As Europe moves to open banking the US begins testing principles of data sharing between banks and fintechs. Source
Simility, a machine learning adaptive fraud prevention product, raised $17.5mn from PayPal, The Valley Fund and Trinity Ventures; the company helps to prevent fraud and abuse in real time using machine learning and big data analytics; Rahul Pangam, Co-Founder and CEO of Simility, tells Crowdfund Insider, “Digital disruption in the financial and commerce sectors has resulted in the need for a fraud and risk management solution that goes beyond legacy.”; the company plans to build out data science teams and continue expanding globally. Source.
Mastercard announced the new service, Assemble, will allow Mastercard partners to provide checking, budgeting and other money management tools; partners can choose from a white label version or integrate certain functions through an API; the product is geared towards millennials and is part of a wider trend in the market; Tom Cronin, Mastercard's senior vice president of global prepaid product development, said “This technology enables our partners to deliver best-in-class digital experiences today, as we work to address additional segments such as gig economy workers and underserved consumers and micro businesses.” Source.
Industry experts such as Matt Harris (Bain Capital Ventures), Dan Ciporin (Canaan Partners Partners), Andy Weissman (Union Square Ventures) and others share what 2018 may look across fintech; perspectives included span payments, lending, Amazon vs. JPMorgan, M&A, asset management and funding. Source
The lawsuit by the New York Department of Financial Services aimed at blocking the OCC Fintech Charter has been thrown out; Judge Naomi Reice Buchwald stated, "Since the OCC has not reached a final ‘fintech charter decision,’ defendants’ … motion is granted as plaintiff has suffered no injury in fact … and because plaintiff’s claims are not ripe."; it is possible that they could attempt to re-sue once the fintech charter is created. Source
Machine learning and predictive analytics have started to make a real difference in the VC world when it comes to finding investments; VC’s typically traveled a lot and met with thousands of companies to find a few investments; by using machine learning to break down troves of data, like job postings or performance in the App Store, investors can find potential gems without the same laborious effort; VC firms are investing in tools to help them refine searches and comb through thousands of companies quickly; increased computing power and cheaper ways to rent server capacity has really helped VC’s, even the small firms, use these techniques every day. Source.
The $5tn mutual fund manager announced that they have successfully tested blockchain technology to automatically update data on index funds; types of data in the test included names and share prices of companies in index funds; the company stated they are not looking to blockchain to replace workers but give them more freedom to focus on other tasks; Vanguard follows other big name firms who have tested uses of the technology recently. Source.
- Braviant Holdings Announces Launch of Chorus Credit Personal Loans
- Kasisto Raises $17M in Series B Funding
- Lion Rock Fintech Raises HK$50M in Funding
- PPDai and Sun Hung Kai & Co Announce Joint Cooperation
- South Korean Banks Drop Crypto Accounts as Government Plans a Ban
- Regions Bank Increases Prime Lending Rate
- Moody's: Some consumer ABS sectors to have weaker collateral performance due to pockets of borrower stress and weaker underwriting
- USAA’s Heather Cox is blurring the lines between business and technology
- Can a BBVA spinoff crack the digital ID code?
- Bitcoin: Electrifying Investment, Lousy Currency
American Banker shares a slideshow of the various moves banks have made in consumer lending this year; some banks featured include Barclays, PNC, Capital One and TCF. Source
Overstock CEO Patrick Byrne is exploring options to sell the retailer and use the proceeds to start a digital global property registry; Mr. Byrne would be teaming up with Hernando de Soto who says that formalizing land rights can help to stop poverty; they are looking to use the blockchain to list ownership records, this would make it easier to trace them back to the right owner and account for less forgeries; the new company, De Soto, would start in early 2018 and use more than 10 Overstock employees. Source.