Brazil Adopts Consortia, Indonesia Eyes CBDC – Is this the Central Banks' Turning Point?
Brazil Adopts Consortia, Indonesia Eyes CBDC – Is this the Central Banks' Turning Point?
Future of Fintech - Edition #100 (1st-8th Jan)
Brew-tiful Beginnings: Sip into the Future of Fintech #100 🎉
As we kick off the new year, we're not just celebrating resolutions and gym memberships we'll probably abandon by February. In fact, we're raising our mugs to the century mark – yes, you heard it right! Welcome to the dazzling 100th edition of our Future of Fintech newsletter! 💯
Just like a century in cricket signifies a ton, or a 100th anniversary marks a milestone in love, we're celebrating our 100th edition with an avalanche of fintech excitement.
And how do we kick off this milestone? Brace yourselves because, in true centennial style, we're unleashing the ultimate Top 100 Fintech Reports of 2023 - each packed with key stats, trend revelations, and game-changing developments! Click away on the links provided to unlock the gateway to fintech's future. 👇
4 Bonus Reports from WhiteSight:
The Future of Financial Services and Trust in the MENA Region via Brankas X Arab Financial Services X WhiteSight
The State of Banking-as-a-Service in the UK & Europe via Toqio X WhiteSight
Stripe’s Economic Infrastructure Playbook via WhiteSight
Apple’s Embedded Finance Playbook via WhiteSight
Here's to a century of financial revolution – sip, savour, and let the fintech magic unfold! 🪄
This Tuesday, brace yourselves for a journey through the sizzling world of fintech in Asia and the Middle East. We've got the hottest headlines and game-changing moves that refuse to take a break. 🚀
Fin-teresting Stories in Fintech 📰
Data Drama in Full Bloom: CFPB's Battle for Transparency and Innovation
In the unfolding saga of open banking regulations, the Consumer Financial Protection Bureau (CFPB) has taken centre stage, to usher in a new era of transparency and competition in the US banking and payment sector. However, the proposed rules, demanding financial service providers to allow consumers selective data sharing, have triggered a storm of concerns. The Clearing House Association and the Bank Policy Institute raised their voices, arguing that these rules lack crucial safeguards, risking the exposure of sensitive consumer financial data. They call for a ban on screen scraping, propose direct compliance requirements for third parties, and seek clarity on liability definitions. To balance the scales, they suggest allowing data providers to charge for sharing, making the system economically viable.
On the other side of the coin, the American Fintech Council introduced a subplot, fretting that these rules might cast a shadow on the spotlight of innovation and growth. As the regulatory curtains rise on this gripping drama, the destiny of consumer data security and financial sector innovation dangles in the suspenseful balance.
Now, unveiling Edition #100 with some centennial scoop – because every byte counts in our journey to fintech bliss! ♨️
Here's the TL;DR
Major players are grabbing headlines with a payment-centric approach: HSBC revealed intentions to introduce Zing, an international payments app, starting in the UK. Meanwhile, Walmart broadened its collaboration with Affirm, integrating its buy now, pay later option into self-checkout kiosks.
Pioneering product and process perfection via potent partnerships, Hakbah, a fintech savings platform based in KSA, joined forces with MENA's open banking platform Tarabut to streamline and enhance savings procedures. Simultaneously, LPBank chose Finastra, NGS Equipment and Communication Joint Stock Company to modernise its treasury capabilities.
In a dual effort to reshape the digital landscape, NetCents and Worldpay partnered to propel the widespread adoption of digital assets. Meanwhile, TransUnion strengthened its TruAudience® marketing solutions by introducing an upgraded identity graph, offering enhanced identity resolution and robust demographic enrichment.
Central banks worldwide made headlines last week, with the Central Bank of Brazil notably incorporating consortia into the Open Finance ecosystem. Additionally, Bank Indonesia confirmed its intentions to explore a central bank digital currency (CBDC) in 2024.
To boost financial accessibility and services, embedded finance platform Netbank partnered with Sprout Solutions to streamline salary advances, aiming to boost employee well-being. Simultaneously, Nubank Colombia secured formal approval to operate as a Financing Company in the country.
For the longer read, let's get going –
Enter the exhilarating world of Embedded Finance, where fintech players embark on a mission to expand their horizons - both in scope and scale.
Drive now, pay later fintech Bumper completed a $43.7M Series B fundraise taking its total investment to date to $58M. The new funding will be used to expand Bumper’s reach and technology as it seeks to become the dominant payment platform for car dealers across Europe, most notably the UK, Spain, Germany, the Netherlands, and Ireland.
