Erik De Kroon

Great points by Simon Taylor with Fintech Brainfood today. https://lnkd.in/exv88eWy "Most payment professionals still rank Stablecoins relatively low on their priorities. Yet, they rank global acceptance and the challenge of being international as the highest or near highest. I put it to you that you're systematically not paying enough attention to the weak signals in this market because of personal biases, lack of usefulness in your context, or distaste for anything with a proximity to Crypto. That's a recipe for disruption." 10x is probably underselling. Stable coins and payments in general are the most obvious answer to mainstream application in fintech/financial services due to the magnitudes of gains in efficiency. Sure there are AML concerns, but this can actually be fairly easily solved with KYC'd wallets. Additionally, ACH kiting, which really plagued the fintech ecosystem as challenger banks started to scale would be impossible on the blockchain.

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Having started Propel Holdings thirteen years ago, today I am proud to announce an important milestone. We are accelerating our global expansion with the acquisition of QuidMarket, one of the UK’s leading digital fintech lenders serving the more than 20 million underserved UK consumers. The acquisition is expected to be immediately accretive to our adjusted EPS* and a critical step in our journey to becoming a global leader.    United by a shared purpose, together we will build a new world of financial opportunity for consumers globally.    For details on the acquisition, please see the full release including important information relating to forward-looking statements included in this post.   *Adjusted EPS is a non-IFRS financial measure. Please see “UK GAAP & Non-IFRS Financial Measures” in the full release for an explanation of why we use Adjusted EPS and a description as to how we define and calculate Adjusted EPS. FULL RELEASE: https://lnkd.in/gVfHJUkr

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Big thanks to Modern Lender for the opportunity to discuss MagiClick Digital's work in the mortgage technology space and our focus on reimagining digital experiences for lenders, brokers, and borrowers. 👉 You can read the article here: https://lnkd.in/eGDxBdjY #mortgagetechnology #digitaltransformation #fintech

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🤦‍♂️. App downloads ≠ monthly active users (#MAU) And: MAUs ≠ transactional accounts with salary mandates / regular income (ie profitable) I think I have 10+ payment / banking apps installed on my phone that I haven’t clicked on this year, let alone this month… https://lnkd.in/dZBEcqws #champion #challenger #neobanks #fintech #payments

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10x Banking have launched a NEW category of core technology...META CORE! 🚀 👏 🏦 10x’s new platform allows banks AND system integrators for the first time to focus dev resource only on high-value code by abstracting away common product elements as well as the core ledger ITSELF. 🌐 💹 As a result, the new 10x platform only requires a bank to create and maintain as little as 2,000 LINES of code for a SINGLE customized banking product – up to a 10x reduction in code base compared to neo core platforms and up to a 10,000x reduction compared to legacy core 👨‍💻 Antony Jenkins CBE, 10x Banking founder and CEO said, “10 years ago banks knew they had to go on a journey of transformation. Good progress has been made in some areas but one of the challenges that has emerged is that even the newer technologies come with their own set of problems. The ‘meta core’ provides banks with the best of all worlds: flexibility on the one hand and unlimited scalability on the other hand. The benefits are much faster speed to market, enterprise-grade security, the ability to unlock data for AI, and a lower cost base. Neo cores have created part of the solution, but we have taken it to the next level.” “From my experience, running a bank is all about managing risks, and we’ve designed our meta core to specifically remove the key risks that banks face when upgrading their core. 10x Banking is the first company in the world to offer a ‘meta core’, and for the first time gives banks a clear roadmap to full transformation.” Find out more on the link below! 👇 Alice Thomas ThoughtLDR Frederico Venturieri Nicole Sanders Okan Ozaltin Arianne Rosmolen-Dickinson #10xbanking #fintechnews #digitalbanking #corebanking #AI #cloudbanking #bankingtechnology #fintechnews #digitalroadmap

