#Goldman #Sachs is reportedly dropping #plans for a #cryptocurrency #trading #desk. The news, which broke late yesterday, sent #crypto prices further down, but in this bear market, you’d be excused for not noticing. The news, though dismissed or even spun into a good thing by crypto enthusiasts, can hardly be taken as a positive sign […]
Bank Innovation
#India’s central #bank’s decision to ban all #banks and entities that come under its authority did not go #well with the country’s #crypto traders/#investors. Many expressed their anger at the #Reserve Bank of India on social media platform under the hashtag #RBICantStopMe. One investor notes: Campaign against the preposterous decision by RBI to ban the […]
Bank Innovation
IPC, the #turret company, and GreenKey Technologies which does advanced speech recognition, have designed #trading #tech that works on voice.
Financial Technology
The Turritopsis dohrnii, commonly known as the immortal jellyfish, is an extraordinary survivor. Through the rare, natural transformation of cells, an adult can revert to the polyp stage at any time—essentially being reborn as a young jelly.
The #Open #Banking trend is beckoning traditional vertically integrated #banks toward a similar transformation, where they can hit the reset button on their business models to pursue new opportunities, grow their business and guarantee their continued relevance. Driven by regulation, competition—or both—banks are increasingly using APIs to make certain customer data available to third parties. Those third parties can then embed that information into their platforms to improve offerings (theirs and, often, the banks’) and benefit end customers. This reciprocal exchange is causing a rare, natural effect: #bilateral #trading that can fuel a rebirth in banking.
On the outbound side, banks become exporters of not only customer data, but also bank-owned algorithms and business processes. It also positions banks as advisors to help create new products and services that help third parties and consumers capitalise on bank exports. By enticing and training developers to use their API-delivered component services, for example, banks can offer existing customers new services like single sign-on, the ability to pay with credit card reward points, and open accounts right from third-party sites. Consider how Mint.com is extracting and consolidating customer account information to help consumers organise and manage their personal finances. Mastercard is unbundling its services, like consumer credit check or identity management, and offering them to fintechs and other banks. Through such exports of information and services, banks can amplify their reach, distribution and customer loyalty.
On the inbound side, banks can easily and meaningfully plug-and-play product and service features from third-party partners into their own customer-facing offerings. By doing so, they can embed themselves in more transactions—from banking products they don’t already offer, to home, auto, consumer goods purchases, travel and other non-banking services. Through its partnership with OnDeck, for example, JPMorgan Chase offers small businesses loans that lie outside its traditional risk appetite. Even new challenger banks like Starling in the UK are adopting a marketplace strategy, where they offer third-party products on their app, in addition to their own current accounts. The extreme version of inbound open banking would be to only offer third-party products, making money from orchestrating a full platform-based business to improve customer service, build customer loyalty, generate new fees and lower operating costs—without the ‘bank’ having its own balance sheet.
More and more bank executives are seeing Open Banking as an opportunity rather than a threat. But seizing that opportunity requires mastering both the art of interdependence and bilateral trade. It requires investing to regenerate the bank and open up to third parties, creating value from both export and import flows, and differentiating the brand within and beyond financial services.
I invite you to read our report, The Brave New World of Open Banking, to learn more.
The post Banking born again: The power of Open Banking bilateral trading appeared first on Accenture Banking Blog.
Wall Street bank #Goldman #Sachs will be setting up a #trading #desk for #cryptocurrencies like #bitcoin, with the desk set to be up and running by the end of June 2017. Cryptocurrencies are notorious in the financial world for their volatile price surges and dips — bitcoin, for instance, is down 25% as of 9am […]
Bank Innovation
EXCLUSIVE — #Cryptocurrency #exchange platform #Cobinhood #goes #live today, as it gears up to launch its first digital wallet in the coming months. The online platform already has 40K signups, according to its Chief Executive Popo Chen, who told Bank Innovation the goal behind the platform is to allow traders more return on investment (ROI) […]
Bank Innovation
Fast growing alternative banking app #Revolut confirmed this week that it had raised $ 66 million in a Series B Round, and said it would be adding #cryptocurrency #trading and a new #wealth #product. As Bank Innovation reported earlier this month, the London-based startup was on pace for a big fund #raise. In a news release, […]
Bank Innovation
Free stock-#trading app #Robinhood is exploring virtual currency trading on its platform, according to co-founder Vlad Tenev. “We are looking at it, a lot of customers have been interested and are requesting the feature [like this reedit user], so it’s definitely something we are taking a look at,” he said today during the Future of […]
Bank Innovation
From paper ledgers for #trading to straight-through processing, #Seth #Merrin has been a leader in #Wall #Street #technology.
Tom Groenfeldt – Financial Technology
Global consultancy EY and New York #blockchain startup Paxos are partnering on new solutions for the #gold market.
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