Another #digital #banking #startup has raised funding this week, this time to expand a current account offering aimed at students and millennials. #Loot, a startup begun in 2014 by founder Ollie Purdue — who was finishing up school at the time of the company’s founding — has raised £2.2 million, or about $ 2.9 million, in […]
Bank Innovation
The Faster Payments Task Force received 16 proposals for faster payment solutions using different #technology approaches to increase the speed of payment in the United States. Some of the proposed solutions work similarly to traditional payment systems, while others involve significant changes to the way we think about cash and the roles that #banks play in the payments ecosystem.
Among the less traditional entries were proposals submitted by WingCash and nanoPay, which suggest creating #digital #currencies that would enable consumers to conduct digital transactions without the need for a bank account or payment card. While both involve the introduction of digital currency, one would replace the existing fiat currency for digital payments, while the other would be a digital exchange of value tied to the existing currency.
WingCash proposes creating a digital fiat currency. Under its proposal, the Federal Reserve would own the Faster Payments Network (FPN) and issue Digital Fed Notes, similarly to its issuance of cash notes today. Each Digital Fed Note would be a unique and unchangeable URL with a single monetary value, and it would include the issuer’s URL, the current holder’s URL, a currency code and unique identifier (like a serial number). Payments would be conducted by changing the owner of the URL.
The Faster Payments Network could be used for both in-person payments and remote payments (for example, using “digital cash” to pay for online purchases). The exchange of digital notes would occur without transfer fees, with funds immediately available, similarly to how physical notes are exchanged today.
As with cash notes, Digital Fed Notes would not require a bank account or credit card. One of the advantages WingCash highlights in its proposal is that a digital currency solution could increase access to the electronic payments system, opening the door for users who may have been excluded from the traditional banking system. However, potential barriers to implementation include regulatory changes that would allow the Federal Reserve to issue a digital fiat currency.
nanoPay also proposes a digital currency, but the system of value would operate outside of the Federal Reserve. nanoPay proposes a good-funds, collateralized bearer-asset transfer system in which users would exchange fiat currency (collateral) for nanoPay’s MintChip (asset). The fiat currency would be stored in a pooled account, while the equivalent MintChip amount would be stored in a Secured Asset Store (SAS). Transactions completed in the MintChip ecosystem would be a transfer of value between two SASs using Value Transfer Messages.
In the MintChip model, an Asset Manager would protect the pooled funds of fiat currency and invest the funds in instruments where the principle is guaranteed. Depository institutions would act as brokers that pre-purchase MintChip “coins” and use APIs to provide end users access to the MintChip platform. Regulated non-bank providers and larger retailers could also participate as Brokers.
nanoPay’s proposal does not depend on the Federal Reserve’s willingness to create new monetary policy or serve as the originator of digital currency. As a non-fiat currency, however, nanoPay could face challenges of perceived trust and security, particularly regarding the management of the pooled funds that serve as collateral for the digital currency.
As highlighted in the two proposals, digital currency solutions could increase the speed of payments while decreasing payments system costs and expanding financial inclusion. However, WingCash and nanoPay acknowledge that their proposals could pose a threat to traditional payment card revenue streams. Despite these challenges, central banks in other countries like China, Canada and the Netherlands are exploring digital currencies, and the US may follow suit.
Whether replacing fiat currencies, creating a digital exchange tied to existing currency or another idea yet unknown, payments solutions built on the faster, more efficient digital form will transform payments and banking. #Industry players need to prepare for the pending change and their role in it. To discover more about how other digital currency forms will #disrupt the industry, read our report on The (R)evolution of Money.
The post Digital currencies to disrupt the payments industry appeared first on Accenture Banking Blog.
The only event to focus on the integration of #digital capabilities with existing processes to enhance client engagement and reach new segments
Wednesday 21st February-Thursday 22nd February 2018, London
Voted by Business Insider as one of the world’s must attend #Fintech events in 2017
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Arena International is proud to announce that the second Digital Integration in #Wealth Management conference is returning to London!
Last year’s launch event went exceptionally well; as it was named as one of the worlds must attend Fintech events in 2017 and 2018 is going to be bigger and better.
The two day conference is the only one in the world to focus specifically on the integration of digital capabilities with existing processes in the wealth management sector. The event will provide a platform for experts in the wealth management industry to come together and discuss the benefits, objections and practical steps they can take towards digital integration in wealth management.
What is different and beneficial about this event?
Our fantastic line-up of pundit speakers will shed light on how wealth management companies can better address resistance to adopting digital channels. They will also address key industry issues from a case study perspective and outline strategic answers.
