BI Intelligence What’s really going on in financial technology?
Financial technology, or “fintech” for short, is threatening to turn traditional financial fields like banking, lending, asset management and insurance upside down.
New firms are using new mobile, social and digital technology to find new customers and offer them new financial products that meet their needs in a fast-changing world.
All this “new” is exciting…but disruptive and disorienting, too. Surprising new opportunities are coming fast and furious. So are crushing disappointments.
For instance, these positive fintech developments were announced in the last few weeks: Fintech funding is accelerating—it surpassed expectations by growing 96% YOY
Ping An, China’s second largest insurer, has become the first Chinese firm to join the blockchain consortium R3 and partners like Goldman Sachs and Barclays
In just 3 months, mobile app newcomer Revolut has processed over $300 million in foreign exchange transfers
Sallie Krawcheck, former CFO of Citigroup, launched Ellevest, an automated investment platform aimed at women But in the same time span, we’ve seen surprising negative fintech news: Alternative funding giant Lending Club is being investigated by the US Department of Justice, the stock cratered and the CEO resigned The UK financial regulator (FCA) has been asked by a group of MPs to provide more detail on the risks and opportunities presented by peer-to-peer (P2P) lending and "related markets." This inquiry could lead to further and more significant regulation that could potentially stymie the growth of the industry in the short-term. Number26, a German digital-only bank, closed hundreds of accounts last week because customers were reportedly making too many ATM withdrawals, resulting in rising costs for the bank. UK marketplace lenders may only originate $0.7 billion in 2025, down from $4 billion in 2015. This forecast from Deloitte is a worst-case scenario, but highlights two key factors of […]