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Roland Butler’s lighting talk this week emphasised that the customer’s context not being your context. He told a great story about how the product people inside Just Eat’s shiny office built a complex kebab configurator widget, while their customer on the Shanklin Road in reality offered its hungry diners a choice simply of “big kebab or small kebab?” (And I’m guessing 95% went with big) This really resonated, as by coincidence earlier in the day I was designing a CRM system for a client for whom I’m doing some sales strategy consulting, and I added a field to the account record called “Maslow status”. Let me explain. 10 years ago at eBay a sales trainer (the excellent Barry Hilton) gently noted hat we were swanning round talking to our retailer prospects about delightful customer experiences and their brand’s digital future. As a business making glorious amount of cash, and filled with energetic fresh-faced MBAs, we naturally gravitated to this language of “self actualisation”, right at the top of Maslow’s hierarchy. So we failed to recognise that many of our prospects were much more in survival mode. Our manner sometimes rankled, and we failed to spot when our prospects needed an earthier pitch focused on simple money through the tills. No doubt there are B2B AI firms similarly mis-positioning themselves today as they focus on the future rather than near term commercial impacts. So if you’ve just closed your series B and are sipping latte in Shoreditch designing an app to help people through the cost of living crisis, get out there and spend time with your customer to better understand what their context is really like. Good product people always seek empathy with their customers, and being clear on where you are in the hierarchy and that they might be somewhere different will help you design, market and sell a product that resonates better. And thank you Paul Pechey for putting on these talks, and thanks also to the other great speakers Rachel Booth , Diogo Coutinho and Cecilie Einarson Pérez

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Rachel Reeves and the Treasury have pledged to "embrace" the fintech sector, which could contribute an astonishing £330bn to the government’s coffers over the next five years! According to a policy plan by Innovate Finance, shared with City A.M., the fintech industry is poised to deliver £328bn in tax revenues by 2029. This growth hinges on unlocking institutional investment and streamlining data policies. “Fintech is one of the most obvious drivers for growth in the UK,” said Janine Hirt, Innovate Finance CEO. She emphasized the need for government support through smart data legislation, reviewing payment reimbursement schemes, and focusing on innovation. Despite recent funding slowdowns, the UK remains a global leader in fintech, second only to the US. With strategic support and investment, we can maintain our edge and continue to drive innovation, inclusion, and economic growth. The future of UK fintech looks bright, and with the right support, it will undoubtedly be a powerhouse for our economy. Let’s embrace this opportunity and drive forward! #Fintech #SearchChainPartners #Innovation #EconomicGrowth #UKLeadership

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This is an interesting article about the successes and failures of the likes of Starling, HSBC and NatWest in FinTech. The article is split into three parts: Software licensing : where Starling's new service called 'Engine' has taken on the likes of Thought Machine and Mambu. Going from service provider to technology company worked very well for Ocado, but will it also work for Starling? The banking software market is vastly more competitive than the grocery delivery software business was so it may be hard Payments and FX : UK banks tried to launch Monzo / Revolut / Wise killers in the past but all of them failed so far. Building a new brand is hard and given how fast they have pulled the plug on previous initiatives it is not obvious that the banks are sufficiently determined to succeed which wouldn't bode well for HSBC's latest effort Zing Embedded finance : NatWest launched Box claiming their "strongest licencing credentials, a trusted brand and a modern technology platform" will put them in a strong position. The winners in embedded finance will be vertical specialists that offer end-to-end solutions tailored to their target vertical(s). Banks don't normally do vertical solutions so this one is looking tough for banks as well In short, banks' opportunities in none of these three areas are looking too good at the moment. https://lnkd.in/ekXTmYE6 #baas #embeddedfinance #embeddedbanking

