Date: November 13, 2019 Location: Cipriani South Street, New York, New York Join the leading institutional conference focused on digital assets and crypto market infrastructure. BlockWorks Group Presents DAS: Markets Speakers include: Adam White, COO, Bakkt Catherine Coley, CEO of BAM Trading Services, Binance.US Michael Sonnenshein, managing director, Grayscale Investments Sunayna Tuteja, head of digital assets and […]
News Comments Today’s main news: Barclays buys stake in MarketInvoice. N26, Revolut are coming to America. Zopa raises 44M GBP for new bank. China private equity funds suffer. Linked Finance ink 10M Euro in loans in Q2. Today’s main analysis: The states where payday lending charges almost 700 percent interest. Today’s thought-provoking articles: PeerIQ’s MPL Securitization Tracker. Debut of the […]
Can N26, Revolut conquer America? The presence of N26 and Revolut in the U.S. would up the competitive game. They’ve proven themselves in Europe, but the U.S. market for digital banking hasn’t taken off. Can the European challenger banks entice Americans to get on board? It will be interesting to watch.
Revolut and N26 will be launching in the US soon, but what sort of market will they be entering? How are local banks adapting their offerings to suit younger users? And what will be the impact of the newly-announced bank charters for fintechs?
OCC Asserts its Authority and is Open to Accepting SPNB Charters
Immediately following the report, Joseph Otting, Comptroller of the Currency, announced that the OCC would start accepting applications from “fintech companies that are engaged in the business of banking but do not take deposits.”
An SPNB can engage in a limited range of banking or fiduciary activities like credit card operations, taking deposits, paying checks, lending money, community development, or cash management activities. The policy is a significant development as companies with the Fintech charter would be able to perform banking activities like lending and payment processing nationally.
Who are the Likely Winners and Losers?
The long-term winner of the charter is the US consumer who will benefit from greater competition, innovation, and access to credit. Payments companies that seek to compete with Visa/Mastercard also stand to benefit. Lenders that qualify for the charter may also have a competitive advantage. Payments arms of firms like Google, Apple, Amazon and PayPal would fit the profile, as well as large non-bank lenders that can demonstrate sustainable profitability de-risked their business models. Fintechs that have liquidity, funding, or going-concern risks will struggle to obtain charters.
The Office of the Comptroller of the Currency is threading a tricky needle.
It has affirmed that it plans to evaluate fintech charter applicants based on their fair lending efforts, but it’s pulled back on specifics for how that process might work. That has made some consumer groups nervous.
But before we allow fintech firms to bound over the regulatory mound, it’s important to take a hard look at why we regulate the financial services sector so thoroughly to begin with.
Many also claim that fintech will bank the unbanked and lead to financial inclusion. The only thing standing in the way of all of this change and disruption, many claim, is overbearing government regulation.
Fintech companies now have the federal option they have long sought after the Office of the Comptroller of the Currency green-lighted firms to apply for a special-purpose bank charter. But winning OCC approval on charter bids will not be a walk in the park.
One day after the OCC announcement, some fintech firms signaled clear interest in the charter. But the agency’s decision also prompted a slew of additional questions, including whether firms would be able to meet the regulator’s tough criteria, and whether state regulators would continue to fight
POS payments provider Square is still interested in pursuing a bank charter, but how? It may be more challenging given that the company will be paying more attention to its customer-facing prepaid products like Square Cash and its Cash Card, according to CEO Jack Dorsey in the company’s earnings call yesterday.
Some short-term loans cost over 20 times more in interest than the average credit card. And yet one in 10 Americans have used them.
In the U.S. today, these loans are a $9 billion business. In the past two years, 11 percent of U.S. adults say they’ve taken out a payday loan, according to a recent survey of approximately 3,700 Americans that CNBC Make Itperformed in conjunction with Morning Consult.
Equities analysts expect Elevate Credit Inc (NYSE:ELVT) to announce sales of $203.49 million for the current fiscal quarter, according to Zacks. Two analysts have made estimates for Elevate Credit’s earnings, with the lowest sales estimate coming in at $201.00 million and the highest estimate coming in at $205.97 million. Elevate Credit reported sales of $172.85 million in the same quarter last year, which indicates a positive year-over-year growth rate of 17.7%. The business is scheduled to announce its next earnings report on Monday, October 29th.
