sale of such assets.

(more…)

Fintech news, Global trends

October 4, 2018

533

Fintech and Customer Experience: Transformation and Adaptation

The service-customer relationship pattern has changed greatly over the years. Nowadays, the biggest percent of how customers form their opinion of the service is based on the feedback from other clients. The Fintech companies development is greatly responsible for this shift. The 2016 Edelman Trust Barometer Report observed an increased percent of trust from the customers being ready to buy and recommend the business to their friends and family. (more…)

Fintech news, Global trends, news

August 10, 2018

1935

Blockchain Technology Will Change How We Conduct Business

Sponsored post,

Blockchain technology was started a number of years ago now and has positively impacted how we conduct business. It was initially meant to formulate the Bitcoin cryptocurrency but has since been an influence in several sectors. The production sector is one that was overshadowed with different challenges especially when it comes to operational readiness. (more…)

Blockchain, Global trends

July 28, 2018

4017

UOB taps Personetics to gain deeper customer insights

United Overseas Bank has invested in Israel-based AI firm Personetics and plans to deploy its cognitive analytic tools to help customers make smarter banking decisions. (more…)

Banks, Fintech news, Global trends, Hotnews

July 20, 2018

1176

Fintech Company TrueLayer Raises $7.5M in Funding

TrueLayer, a London, UK-based Open Banking market, financial API platform, raised $7.5m in funding. (more…)

Fintech news, Global trends

July 20, 2018

2964

CEO Problems

By Brad Feld

Originally published at Feld Thoughts.

Recently, I was talking to a CEO of a company I’m on the board of. We were discussing a problem in the category of something new Is fucked up in my world every day (more…)

Fintech news, Global trends, Hotnews

July 16, 2018

Why invest in Fintech? — Monica Brand Engel

Fintech news, Global trends

July 16, 2018

European & Israeli Venture Data 1H18

By Gil Dibner for his blog
A global venture investor. Fascinated by the finance of innovation. Trying to help the few to do the impossible. Investing across Europe + Israel.

A data-driven look at VC investment trends across the geography.

(more…)

Fintech news, Global trends

July 16, 2018

531

Lessons Learned from 20 Years at the Leading Edge of SaaS

 

By Tomasz Tunguz from Redpoint Ventures for his blog

Over the weekend, I read Tien Tzuo’s book, Subscribed. Tien is the founder and CEO of Zuora, and former CSO/CMO at Salesforce, where he started in 1999. He has been working in SaaS for nearly 20 years. He’s a thought leader in the world of subscriptions, and I learned a tremendous amount from his book. (more…)

Financial Markets / Trading, Global trends

July 13, 2018

Machine Learning is Fun! Part 4: Modern Face Recognition with Deep Learning

By Adam Geitgey for his Medium Blog

Update: This article is part of a series. Check out the full series: Part 1Part 2Part 3Part 4Part 5Part 6Part 7 and Part 8!

You can also read this article in 普通话Русский한국어PortuguêsTiếng Việtor Italiano.

Have you noticed that Facebook has developed an uncanny ability to recognize your friends in your photographs? In the old days, Facebook used to make you to tag your friends in photos by clicking on them and typing in their name. Now as soon as you upload a photo, Facebook tags everyone for you like magic:

Facebook automatically tags people in your photos that you have tagged before. I’m not sure if this is helpful or creepy!
(more…)

AI / Machine Learning / Big Data, Global trends

July 13, 2018

The Four Major Things Missing in The Blockchain Industry

Infrastructure suggestions on everything from UX to Interoperability to Digital Reserves to Stablecoins

By Wesley Graham and Robert Greenfield for their Medium Blog

(more…)

Blockchain, Cryptocurrencies, Global trends

July 13, 2018

Intel’s Toxic Culture

by Jean-Louis Gassée for his blog at Medium

Who wants to be Intel’s new CEO? The job description should include the impossible task of undoing a company culture that allowed itself to miss the mobile revolution because it thought it couldn’t afford to participate.

(more…)

Columns, Fintech news, Global trends

July 12, 2018

630

Barclays opens tech campus in New Jersey

By Barclays,

Barclays today announces the opening of a new campus in Whippany, New Jersey. The state-of-the-art complex is a flagship site of Barclays’ global location strategy, which is designed to enhance the firm’s flexibility and resiliency through the establishment of regional campuses. (more…)

Banks, Fintech news, Global trends

July 11, 2018

Toast Notches $115M In Series D Round

To drive investment in R&D, recruiting and expansion, Toast announced on Tuesday (July 10) that it has raised $115 million in Series D funding. The funding round, which was led by funds and accounts advised by T. Rowe Price Associates, Inc., values the restaurant management platform company at $1.4 billion, the company said in an announcement.