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𝐏𝐫𝐨𝐝𝐮𝐜𝐭 𝐕𝐞𝐥𝐨𝐜𝐢𝐭𝐲 𝐚𝐭 𝐌𝐨𝐧𝐳𝐨 𝐢𝐧 𝟐𝟎𝟐𝟒 🚀 🌊 Monzo Bank is pushing boundaries with a wave of innovative product launches this year, from enabling Apple Pay for Monzo Flex to enhancing 360-degree credit insights with TransUnion, Equifax, and Experian! 🎯 Whether it's empowering users to manage spending, boosting credit health, or adding next-level fraud protection, Monzo's approach is all about value-driven growth and customer-centricity. 🌐 By tapping into partnerships with SAP, Google Cloud, and even rewarding customers via Greggs & Trainline, Monzo is redefining the digital banking landscape and proving that innovation isn't just about new features—it's about creating a connected ecosystem.  _____________ Curious to dive into how Monzo is leading the fintech revolution with its product-led strategy❓ Want to uncover more insights to track the pulse of the products launched by digital players like Monzo❓ Get exclusive insights and data-driven analysis on our website. Subscribe to our newsletter for weekly updates and unlock premium research with our membership plans here ➡️: https://lnkd.in/gFQ5fY-a via WhiteSight #fintech #digitalbank #digitalpayments #credit #savings #Monzo

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Monzo Bank's FY24 results are in, and they've hit a 𝐦𝐚𝐣𝐨𝐫 𝐢𝐧𝐟𝐥𝐞𝐜𝐭𝐢𝐨𝐧 𝐩𝐨𝐢𝐧𝐭. Diving deep into the numbers reveals three key drivers behind its impressive growth: 1. Customer Expansion 👤 Monzo's customer base grew from 7.4M in FY23 to 9.7M in FY24, including a doubling of business accounts from 200K to 400K. With 46% of new customers acquired through word of mouth, this organic growth highlights strong customer satisfaction and brand loyalty. 2. New Product Innovations 🆕 The launch of products such as tax-free savings ISAs has attracted 1.3M customers. Monzo Flex (a novel credit card/BNPL hybrid), and overdraft facilities offer higher interest rates and greater financial flexibility. A significant 42% rise in card spend—from £33.6B in FY23 to £47.8B in FY24—demonstrates heightened customer engagement and trust, solidifying Monzo as a preferred choice for daily transactions. 3. Enhanced Profitability and Financial Strength 📈 Monzo’s profit before tax hit £15.4M, marking its first full year of profitability. This milestone underscores effective cost management, diversified revenue streams, and scalable operations. With gross revenue surging 2.5x to £880M, Monzo’s successful monetisation strategies and strong market demand are evident. At the same time, customer deposits soared by 88% to £11.2B, reflecting growing customer confidence and reliance on Monzo as a primary banking institution. Future Growth Trajectories: Strategic Focus Areas 🎯 Monzo aims to expand its consumer base to 11M by FY25, leveraging organic growth and innovative marketing strategies. It plans to venture into mortgages and go deeper into business lending, indicating significant headroom for product diversification and revenue enhancement. Moreover, Monzo's strategic entry into Europe, with an Irish HQ, and exploration of the US market, signals an ambitious geographic expansion plan to unlock new growth avenues.  ___________________ 𝐓𝐡𝐢𝐬 𝐢𝐬 𝐣𝐮𝐬𝐭 𝐚 𝐭𝐚𝐬𝐭𝐞 𝐨𝐟 𝐭𝐡𝐞 𝐢𝐧𝐭𝐞𝐥 𝐲𝐨𝐮'𝐥𝐥 𝐮𝐧𝐜𝐨𝐯𝐞𝐫 𝐰𝐢𝐭𝐡 𝐚 𝐖𝐡𝐢𝐭𝐞𝐒𝐢𝐠𝐡𝐭 𝐑𝐚𝐝𝐚𝐫 𝐬𝐮𝐛𝐬𝐜𝐫𝐢𝐩𝐭𝐢𝐨𝐧. Supercharge your Fintech IQ with exclusive reports, industry trend breakdowns, and expert analysis on everything shaping the future of finance.  Become a member and steer your business course with actionable intelligence on the winning strategies of leading fintechs - because knowing what's next is the ultimate competitive advantage ➡️: https://lnkd.in/gVfE8Cwg via @WhiteSight #fintech #digitalfinance #digitalbank #profitability #payments #lending #Monzo

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A great question here.