Renewing longstanding opposition to industrial loan charters, the Independent Community Bankers of America urged the Federal Deposit Insurance Corp. to impose a two-year moratorium on such applications.
Lenders One Cooperative, a national alliance of independent mortgage bankers, announced that Michael Kuentz has been promoted to the role of Chief Executive Officer of Lenders One by its Board of Directors. Mr. Kuentz previously held the title of President. In his new role, he will assume responsibility for Lenders One’s day-to-day operations and strategic execution as well as continue to lead and manage the cooperative’s sales effort.
Details were not disclosed, because we live in the age of secrecy, but the bank says the deal is a key part of its plans to invest in new business models for growth, and MarketInvoice’s ambition to broaden its reach across the UK.
Yesterday Sky News reported that those same two, Accel Partners and Balderton Capital, are among a group of Wonga investors that have agreed to inject a further £10M (~$13M) into the business to help fund compensation claims related to its past censured practices.
Chinese alternative asset managers have become the latest casualty of the country’s crackdown on debt and financial risk, with a record number of private equity and hedge funds dissolving in recent months as new regulations limit their fundraising.
In the first six months of this year, the Asset Management Association of China (Amac) — a government-controlled industry body — “lost contact” with 163 private fund institutions, more than 70 per cent of the total for which contact was lost for 2017.
For example, banks’ balance of loans to farmers stood at 30.95 trillion yuan ($4.53 trillion) as of the end of 2017, up 48.2 percent from 2013. The balance of lending to small and micro-sized businesses stood at 34.74 trillion yuan in 2017, up 73.1 percent from 2013, according to Feng.
Linked Finance, an Irish peer-to-peer (P2P) lending platform, recorded its strongest quarter to date in the three months to the end of June, facilitating over €10.1m to Irish SMEs.
This followed on from a strong start to 2018, with total lending for the year now more than €18.7m, up 65pc on the same period in the previous year.
The increase in lending is down to both the volume and size of loans. The number of loans that went live on the platform rose by 39pc in the period to 335, with average loan size up 19pc to almost €56,000.
Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ: ASPS), a leading provider of services and technologies to the mortgage and real estate industries, today announced the appointment of Justin Vedder as Chief Operating Officer, Origination Solutions.
When the Reserve Bank of India first brought out a discussion paper on peer-to-peer lending in April 2016, it said that there were 30 such start-ups in the country. It then proceeded to fashion a set of rules for the nascent but fast growing sector and came out with regulations in October 2017. Key among them was a requirement that peer-to-peer lenders register with the RBI.
Nine months since, only five of these lenders are registered in the ‘NBFC-P2P’ category, according to RBI data available until June 30, 2018.
A Japanese firm listed on the Tokyo Stock Exchange recently unveiled loans that can be collateralized by three digital assets, namely Bitcoin, Bitcoin Cash and Ethereum. As of now, the maximum amount borrowable is capped at 300 million yen (approximately $2.7 million).
Currently, the loan limits range from a minimum of 20 million yen ($180,000) to a maximum of 300 million yen ($2.7 million). The default repayment period is twelve months, although there are provision for extensions. The interest rates for these loans start from 7% to 155 annually, inclusive of commissions and extensions charges. If a lender fails to repay the loan in time, they will liable to a delinquency charge of 20% per year.
WE believe, in time, all real estate assets will reside on the blockchain – this is the grand vision of real estate entrepreneurs Julian Kwan and Alice Chen. The married couple – who co-founded Singapore-based real estate crowdfunding platform InvestaCrowd – has created a new product: RealFuel,
It’s difficult to ascertain much information about the people behind IMDEX. The company appears to have some connection to a Korean company called Techton Soft that was established in 2016. The Techton Soft website indicates that the company specializes in investment trading solutions, peer-to-peer lending, artificial intelligence, and cryptocurrency exchange. The Techton site states that the company has 10 employees, making it a rather small operation, and lists a man named SangHyun Kim as the CEO.
