Digital Bank

Jun 23, 2015

Banks as Value Systems Integrators

I regularly use the line that banks will become Value Systems Integrators, but haven’t blogged about this much, so here’s the explanation. Banks have historically controlled the value chain of finance from deposits to credit. Because of this, banks have become control freaks, believing they have to build and manage everything. It’s the reason why…

Jun 22, 2015

Question: change the bank or launch a new bank?

So I was talking about the big challenges of creating a Digital Bank, and am reminded of the approaches that banks take to do this. The first is the hardest, and it’s the one I described last week: transformation. A transformational bank process – where the whole bank’s business model is turned on its head…

Jun 19, 2015

Three key steps to becoming a Digital Bank

I had a fascinating conversation with a bank about digital strategies, and am now well versed in my approach. A bank has to redesign itself from the ground up to be digital. It’s not a channel or an add-on, but fabric and foundation of the new way to bank. Old systems that process in batch…

Jun 18, 2015

Digital banks think differently

Six years ago, when #innotribe first started at #sibos, we were given the chance to pitch an idea. My team’s idea was to integrate the trust you have built in the social network into the financial credit scoring system, and give you a trust score that could be leveraged by the bank. We didn’t win…

Jun 17, 2015

If I call you and you pick up next week, am I happy? So why do I accept this for a payment?

I often sit and think about the claim from my bitcoin friends that they’ve invented money without government. I’ve blogged about it quite often too. The reason it is of so much interest is that if the blockchain and bitcoin can circumvent the financial system and the banks, then we really are in transformational times. …

Jun 16, 2015

The Digital Bank Debate Continues

I mentioned a few weeks ago that we had a great twitter debate between Brett King and Michal Panowicz, with others joining like Jim Marous and myself. The debate is now being staged live at Next Bank New York tomorrow. It’s not so much a rumble in the jungle but a wrinkle-in in Brooklyn. Anyways,…

Jun 8, 2015

Banks question Fintech disruption … and ask the wrong question

I recently attended a conference in America, where the audience of mainly bankers could post questions to the speaker. During the digital bank discussion, here are the questions that came in and, purely because they are fairly common in everyday dialogue, I thought I would post and answer the questions here. Most are related to…

Jun 3, 2015

Building the new financial marketplace

I introduced the business model debate about banks yesterday, as the discussion always comes back to the new competition. Who are the new competition? Are they the upstart fintech startups or are they Google, Amazon and brethren? The answer is it’s both, but I wouldn’t worry about Google, Amazon and co as much, as they…

Jun 2, 2015

Will banks be laid low by a killer blow from new competition and regulation?

I regularly talk about the business model of banking and how it’s changing. The business model is based upon three things: Manufacturing, which runs the product and services innovation and administration centres in the back office; Processing, which focuses upon operational excellence in processing orders from front office through back office; and Retailing, where the…

Jun 1, 2015

FIDO needs more vision for digital identities

The real way to crack the onboarding and criminal activity is to create strong and secure digital identities. We are moving in that direction, but it’s a long slow process. For ages now, I’ve written about getting rid of passwords and improving authentication using mobile technologies: Why is KYC so difficult? AML prevention lies in…