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NEO BANKS – UK IS TYPICAL OF NEO BANK FAILURE Start-up banks are not new – there have been five groups since 1990. The latest are Neo banks usually founded from 2014 onwards – the 2008/12 group have all but vanished… a big clue! UK new players Atom, Monzo, Starling and Revolut launched 2013/15 Today, none have scale so important in banking, none making consistent profits so important to ensure consumer Trust and keep a banking license “A decade after these fintechs burst on to the scene, they have arguably succeeded in their mission of setting new standards for digital banking…” “…consumers are using neobanks as a convenient payment management service, rather than as a replacement for traditional current accounts” Only 6% UK consumers use neo bank exclusively - no USP! SECURITY & COMPLIANCE RISKS “..the ability to quickly open accounts and make transfers has also proved a boon for criminals. Britons lost £1.2bn to financial fraud last year..” “…start-ups struggled to scale up their anti-financial crime capacities at the same speed they were attracting new users… new sanctions imposed..2021 increased the amount of due diligence banks had to conduct..” “There cannot be a trade-off between quick and easy account opening and robust financial crime control,” FCA “…compliance has also raised concerns” Revolut has more complaints than all other Fintech’s combined NEO BANK TEST “But they are now being tested in a downturn..” “The plentiful venture capital that financed their heady growth… — is drying up” “Global fintech investment has dropped by nearly 50% in 2023..” “Investors in fintechs are increasingly scrutinising the neobanks’ differing business models and assets, looking for proof they can be durably profitable and attract sufficient deposits to fund lending” “….high-street banks have raised their game by upgrading their own digital banking services, with the result that about 60% of adults living in Britain now use a mobile banking app, up from 33% in 2015 NEW ‘DIGITAL’ BANKS JP Morgan launched September 2021, has 2 million customers with avg deposits £27,000 (US$29,084) well above Neo Banks That’s more than Monzo Bank and Starling Bank togther Goldman Sacs another ‘legacy’ player launched in UK 2018, now has 1 million customers JP Morgan and Goldmans are growing at a much faster rate than Neo Banks at the same stage GLOBAL GROWTH In 2020 242 Neo-banks existed as VC's pilled in, the number swelled to 450 by 2022 – while 139 failed in 2022-24 A recent report questions the future especially profitability, so essential in banking. Simon-Kucher report is stark “Of 400 neo banks in the world, less than 5% are breaking even.....several are in the cash-burn zone losing as much as $140 per customer annually.” “..neobanks recognise they will not survive at scale and be sustainably profitable without a two-sided balance sheet.." https://lnkd.in/gT_je9Ux

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As anyone who follows #payments on this channel would be well aware, there's a decent barny going on about how much it costs to pay for something - how much it costs merchants, costs consumers, costs the economy. There's no shortage of interested parties including the #banks, Mastercard, the Reserve Bank of Australia, various worded up pollies, Independent Payments Forum on behalf of SMEs and a bunch of others. Brad Kelly All payment mechanisms have costs, whether cards, cash, cheques or digital wallets but the crucial issue is are those costs being allocated efficiently for economic productivity or are there unjustified profit pools payment services providers or merchants are extracting rents from? Keen to hear all views - as is the RBA which is reviewing the situation as the debate heats up #surcharging + Commonwealth Bank writes down Klarna stake; ANZ bond issues continue; who is investing in Aus fintechs? Techboard Square Peg Airtree; Australian Prudential Regulation Authority rejigs regulation; will Apple tap-to-pay benefit #crypto? All in our free weekly Capital Gains newsletter https://lnkd.in/g8BNU4Wb

