EXCLUSIVE- It’s a truism that #banks can&8217;t work together, but we live in an age of consortia, where groups of banks get together on things like #blockchain (though, some have said they are more like “blockchain support groups.”đ #Pivotus Ventures, a wholly owned subsidiary of Umpqua Bank, famous for its highly designed branches and fanatical […]
Bank Innovation
EXCLUSIVE- It’s a truism that #banks can&8217;t work together, but we live in an age of consortia, where groups of banks get together on things like #blockchain (though, some have said they are more like “blockchain support groups.”đ #Pivotus Ventures, a wholly owned subsidiary of Umpqua Bank, famous for its highly designed branches and fanatical […]
Bank Innovation
EXCLUSIVE â Will the use of artificial intelligence push banking customers to #better personal finance and saving #habits? Fintechs have been exploring this idea for quite some time now, whether it be through fraud management, or #using AI to execute trades across global equities algorithms business. #Banks are just starting to look into how AI can be […]
Bank Innovation
Javelin thinks #trust is the key to building long-term #relationships in banking.
Financial Technology
A #consortium of seven #European #banks will use #blockchain #technology to provide trade finance for #SMEs.
Financial Technology
EXCLUSIVE —Â #Finn.ai wants to use artificial intelligence and machine learning to promote #financial literacy and healthy consumer behaviors in its users. The conversational commerce platform, which currently works with #banks to provide a white-labeled âvirtual assistantâ for banking apps powered by AI, is #developing new features for what it calls â#customer #care.â These are features […]
Bank Innovation
SAP, which once hoped for a Big Bang #core banking replacement, is now looking for piecemeal change with APIs and modules, perhaps provided in the cloud.
Financial Technology
#APIs, or Application Programming Interface, have seen tremendous #growth, especially in the finance space. The #spike in numbers comes as no surprise with the ever-increasing number of #fintech startups as well as traditional #banks and #financial institutions rushing to integrate APIs in some form or the other. Other factors contributing to this growth, according to […]
Bank Innovation
Earlier this year I made a set of #payments #predictions for #2017, which is living up to expectations as a year with new developments and change occurring on all fronts. In this blog, I give an #update on how the payments landscape is shaping up and rotating towards a new world of digital payments.
Prediction: Contactless card transactions in the UK will rise to between 6BN â 9BN transactions in 2017, (compared to my forecasts a year ago of 3BN transactions for the UK for 2016).
Contactless transactions are growing at a huge rate, far faster than most realize, showing a profound change in the way we pay across the globe. They are also spilling over into mobile contactless payments (e.g. Apple Pay) which grew 336 percent in the UK in the first half of 2017 compared to the same period in 2016 according to Worldpay.
Prediction: Voice payments solutions will start making a hit with the publicâperhaps through Siri on iPhones, Alexa on Amazon and at POS.
Voice payments and voice commerce are an emerging trend that is here to stay.
Prediction: Alternative payment mechanisms (APMs) such as PayPal, iDEAL in the Netherlands and Klarna (Europe and US) will continue to grow strongly (20 percent â 30 percent) for e-commerce, driven both by convenience and by high fraud rates in card-not-present transactions.
APMs are already more popular than cards in some countries for e-commerce, and this continuing trend shows cards dominance is under threat globally.
Prediction: The UK will continue to lead the world in instant payments. Plans will be developed for a new real-time payments infrastructure that leaps ahead of current implementations in terms of ambition and capability.
Prediction: Faster Payments will process 1.65BN transactions, 15 percent higher than 2016 (1.4BN transactions).
Instant or real-time payment infrastructures are appearing all around the world. Adoption is gradually gaining pace and we can expect years of ongoing renewal, such as in the UK, as they embed and evolve with the demands of the digital economy.
Prediction: #Bitcoin transactions for 2017 will be 150M transactions (up from 83M in 2016), minersâ revenue $ 850M ($ 562M in 2016), the average hash rate will be 5.7gh/s (1.5gh/s average in 2016), $ 120BN will be transacted in Bitcoin ($ 56BN in 2016) and the average number of unique addresses used daily will average 600K (406K addresses daily in 2016).
This is a blizzard of statistics, but they show that the Bitcoin network continues to grow in terms of transactions and users (addresses), that significant sums are transacted over it, and that while miners are multiplyingâin fact, triplingâthe computing power (# rate) in the Bitcoin network, they are receiving significant rewards for doing so.
The number of Bitcoin transactions is still very low for a payments network, and are constrained by the current network capacity limit (which is supposedly being resolved), indicating that the Bitcoin network is more a store of digital asset value than a payments network. However, while minersâ revenue is dependent for now mainly on block rewards, over time this will diminish increasing their need to compete for transaction fees, and if Bitcoin is to endure, the number of transactions will need to grow significantly.
I suspect that this is part of Satoshi Nakatomoâs game plan for Bitcoin, and if it materializes, Bitcoin will become a mainstream force over the next 10 years as a store of value and as a payments network.
Prediction: Ripple will be the one DLT player in payments that grows, with its #technology moving on from use by #banks for pilots, bilateral exchange and internal payment flows, to use as a new cross-border payments network with growing transaction volumes between networked banks.
Ripple goes from strength-to-strength. While there are some examples of banks experimenting with other DLT, such as R3 in Singapore, no other DLT player comes close to the penetration of Ripple in payments, particularly cross-border payments.
The post 2017 payments predictions: A mid-year update appeared first on Accenture Banking Blog.
#Ripple is attracting attention from some #banks, and hiring some staff from SWIFT.
Financial Technology
Reply