News Comments Today’s main news: PeerStreet funds $1B in loans. Elevate Credit celebrates 2M non-prime customers. Assetz Capital raises rates. Australian government lends $700K to HashChing. Plaid expands into Canada. Today’s main analysis: Fintech gave brick-and-mortar SBA lender an edge. Today’s thought-provoking articles: How much mortgage borrowers can save by shopping around. Competition is pushing banks to change strategies. Millennials dominate […]
PeerStreet, an award-winning platform for investing in real estate backed loans, today announced that one billion in loans have been funded through its marketplace since launch. This announcement comes after the company announced the close of its $30 million Series B last month.
Elevate Credit, Inc. (NYSE: ELVT) (“Elevate” or the “Company”) today announced it has served more than two million non-prime customers in the US and UK, saving them more than $3 billion versus the cost of payday loans. Elevate’s three products, RISE, Elastic and Sunny, employ advanced data and analytics to provide safe access to small-dollar credit to the two-thirds of Americans who cannot get personal unsecured loans from their banks.
We calculate the Mortgage Rate Competition Index weekly as the median spread between the lowest and highest APR offered by lenders in our marketplace.
Across all purchase loan applications on LendingTree for the week ending May 13, 2018, the index was 0.66, up 0.03 from the previous week.
How big of a deal is it to get a mortgage rate that’s 0.66% lower than the competition? Over 30 years, that could translate to $30,617 in savings on a $300,000 loan —over 10% of the total loan amount (see Mortgage Savings Tracker graphic below).
The spread between the lowest median APR offered by mortgage lenders and the highest rate increased last week.
That’s according to the LendingTree Mortgage Rate Competition Index which analyzes rates offered by lenders on its platform. The spread for purchase loans increased from 0.23 a year ago to 0.66 last week and was up 0.03 from a week earlier.
For refinances the spread was 0.71, up from 0.67 a week earlier.
The financial technology company plans to issue more than 34 million shares priced between US$21 and US$23. It’s scheduled to price the shares after the market close Thursday. At the midpoint price, GreenSky may raise as much as US$748mln.
The fintech has received US$560mln in funding from big-name investment firms such as PIMCO, TPG, Iconiq Capital and Fifth Third Bank.
The Office of the Comptroller of the Currency is shaking up the world of short-term lending by encouraging banks to offer high-interest rate loans to subprime borrowers as an alternative to payday lenders.
In a major break from past regulators, Comptroller Joseph Otting said Wednesday that he wants banks to originate loans of $300 to $5,000 to borrowers with FICO scores of 680 or below, with few other parameters beyond “sound underwriting.” The new OCC guidelines could open a $90 billion market to financial institutions.
The Pew Charitable Trusts today praised the Office of the Comptroller of the Currency (OCC) for formally encouraging banks to offer their customers safe, affordable small-dollar installment loans.
Millions of American adults, many of whom are low income and have damaged credit, spend more than $30 billion a year to borrow small amounts of money from payday and other high-cost lenders that operate outside the banking system. Pew research indicates that, given the opportunity, 8 in 10 payday loan borrowers would prefer to get credit from their banks or credit unions.
U.S. consumers are more devoted to their mobile phones than their automobiles.
The sea change has taken place over the last few years as mobile devices become an integral tool not just for communication with loved ones or employers, but also everything from banking to dating to watching TV and listening to music. As cars grow relatively less important, borrowers struggling to pay back their loans on time are increasingly prioritizing payments on the latest iPhone instead of making sure they hold on to their pickup or coupe.
Radius Bank, a virtual bank focused on providing clients with banking solutions to better financial health, announced on Tuesday the launch of its new rewards program that offers enhanced benefits, such as increased transaction limits and cash back opportunities, for loyal customers.
According to Radius Bank, the rewards program is tiered into three levels based on criteria such as personal deposit balance and the longevity of the relationship clients have had with the Bank.
Add Seacoast Banking in Stuart, Fla., to the list of community banks that now believe in working with fintechs.
Seacoast, which became a SmartBiz client late last year, booked $700,000 of gains from selling SBA loans in the first quarter, tripling what it reported a quarter earlier and surpassing its total for all of 2017 by 40%.
Kleffel, who said loans generated through SmartBiz hit 127% of targeted volume in the first quarter, predicted that the effort should allow Seacoast to become one of the SBA’s top 100 7(a) lenders for the fiscal year that ends on Sept. 30. To do so, Seacoast would likely have to increase year-over-year 7(a) originations by more than 60%, according to SBA data.