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I will be attending the #TechEU summit in #london on the 16th and 17th May. Thank you to the Endeavor Spain team for setting up the one-to-one meetings with interesting companies and we look forward to fostering #venturedebt #assetbasedlending, #m&a, and #equitylisting opportunities. #privatedebt #privateequity #alternativefinance #alternativeinvestments #venturecapital #privateplacement #saas #fintech #insuretech #mobility #logistics #healthtech #latinamerica #europe #usa #canada #mena #funding #startups #startupfunding #investmentbanking #corporatefinance #alunaunderwriting

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#embeddedfinance The benefit should be obvious for the customer. Embedded Finance - is not a product, it is instrument enabling customers to achive their goals. In SteadyPay we experimented a lot with our embedded partners (like neobanks Pockit and ANNA Money) to make it clear. The better conversion (10%+) we got when we launched preapproved credit limits available immediatly. Without any redirection. With simple flow and conditions. #partnerships #embeddedlending #openbanking #neobanks

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Traditional P2P marketplaces often involve intermediaries who charge hefty fees for facilitating transactions. Blockchain cuts out these middlemen, significantly reducing transaction costs. At Fisheez, we offer a sliding scale fee structure based on the price of the item being sold. Compared to eBay's 15% fee, our top rate is just 8% for a $10 item, dropping to only 0.5% for high-value items like real estate. Users with good reputations get additional discounts, and holders of our TideTurner NFTs enjoy major perks, including big discounts of up to 100% off on service fees and 50% off advertising costs. Explore how our innovative fee structure can save you money and make P2P transactions more efficient and fair. How much do transaction fees affect your decision to use a marketplace? Share your experiences and preferences in the comments below! #chainlink #ecommerce #blockchain #polygon #community

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Starling Bank's SaaS platform Engine could generate hundreds of millions of pounds a year for the UK digital bank, propelling it towards a £10 billion valuation, predicts investor Chrysalis. Engine is an API-based, cloud native platform initially built by Starling’s own in-house tech team to run the UK bank. In 2022, Starling began offering Engine to other lenders, promising to help them quickly launch new digital services or to replace legacy systems. The platform has so far only secured two clients, Salt Bank in Romania and AMP Bank in Australia. However, Starling's second largest shareholder, investment trust Chrysalis, is expecting Engine to become a significant source of revenue. The core banking transformation market is heating up. Starling is not the only bank spinning off its technology. It joins other dedicated vendors such as Mambu and Thought Machine as small and medium banks undergo rapid transformation programs. #digital #corebanking #transformation

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June Updates from The Bank of London! 📢 🚀 We’ve been so busy building that we’re a tad late with the June product updates, please find a summary of what we have been up to!! ✨ API Enhancements: - Create, edit & manage physical accounts - View virtual accounts and transaction histories - View, edit & cancel direct debit mandates via API. 🔒 🖥️ Online Banking: - We've now launched the ability for clients to utilise two-factor authentication apps within our online banking experience. - We've further digitised the onboarding experience for authorised payment service providers with agents. - Customers now have an enhanced payments search and payee management experience. - Customers can now receive in-app, SMS & e-mail notifications for a number of different client scenarios. All personalised to your preferences. The velocity & significance of our change is starting to grow & we’re all excited to continue to keep building for prospects & clients alike. Charlotte Bullock / Dan Turdean / Andy Day / Tom Spence / Nanna Bergmann

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My comments in the article: "I take these stories as a hopeful sign that #fintech is beginning to emerge from the doldrums, as investors devote more capital to the sector. Sequoia has been a long-term investor in Stripe, so this further round can be seen as an expression of confidence in its future growth, as well as providing a liquidity opportunity to other investors. The valuation is still down from the peak, but going in the right direction. Klarna's IPO is also an expression of confidence in its future. Both firms are unquestionably leaders in their space, and if there is a turnaround in fintech, this is where you expect to find it: starting with the largest and most commercially successful companies." #payments #VC #IPO

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