by Florin Oprea
Abhimanyu Ghoshal – The Next Web
Stripe announced that it’s launching its payment gateway and processing service in India, after roughly seven years in operation in 25 countries. The company is right to enter India now: as the company noted in a blog post, the country now counts about 500 million internet users, and saw more than twice the number of new businesses start as the US in 2016.
FAO: The battle for India has begun. Let’s see: Paypal announced the launch of domestic operations in India last month, and you don’t want to forget about India’s Paytm (backed by Alibaba) plans – here.
Joyce Chen – The Standard
Tencent Holdings president Liu Zhiping said the company is investing in some private educational institutions concerned with artificial intelligence. AI is an unavoidable trend, and so computer coding should be taken as a core course, Liu said.This came after the company’s chairman Pony Ma Huateng said that education sector had great development potential.
DNT: And he’s right! AI will definitely have a big role in education, especially in financial sector.
FAO: Interesting! Now, check what Mark Cuban had to say last month about China, Russia and the AI race…
Michael J. Coren – Quartz
Everyone wants a piece of Silicon Valley. Few can get it. If you’re just a new venture investor arriving in Silicon Valley, it’s a long climb to the top. It’s even steeper if you’re an institutional investors from overseas. None of that stopped Chinese magnate Shan Xiangshuang from creating the largest seed fund in Silicon Valley in just three years.
FAO: A profile of Shan Xiangshuang and his Valley’s Hone Capital. Since the launch in 2015 the fund has placed more than $40 million in at least 350 companies.
Via Digital News Asia – Ant Financial appointed Cherry Huang as General Manager, Cross-Border Business For SSE Asia Alipay
DNT: Previously Huang had the role of Head of Marketing & Operations of SE Asia in the same company, as we are informed.
ASIC has announced a Cooperation Agreement with Canadian regulators on fintech cooperation. This agreement expands the existing framework for information sharing and also allows the referral of innovative fintech businesses to and from Canada.
Lalita Clozel – The Wall Street Journal (subscription)
John Heltman – American Banker
A New York District Court judge threw out a lawsuit by the New York Department of Financial Services that sought to block the Office of the Comptroller of the Currency’s attempted fintech charter, saying the charter doesn’t exist yet so the suit is premature.
Issac John – Khaleej Times
Developments in mobile payment technology and the introduction of blockchain technology in the UAE have ignited the public interest in fintech, the UAE Ministry of Finance said. Younis Al Khouri, Undersecretary of the Ministry of Finance, said that the ministry has been committed, and would pursue its commitment to support and explore ways to increase innovation within government and finance more broadly.
FAO: No day without a country in the Middle East and its plans for fintech. What did I say yesterday?
Fintech is definitely a game-changer but, according to eShopWorld’s Thomas Nyholm, it won’t destroy banking.
DNT: Check also our yesterday’s bulletin. – Analysis Section. We had a very good story about the evolution of fintech and the issues related to banks.
FAO: Ref. to a Bloomberg article we added yesterday in our “Other news” section, article called “Fintech Listed As Emerging Risk To Financial Stability In Report”, and signed Julie Verhage, we have received the following opinion from our reader & friend Jeff Kutler, Editor in Chief, Global Association of Risk Professionals, Senior Contributing Editor, Institutional Investor:
“Yes, fintech risk was highlighted in the DTCC’s latest Systemic Risk Barometer. In October, however, DTCC published a full paper on Fintech and Financial Stability (check HERE). That and other 2017 pronouncements on the subject from the Financial Stability Board and International Organization of Securities Commissions (IOSCO) are cited in an article published in GARP Risk Intelligence on 2 November, “DTCC Weighs In on Fintech and Its Risks.”
There are reasons to be alert to the risks of disruptive innovation, and regulators around the world are on the record about it.
Consider the remarks of Ravi Menon, head of the strongly pro-fintech Monetary Authority of Singapore, at the Singapore FinTech Festival on 14 November: “FinTech developments are forcing regulators to review the way regulation is done. If FinTech is unbundling the financial services value chain, then regulators may have to ‘unbundle’ their regulations too. I suspect, increasingly, we will have to take a more risk-specific approach and an activity-based approach with respect to FinTech. This means: Setting thresholds for when regulation kicks in; calibrating regulatory requirements to specific risks; and applying these requirements to activities rather than entities.” (check speech HERE)
Here is another article, CFTC and OCC: Proactive on Innovation, published 1 December, on how U.S. regulators are navigating the line between supervision and innovation, including words from the new Federal Reserve vice chairman Randal Quarles on the need to “judge [innovations’] ramifications for the safety and soundness of the institutions we supervise and for financial stability.”
FAO: Florin Adrian Oprea, Editor-in-chief FinTech Daily News
DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News