CREXi — the CRE stands for “commercial real estate” — has been around since 2015, but recently announced an $11 million Series A as well as some interesting user numbers. Key investors include Jackson Square Ventures, Manifest Investment Partners, Lerer Hippeau, Freestyle Capital, TenOneTen Ventures and Founder Collective. The company has managed more than 100,000 “properties brought to market” on its platform and they have 200,000 users per month. They see more than 6,000 properties listed on the site each month.
New Enterprise Associates, Inc. (NEA) today announced that Jonathan Golden has joined the firm as Partner. Golden, an experienced technology investor and the first product manager at Airbnb, will be based in the firm’s Menlo Park, Ca., and San Francisco offices. The firm also named Matthew McAviney, M.D., Tak Cheung, M.D., and Santhosh Palani, Ph.D., as Principals on the healthcare team.
As an active angel investor, Golden has backed numerous early-stage companies including Bowery Farming, Coinbase, Everlane, Funding Circle, and Tile, among others.
Trelix quality control and other due diligence products and services across the loan origination and securitization lifecycle, today announced the launch of its closing services solution that helps mortgage lenders efficiently and properly execute and settle their loans. With the addition of closing services, Trelix now provides a full suite of end-to-end fulfillment services for its customers.
UK-based peer-to-peer lending platform Assetz Capital announced last week its first ever rate rise across its access accounts. The online lender reported that the rate increase, which takes effect from 1st May 2018 until further notice, will take target interest rates for the Quick Access Account and 30-Day Access Account from 3.75% to 4.10% and from 4.25% to 5.10%. Assetz Capital also revealed both new and existing investors will benefit from the target interest rate boost, and it applies to both ISA-wrapped and non-ISA accounts.
Further evidence of the optimism and ambition of the event comes from the business deals and opportunities that are created among this group of people. For example, Dan Rajkumar, chief executive of White Label Crowdfunding and Rebuildingsociety, and co-founder of the event, has announced the win of a new customer, AGPeer, which is launching a new peer-to-peer lending platform targeted at the agriculture sector.
Headed by Klarna veteran Pär Isaksson, the startup offers established banks – not exactly known for their innovative zeal – a one-stop-shop for streamlining their mortgage lending online, from user interface to operations.
The service is planned for launch in Sweden this fall, to be followed by the rest of the Nordics during 2019. To execute on that, the company is now raising 10 million Swedish krona ($1,2 m) from a number of profiles in Swedish finance, including Swedbank’s former CFO Göran Bronner.
It has become apparent that the space is evolving in a way that will see new technologies have an outsized impact in the next few years, according to a reportfrom Temenos and The Economist Intelligence Unit. Additionally, the report examined the impact of open banking and how banks are shifting their business models, among other things.
Here are some of the key takeaways from the report:
Tech and digitization will have a bigger impact than regulation. Forty-eight percent of banking executives think new technologies, such as blockchain and AI, will have the biggest impact on retail banks through 2020, while only 43% are most worried about regulatory fines.
Though open banking initiatives are the center of many recent stories, only 13% of respondents think those initiatives will have the biggest impact on retail banks.
In terms of evolving their business models, 61% of banks want to develop niche propositions for their own customers, followed by 54% wanting to maintain their own products and become an aggregator of third party-products, and 53% opting to open their services to third-party developers.
During the recent Milken Institute conference debate, Alex Mashinsky really stood out as a harsh critic of the traditional banking system, and a strong believer in the future of cryptocurrency. He recently had the ICO for his crypto lending platform Celsius Network, but his involvement in the tech world dates a few decades back. In the 1990s, when Alex invented VoIP (Voice over Internet Protocol), he strongly believed that internet calls through a decentralized protocol could disrupt the business model of phone companies. It is now used by over a billion peopleacross the globe.
Vlad: About that, just a few weeks ago I was thinking that cryptocurrency could replace all the functions of a bank except for that of lending money to other parties. I guess it’s so much easier to follow tradition and go to the bank to get a loan each time you need a large amount of money. But then I saw you debating at the Milken Institute Conference. I found out about Celsius and was amazed that someone found a solution around it. So can you tell me how these crypto loans work?