Triterras, a fintech startup focused on trade finance, collaborated with Oman-based Mamun to bolster the trade finance and short-term lending landscape in the Sultanate of Oman. The collaboration will initially target the MSME finance sector in Oman, with a specific emphasis on the food and beverage industry.
Immerse yourself in the dynamic realm of Open Finance, where joining hands was the name of the game to expand the magic of open finance to all nooks and crannies of the financial realm!
Digital identity provider OneID joined forces with credit reference agency AperiData. This partnership combines the unique bank-verified identification of OneID® with the transformative real-time consumer credit insights of AperiData that power instant, responsible and ethical credit decisions.
Saudi Arabia-based Open Banking API provider SingleView teamed with Alinma Bank to provide Open Banking solutions to corporates, institutions and individuals in the Kingdom. The move allows the bank’s clients to access their account information and financial transactions, among other services.
Immerse yourself in the dynamic realm of Digital Finance, where global players are sending ripples through the financial floor with impactful strides.
Dave neobank reached an agreement with FTX Ventures Ltd. to purchase a convertible promissory note that it previously issued to FTX in the original principal amount of $100M, for a discounted purchase price of $71M. FTX filed a motion in its bankruptcy proceeding seeking approval of the agreement, which is scheduled to be heard on January 25, 2024.
Weyay, Kuwait Kuwait-based digital bank, received the title of the “Fastest Growing Digital Bank” in Kuwait from Mastercard, an honour bestowed during the Mastercard Mena East Business Forum in Dubai. This accolade comes in recognition of Weyay’s steadfast dedication to innovation and its role as a pioneer in Kuwait’s burgeoning digital banking industry.
Embark on an epic Fintech Infrastructure odyssey, where Indian financial maestros were seen stealing the spotlight with their game-changing manoeuvres!
BaaS startup Decentro launched 2 innovative modes for bank account verification namely - Penniless Bank Account Verification (BAV) API and Reverse Penny Drop or Penny Pull Verification.
The Reserve Bank of India (RBI) awarded a payment aggregator (PA) licence to Tata Payments. The licence will allow the digital payments app of the Tata Group to facilitate e-commerce transactions through its platform,.
Dive into the pulsating world of DeFi, where countries' central authorities are turbocharging the fintechaverse by swiftly handing out licences to players.
The Central Bank of Nigeria granted the Africa Stablecoin Consortium (ASC) approval to introduce Compliant Nigerian naira stableCoin (cNGN) within its regulatory sandbox. According to the ASC, the cNGN will complement Nigeria's payment platforms, paving the way for advancements in the utilisation of the Central Bank Digital Currency's (CBDC) regulatory framework and open banking.
The Monetary Authority of Singapore (MAS) granted a Major Payment Institution (MPI) licence to Upbit Singapore. The MPI licence will enable Upbit Singapore to expand its digital asset business in alignment with Singapore's high regulatory standards.
Fintech Circle secured a Digital Asset Service Provider licence with the French Financial Markets Authority, AMF. Circle’s objective is to have its European operations brought under comprehensive EU oversight with both a full DASP and EMI licence, as well as to bring its products and services into compliance with the forthcoming Markets in Crypto-Assets (MiCA) regime.
Enter the arena of Green Finance, where industry titans not only sustain green funding but also effortlessly navigate the landscape of eco-conscious regulations.
The International Bank for Reconstruction and Development (operating under the banner of the World Bank), issued a new benchmark bond with a maturity of five years and a value of CAD 1.4B - set to mature in January 2029. These bonds will play a crucial role in funding sustainable development initiatives, projects, and programs within member countries of the IBRD.
The Reserve Bank of India rolled out a comprehensive 'Framework for Acceptance of Green Deposits,' guiding financial institutions in raising funds for green activities. The framework brings more clarity to the role of the financial sector in mobilising resources for green activities while ensuring the allocation of funds toward sustainable initiatives.
And that's a wrap 👋
We hope you enjoyed this edition of the Weekly Fintech Brew!
If you're hungry for more fintech insights, check out some of our other work at WhiteSight.
Our latest publications include –
2023 Roundup: The Surge of Card Issuing Innovations by Payment Processors
2023 Roundup: SoftPOS Takes the Stage for a Swipe-Free Serenade
If you're someone who likes to read think pieces, you will likely love our monthly blog, Fintersections, where our team members analyse the convergence of fintech with the world.
Fintech research is in the WhiteSight DNA, so if you'd like to get in touch for features, sponsorships, and content marketing services, reach out to us at hello@whitesight.net.
And lastly, to stay updated on everything fintech and web3, follow us on LinkedIn and Twitter, and don't be shy to show some ❤️