posted by Collin Canright on April 19, 2017 - 11:21am
Chicago FinTech executives and developers celebrate, examine, and help create the future of money and finance through a series of events April 24 – 30. As the week approaches, Chicago takes the fifth spot in a new list of global financial technology hubs, based on FinTech innovation research by Deloitte.
Congratulations to Jason Henrichs and the team at FinTEx Chicago for their hard work over the year to bring Chicago's financial technology firms and heritage to the attention of the international marketplace. I look forward as well to further work in backing blockchain by the State of Illinois and its Illinois Blockchain Initiative.
On to this week's links. . .
Five key takeaways from Innovate Finance
During the two-day conference in London, FinTech startups and finance experts met to discuss the future of fintech and the latest in blockchain technology. Among the key themes that arose during the discussion ranged from the using blockchain to digitize identity and payments to the widespread adoption of APIs.
How private markets are killing public equity
A new Duke University paper outlines the impact of private capital investors on public equity. The deregulation of private capital and its increased accessibility have decreased the value of going public, which has led to a steep decline in IPOs and a shrinking number of U.S. firms listed on stock exchanges, according to Institutional Investor.
Consumer payment preferences are shaping tomorrow’s retail landscape
In a piece for PaymentEye, Andrew Quartermaine walks readers through payments’ shift toward meeting consumer demands and how retailers are seizing opportunities within that shift. And with that shift will come less cash usage. “Accepting payment methods across channels allows retailers to capture more comprehensive customer information, which can help build a picture of customer behavior – aiding loyalty programs, powering personalized service and supporting retailers as they look to differentiate themselves and create an enhanced omni-channel customer experience,” Quartermaine writes.
London keeps hold of global FinTech lead—but these are the global cities hot on its heels
According to City A.M., Chicago was the highest new entry in its ranking of top FinTech hubs. It came in fifth place ahead of Hong Kong, which ranks under New York and Silicon Valley. “The UK has long been a leader when it comes to fintech and so it’s great to see our position is unchanged. It does, however, highlight the prominence of other cities vying for a slice of the pie," City of London policy chairman Mark Boleat tells City A.M.
Over 50? Welcome to the new frontier of FinTech
Yes, banks and FinTech firms are vying for the attention of the digitally savvy millennial generation, but the 50-and-up age group makes up 35 percent of the U.S. population, and they have brought in $11.6 billion in revenue in 2017 for traditional banks. In a post for Finovate, David Penn argues that ignoring this age group’s financial needs could mean money left up for grabs.
ICBA urges OCC to rescind FinTech proposal
The Independent Community Bankers of America urged the OCC to require the same regulations that community banks adhere to for FinTech firms and not give such firms a special charter. The special charter, the ICBA says, will not be conducive to fostering responsible innovation. The letter comes at a time when big banks like JPMorgan Chase and Wells Fargo have continued to make large, private gains and engage in risky behavior. “No wonder the Federal Reserve Bank of Minneapolis and the Government Accountability Office have concluded that the "too big to fail" problem persists,” writes Camden R. Fine in American Banker.
THE BLOCKCHAIN WATCH
Cryptocurrency boom predicted by bitcoin market data CEO confirmed, trend ‘set to continue’
The cryptocurrency market has hit its high point, according to Forbes. Bitcoin remains top dog in the field, but overall market capitalization could soon outpace bitcoin by a wide margin. But investors should store their crypto assets securely, because the gains built up over time could very well disappear.
Cambridge Center for Alternative Finance publishes first global cryptocurrency study
The researchers found that the cryptocurrency market is larger than previously expected. More than half of the small exchanges have government licensing and between 5.8 million and 11.5 million wallets are estimated to be active today.