Alex Mashinsky: They work exactly the same way as in the case of banks. There’s no magic involved, we’ve implemented a cryptocurrency-driven system which follows the same principles you find in a bank, only that you can deposit or lend funds in ways that are more stimulating from a financial perspective. We are fairer, more transparent, and operate on the blockchain.
The Idap.io, which is a shorter name for the International Digital Asset Platform, has been planning to transform the cryptocurrency market with its new projects and ideas.
What Is International Digital Asset Platform?
This platform is a derivatives instrument that lets you access assets of the market by clicking. It has many tools that you will help you to find the best investments that you can make in the market and discover why you should make them.
You will be able to access crypto pairs, swaps, ICO venture funds and even P2P lending via this new platform.
HashChing, a Sydney-based home loan marketplace, has just announced a $700,000 loan from Jobs NSW. Deputy Premier and Minister for Small Business John Barilaro said the NSW Government had backed the Fintech which is expected to create 46 jobs over the next five years.
The country’s third-largest brokerage Zerodha has received a lending licence from the RBI, and is now gearing up to launch operations by June end.
Loan against a security, be it a movable or immovable asset, is an age-old practice. While banks have traditionally occupied the largest piece of the lending pie in this space, there are others like non-banking finance companies that are also establishing themselves.
Loans against shares have been a popular product in the retail category, but of late, these loans seen some degrowth. Clocking a growth rate of 21.5 percent in FY2015, the growth of loans against shares grew by 16.5 percent in FY2017, according to the RBI Bulletin.
Several digital lending startups have been receiving a unique set of visitors in recent months: Chinese lending companies looking to set shop in the country. At least half a dozen Chinese financial-technology companies have held multiple meetings with the founders of digital lending startups in India for investment as well as partnership opportunities, according to domestic entrepreneurs involved in those discussions.
Chinese lenders facing regulatory heat in China due to
1 Restriction in lending rates
2 No fresh licences being given out to lending startups
3 Credit bubble causing ballooning NPAs
Sectors the Chinese could be interested in
1 Consumer lending
2 Instant personal loans
3 Peer-to-peer lending
Late last year, Chinese regulators cracked down on the micro-lending space, tightening lending rates to 36% annualised and withholding new licences for online lending startups.
After registering to borrow money on Tima.vn, a reporter, who acted as a borrower, was told to send some necessary documents via Zalo or Facebook. He was informed that he would have to pay the interest rate of 18 percent per annum to the company, not including the consultancy fee.
The reporter, when contacting vaymuon.vn, was told that he would have to pay the interest rate of 1.5 percent per month, plus the fee of VND2,000 a day for every VND1 million worth of loan, and the interest rate and fee may change at different moments.
The borrower was also warned that if he cannot pay debts, the lenders will be able to take necessary measures to collect debts – making public about the debt, selling the debt to third parties or suing before the civil court.
News Comments Today’s main news: Kabbage to launch payment services. Funding Circle SME Income Fund limited force signal moves past key line. Zopa boosts TruFin results. DEPO launches to help lenders accept digital assets as collateral. Qudian stock drops 16.5%. Today’s main analysis: Deep dive into MFT 2018-2 vs. AVNT 2018-A (A MUST-READ). Today’s thought-provoking articles: Credit score improvement […]
Kabbage to launch payment services. AT: “Expansion is a good thing, and Kabbage has been making some great strides lately. Of course, there are a few ways to expand. Expanding services is just one of them, but a very important one.”
MFT 2018-2 vs. AVNT 2018-A. AT: “A very good, deep look at Marlette’s MFT 2018-2 securitization and Avant’s AVNT 2018-A. A great comparison. A must-read.”
GreenSky’s IPO is online lending litmus test. AT: “A very good look at GreenSky’s value versus LendingClub’s and Prosper’s. We can debate why the two latter have had struggles since their IPOs, but the industry is maturing now and GreenSky’s IPO could signal a new wave of online lending IPOs. If it does well, a floodgate could open. If not, the doors may shut for a long time.”