(more…)

Fintech news, Global trends

July 10, 2018

Deeper Dive into the Dynamics of the Seed Market

By Tomasz Tunguz for his blog

Earlier this week, I wrote about the collapse in the number of seed investments. I received many questions about the data, all the same. Why is this happening? This is a deeper dive into the data. (more…)

Deals, Fintech news, Global trends

July 9, 2018

3128

TransferWise opens in Hong Kong

By InvestHK,

Leading London-based fintech company TransferWise announced today (6 July 2018) the official launch of its international money transfer platform in Hong Kong, giving it a major foothold in Asia as part of the company’s ongoing international expansion. (more…)

Global trends, Hotnews, Remittances

July 9, 2018

Equifax partners with consents.online for Open Banking

Equifax, the consumer and business insights expert, has formed a strategic alliance with consents.online, a digital consent management and AISP accredited Open Banking platform which for the first time allows UK consumers and small businesses to manage the sharing of their financial information. (more…)

Banks, Fintech news, Global trends

July 9, 2018

Azimo Adds 10 Countries for Nordic Users

For international remittance platform Azimo, the world just became a bit more flat. That’s because the U.K.-based company recently expanded its services to allow customers to send money to 10 more countries.

(more…)

Fintech news, Global trends

July 9, 2018

583

How to Raise Money via IDOs: Initial DICE Offerings

Sponsored post

Over the past couple of years, as cryptocurrencies gained momentum, they rapidly gained the public eye. Although a promising run-up, cryptocurrencies are almost never perceived beyond volatile assets. While blockchain is a revolutionary technology, cryptocurrencies and in particular the ICO funding method suffer from multiple inefficiencies, like exorbitant fundraising costs. Similar is the case with traditional fundraising platforms such as IPO or debt instruments. (more…)

Blockchain, Cryptocurrencies, Fintech news, Global trends

July 9, 2018

Tokenised funds to reshape PE/VC fundraising

Initial coin offers (ICOs) and the emergence of tokenised funds — represented by the issue of equity tokens — are set to reshape the dynamics of how private equity (PE) and venture capital (VC) fund managers raise capital, bringing greater transparency and democratisation to the fund management space. (more…)

Blockchain, Cryptocurrencies, Fintech news, Global trends

July 6, 2018

Paysend closes $20 million funding round

Paysend, the business targeting a global payments revolution, has closed a $20 million funding round, led by investment firm MARCorp Financial. (more…)

Fintech news, Global trends

July 4, 2018

Cryptocurrency Regulation Update (July 2018)

By Phil Glazer for his blog,

This piece is part of a monthly series covering regulatory updates related to cryptocurrencies (here are the updates from AprilMay, and June). Although prices have continued to fall over the past month, recent statements from regulators have been positive, particularly comments from the SEC clarifying that Ethereum is not a security. This piece provides important regulatory updates since the June piece, broken down by developments in the United States and the rest of the world.

(more…)

Cryptocurrencies, Fintech news, Global trends

July 2, 2018

Why the Structure of Andreessen Horowitz’s New $300 Million Crypto Fund Matters

Chris Dixon, general partner at Andreessen Horowitz, has led the venture capital firm's crypto investments to date. Dixon is spearheading the firm's new $300 million fund, called a16z crypto, alongside a new general partner, Kathryn Haun (not pictured).
Chris Dixon, general partner at Andreessen Horowitz, has led the venture capital firm’s crypto investments to date. Dixon is spearheading the firm’s new $300 million fund, called a16z crypto, alongside a new general partner, Kathryn Haun (not pictured).

It seems like forever ago when I wrote about traditional venture capitalists and their role in the brave new world of cryptocurrency. It’s only been eight months, but a lot has changed.

(more…)

Blockchain, Cryptocurrencies, Fintech news, Global trends

July 2, 2018

3368

JPMorgan Chase begins nationwide roll-out of mobile-only bank

JPMorgan Chase is taking its mobile-only banking offshoot Finn nationwide following its debut in St. Louis in October. (more…)

Banks, Fintech news, Global trends, Hotnews

June 29, 2018