Our interactive roundtable discussions are the perfect opportunities for delegates to discuss the best methods of integrating digital tools to communicate with their segments, with their competitors and companies of differing clientele. Hosted by industry experts and each focused on a single issue, roundtables offer a unique opportunity to build your personal network and learn from the experience and expertise of others.
With more firms moving out of London due to the threat of Brexit, our interactive panel discussions will establish plausible futures of what will happen in the next few years. For example, Rob Hudson (Head of Digital Distribution, Aberdeen Standard Investments0, John Barrass (Deputy Chief Executive, Personal Investment Management and Financial Advice Association) and Vidur Varma (Product Director- UK Consumer Bank & International Personal Banking EMEA, Citi) will be evaluating the implications of Brexit to attain a secure understanding of potential regulatory adherences and plausible futures to mitigate uncertainty.
Additionally, many researchers in the wealth management sector expressed concerns about social media usage and upcoming GDPR changes. Our Q&A sessions with John Barrass and Tina Cracknell (Head of Digital Marketing, UBS Wealth Management), illustrate how we can better understand the limits of social media usage and how to utilise social media to attract new segments.
List of key speakers from leading Wealth Management companies
James Dunne- Head of Digital Investment, Santander
Shauna Mullin- Head of Operational Platforms, Santander Wealth Management
Sam Halliday- VP, Digital- Barclays Wealth Management
Vidur Varma- Product Director- UK Consumer Bank & Investment Personal Banking EMEA, Citi
Tina Cracknell- Head of Digital Marketing, UBS Wealth Management
Sasha Dabliz- Marketing Director, Rothschild & Co. Wealth Management
Dominic Traynor- Head of Digital, M&G Investments
John Barrass- Deputy Chief Executive, Personal Investment Management and Financial Advice Association (PIMFA)
Thierry Derungs- Chief Digital Officer, BNP Paribas Fortis
Gareth Johnson- Divisional Director- Head of Digital Channels and Investment Services, Brewin Dolphin
Daniel Hernandez- EMC Head E-Connectivity Solutions, Commerzbank AG
Simon Kingsnorth- Global Head of Digital Marketing, Citi Private Bank
Kim Ngan Tran- Chief Innovation Officer, BNP Paribas Fortis
Bartosz Golba- Head of Wealth Management, Global Data
Brandon Mayo- Head of Wealth Advice and Development, Nordea
Kirsten Burt- Head of Marketing, UK WM & UBS Smart Wealth, UBS Wealth Management
Tiziana Lamberti- Head of Brand, Advertising, Consumer & Digital Marketing, Generali
Rob Hudson- Head of Digital Distribution, Aberdeen Standard Asset Management
If you would like to know more or have any enquires please visit the website at http://www.arena-international.com/wealthmanagement/ or email at [email protected]
Interactive roundtable sessions offer a unique opportunity to come together with your peers to share best practice and develop solutions to critical challenges facing the industry as a whole. Hosted by industry experts and each focused on a single issue, roundtables are an exciting, interactive way to build your personal network and learn from the experience and expertise of others.
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The underlying #technology that powers #digital #currency #remains more interesting to the Federal Reserve than the development of digital currency, according to comments made by John Williams, president of the San Francisco Federal Reserve Bank. The Fed is actively researching #blockchain and distributed ledger technology, Williams said yesterday when asked about his thoughts on the […]
Bank Innovation
#Banks know they have to move to #digital, but are they doing #enough? Legacy systems are a persistent problem.
Financial Technology
The Innovator’s Dilemma hangs over financial firms #digital transformation strategies — they making money, so why change? #Forrester says they have to if they want to remain profitable.
Financial Technology
EXCLUSIVE – British bank #Barclays is teaming with #fintech startup #Flux in a trial that allows users to view #digital itemized #receipts in real-time. The trial will take place on the Barclays’ Launchpad App, the platform the bank uses to test new features. About 10,000 Barclays Launchpad users will participate in the trial; if successful, […]
Bank Innovation
EXCLUSIVE–How should financial services build the future of #digital #lending? Focusing on the #simple #things is a good start, said John C. Schleck, senior vice president, centralized and online sales for #Bank of #America. Financial services should focus on “making the easy stuff really easy,” Schleck said yesterday during a panel discussion at the American […]
Bank Innovation
After reviewing #fraud prevention software #Danske #Bank chose to work with Think Big Analytics to combined open source modules to create a platform to monitor and #prevent fraud attempts without inconveniencing bank customers.
Financial Technology
#Digital wallet adoption is slowly on the rise, and payments provider #PayPal seems to be the most popular choice for #users. Users of the PayPal digital wallet far extend users of its closest competition, #Apple Pay, according to a Market Force Banking Study released yesterday. The study, which polled about 6,500 banking customers in August […]
Bank Innovation
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