A global currency is coming, whether you like it or not
Continuing yesterday’s discussions about a big bank’s conference, I was intrigued at how often the subject of cryptocurrencies and bitcoin came up. But there again, it’s a topical thing at the moment with the price of bitcoins surging past the $4,000 mark and Goldman Sachs going against JP Morgan, and saying that they might even trade in it. The conversation at this particular large bank’s meeting went along the lines of bitcoin being a broken model, it’s a bubble and you should definitely not invest in it. The reason for not investing is based upon two major factors.
Capture a tailwind on future fintech
Fintech continues to dominate the conversation in financial services. But fintech is merely a tool. And like any tool, it is only as effective as the skillset of the craftsman who wields it. In the case of these new technologies, the industry’s ability to capture the greatest benefit of this tailwind rests largely on having highly educated and experienced people leading the innovation revolution.
Fintech and Financial Services: Initial Considerations
A new wave of technological innovations, often called âfintech, â is accelerating change in the financial sector. What impact might fintech have on financial services, and how should regulation respond? This paper sets out an economic framework for thinking through the channels by which fintech might provide solutions that respond to consumer needs for trust, security, privacy, and better services, change the competitive landscape, and affect regulation. It combines a broad discussion of trends across financial services with a focus on cross-border payments and especially the impact of distributed ledger technology. Overall, the paper finds that boundaries among different types of service providers are blurring; barriers to entry are changing; and improvements in cross-border payments are likely. It argues that regulatory authorities need to balance carefully efficiency and stability trade-offs in the face of rapid changes, and ensure that trust is maintained in an evolving financial system. It also highlights the importance of international cooperation.
Hong Kong â Building Trust Using Distributed Ledger Technology
This paper aims to explain briefly what DLT is, and indicate the technologyâs transformative potential, describe what selected overseas jurisdictions have been doing to explore DLT, describe the present state of DLT exploration in Hong Kong, suggest an initial framework for Hong Kong to build up a DLT ecosystem and suggests potential DLT use-cases in Hong Kong for medium-term consideration. The paper takes its lead from the financial services implications of DLT â from which perspective DLT is a dimension of FinTech and also a digital currency. In that sense, blockchain strategy is one element of FinTech strategy. However, DLT has implications far beyond financial services, which the present paper also seeks to address.
Discussion Paper on distributed ledger technology
We use this Discussion Paper (DP) to start a dialogue on the potential for future development of DLT in the markets we regulate. We are particularly interested to explore where the balance of risk and opportunities may lie in relation to DLT. Following this DP, we look forward to further engagement through public events, supervisory work and the various channels we have to interact with the Fintech industry.
Digital payments – Analysing the cyber landscape
In this thought leadership, the authors examine the digital payments ecosystem from a lens of readiness of framework for adopting the technology, emergence of new industry (Fintech), security and preventive measures that an Indian citizen needs to take before taking a leap of faith in the digital world, and measures to avoid frauds.
Fintech: A More Competitive And Innovative European Financial Sector
This consultation seeks input from stakeholders to further develop the Commission's policy approach towards technological innovation in financial services. It seeks input in terms of stakeholders' perspectives on new technologies' impact on the European financial services sector, both from the perspective of providers of financial services and consumers, and whether the regulatory and supervisory framework fosters technological innovation in line with its three core principles of technologic neutrality, proportionality and integrity. The feedback will help the Commission to gauge how FinTech can make the EU Single Market for financial services more competitive, inclusive and efficient.
Applying Blockchain to Post-Trade Derivatives Processing
Post-trade derivatives processing is a complex and integral part of everyday global financial markets. As blockchain-inspired technology for financial services continues to mature, post-trade infrastructure providers are collaborating with the industry to explore how it can be used to increase the efficiency of systems and processes underpinning the global derivatives markets.
The devil is in the detail: SEC regulation of blockchain technology
Blockchain technology has captured the imagination of the financial services industry. Unfortunately, the adoption of the technology is impaired by a lack of clarity from regulators, including the U.S. Securities and Exchange Commission (“SEC”), on how the technology will be regulated. Many firms in the financial services industry believe blockchain technology can be adapted for use in traditional financial services transactions in a way that can reshape the model of executing trades. But the success of blockchain technology will be impacted in large part by how the SEC elects to regulate platforms that use the technology. The devil will be in the details.
IOSCO Research Report on Financial Technologies (Fintech)
This report is the result of extensive collaboration among different IOSCO Committees, with overall coordination by the Vice Chair of the CER.. The Report studies the evolution of Fintech and its intersection with securities market regulation in alternative financing platforms, retail trading and investment platforms, institutional trading platforms, distributed ledger technologies, fintech developments in emerging markets and regulatory considerations.
Look Out Fintech: Bumpy but fruitful road ahead
Are investors running out of patience to see tangible results from fintech? 2017 could be a year of reckoning for fintech companies if they do not begin turning over profits. The much-hyped cycle of fintech may get a dose of commercial reality, as financial services business leaders shift their immediate focus toward tangible business solutions while keeping innovation and automation on their long-term agenda.
Four Blockchain Use Cases for Banks
This whitepaper sets out four potential use cases for banks including reduction of fraud, KYC, trading platforms and concentrating on the last use case of payments, in considering the possibility of utilising blockchain technology in banking.
Draft Report on FinTech: The influence of technology on the future of the financial sector
A draft report on FinTech: the influence of technology on the future of the financial sector reported by: Cora van Nieuwenhuizen from the Committee on Economic and Monetary Affairs.
The White House, Donald Trump, Wall Street and FinTech
For those who weren’t looking, you might have missed the release of the Framework for FinTech white paper released by the White House last Friday. It’s the output of the work performed by the National Economic Council’s Adrienne Harris and her team, who I’ve been delighted to support.
Applications of Blockchain Technology: To Banking And Financial Sector In India
In this White Paper, we explore Blockchain similarly â as an abstract data structure and development platform to solve generic problems in FinTech.
How to spot a half-baked blockchain
About 18 months have passed since the finance sector woke up, en masse, to the possibilities of permissioned blockchains, or to use the more general term, “distributed ledgers”. The period since has seen a tsunami of activity, including research reports, strategic investments, pilot projects, and the formation of many consortia. No one can accuse the banking world of not taking the potential of this technology seriously.
