FinTech

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    Do six per cent of financial transactions sent via the Swift system really fail?

Do six per cent of financial transactions sent via the Swift system really fail?

In May 2019, Brad Garlinghouse, CEO of a San Francisco based (but Delaware registered) fintech firm called Ripple Labs gave a presentation to the 9th High-Level Conference on the International Monetary System. The small audience included Christine Lagarde (then chairman of the IMF) and the heads of several central banks. He described a problem in the world financial system […]

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    Blockchain governance: the system is not immune to capture by interest groups

Blockchain governance: the system is not immune to capture by interest groups

All blockchains have rules that govern their operations. As blockchains evolve, they may need to change their rules. Blockchain governance refers to the system in place through which decisions regarding the evolution of the blockchain are made. The question of blockchain governance is at the heart of a burgeoning debate in the blockchain community, where different governance systems are […]

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    ICOs: raising money by issuing cryptocurrency, with less regulation

ICOs: raising money by issuing cryptocurrency, with less regulation

Back in the day — I remember it well, it was only ten years ago! — when a large company wanted to raise money it would almost certainly issue equity or debt. These securities would then be exchanged with investors for the relevant currency, with the investors expecting higher cash flows in return at a later date. From my desk […]

The Financial Conduct Authority asks robo-advisors for more

The UK’s financial regulator has recently reviewed the offerings of the ‘robo-advice’ sector. The results, whilst superficially not encouraging, suggest teething problems rather than deeper underlying issues. In the report released in May, the Financial Conduct Authority (FCA) noted that online discretionary investment managers were not communicating risk in a clear way, lacking transparency on pricing and failing to […]

Digitalisation of work: blessing for some, curse for others

It is a commonplace that we live in the age of disruption. The latest trend towards digitalisation is set to accelerate changes in the workplace and transform the labour market perhaps irreversibly. Current debates on the digitalisation of work concern the extent and degree to which advanced technology such as robotics, artificial intelligence, machine learning and algorithmic decision-making could […]

Blockchain and bitcoin: In search of a critique

One of the few things that has grown as fast this year as the price of cyptocurrencies, such as bitcoin, is the number of books available about them, along with blockchain technology and their many derivatives. There are now in excess of 500 books available on Amazon on these topics. These books include excellent technical guides like “Mastering Bitcoin: […]

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    Robo-advice in ten points – asset management on the cusp of dramatic change

Robo-advice in ten points – asset management on the cusp of dramatic change

The asset management industry is currently in a state of flux, and the manner in which individuals and institutions interact with their wealth managers is on the cusp of dramatic change. Digitisation and increased use of technology should mean that we are at the point of a low-cost revolution. This is likely to impact job security in financial services […]

The bitcoin fork: What’s happening

Background

For the past number of years we’ve been hearing a lot about bitcoin – how the technology of a blockchain, coupled with certain restrictions and incentives for various parties, could produce a viable currency, independent of either physical collateral or the authority of a state. In many respects it would seem that bitcoin has been a success. Now when […]

The exploding popularity of RegTech

Following on from our piece on WealthTech – we look at the rise and rise of RegTech (previously known as regulatory technology.) RegTech is a subclass of FinTech, and concerns the use of technology to create efficiencies in financial services for issues regarding regulatory reporting and compliance.

The graph below shows that, if nothing else, the term has exploded in […]

Seven signs of over-hyped Fintech

In 2015 Dan Davies wrote an excellent guide to Fintech business models (the “Fin”) that provided a very effective tool for looking beyond the hype. The other side of Fintech that the non-technologist (and even many experienced IT professionals) have trouble with is the actual “Tech”.  A great many people in finance have now reached the point where they […]