Decentralized lending: Is it too good to be true? AT: “A sober look at a new buzzword. Lenders should be cautious about jumping on the decentralized bandwagon and throwing about a word that might be misleading or confusing. If your lending business is truly decentralized, fine, but is that really a distinction that can drive value?”
Kabbage Inc, a U.S. online lender for small businesses, plans to launch payment processing services by year-end, President Kathryn Petralia said on Monday, helping it to diversify and compete more directly with industry leaders PayPal Holdings Inc and Square Inc.
The Atlanta-based startup will offer tools to enable clients, mostly brick-and-mortar businesses, to accept card payments in-store and online, Petralia said in an interview.
This week we compare 2 very different MPL personal loan securitizations – Marlette’s MFT 2018-2 Prime deal and Avant’s AVNT 2018-A Near Prime deal.
AVNT 2018-A has lower average loan size by $6,435, shorter weighted average loan terms by 9 months and higher WAC by 16.28%. This is a reflection of the quality of borrowers that Avant and Marlette target. Marlette’s prime borrowers have higher weighted average FICO scores by 59 points than Avant’s near prime borrowers. The geographic distribution is quite similar between the two deals.
Bond Characteristics and Pricing
The significantly higher WAC on AVNT 2018-A leads to a 14.8% pickup in excess spread. KBRA’s base case loss estimate is 7.4% higher on AVNT 2018-A, which leads to a 7.4% higher loss-adjusted excess spread on AVNT 2018-A.
AVNT 2018-A has 3.3% lower O/C which is compensated by 14.8% higher excess spread. The A tranches have similar CE in both deals but Marlette’s A is rated one notch higher.
The introduction of tighter underwriting criteria continues to pay off for the online consumer lender Avant.
The company, which was founded in 2012 and is based in Chicago, was able to lower the credit enhancement, again, on its latest securitization, the $221.9 million Avant Loans Funding Trust 2018-A.
Kroll Bond Rating Agency assigned an A- to the $149 million senior tranche of notes to be issued, which benefit from 38.42% credit enhancement. That’s down from 41.8% on the comparable tranche of its prior transaction, completed last year.
LendingTree today released its study on the top places with rising credit scores. With credit scores being a crucial component of personal financial stability and opportunity, LendingTree analysts decided to look at anonymized My LendingTree users who logged into their accounts in both the first quarter of 2017 and the first quarter of 2018 to determine the top metros for rising credit scores among the 50 largest in the United States.
Below are some of the key takeaways from the study.
Jacksonville, Indianapolis, Denver and Tampa saw the highest rate of rising credit scores among the 50 biggest metros from Q1 2017 to Q1 2018.
Virginia Beach, Va., Los Angeles and Birmingham, Ala., had the lowest rate of rising credit scores, with 47 percent of Virginia Beach users raised their credit scores.
San Jose (Silicon Valley) saw the most dramatic rises in credit scores, with the highest rates of people who raised their score by more than 75 points and 100 points.
In the majority of the 50 metros analyzed, more than 50 percent of users improved their credit scores between Q1 2017 and Q1 2018.
About one in three increased their scores by over 20 points, and 3.5 percent were able to improve their scores by 100 points or more.
It wasn’t long ago that online lenders were ascendant. More than $3 billion in capital from investors as diverse as Japanese conglomerate SoftBank GroupCorp. and celebrity chef David Chang gushed into lending startups in 2015, according to Dow Jones VentureSource. Analysts at Morgan Stanley predicted that year that the nascent industry would account for 10% of all unsecured consumer and small-business loans by 2020.
Investors soured on the sector. Shares of LendingClub, which once had a market value of about $10 billion, are down 77% from their IPO price. Prosper’s valuation was slashed by more than two-thirds in a private fundraising round last year.
GreenSky said in its IPO filings that it has facilitated more than $12 billion in loans to consumers for home-improvement projects and elective medical procedures.
Part of GreenSky’s advantage comes from its relatively low customer-acquisition costs. LendingClub’s biggest expense is sales and marketing, which last year rose to $229.9 million, equivalent to 40% of revenue.
Recently, Bank of America, Chase, and Citigroup joined Capital One and Discover in banning cardholders from using them to buy cryptocurrencies. Credit cards were one of the most popular payment methods because of their relatively low fees and instant transaction rates, and investors are having to look at other options to make their investments.
You can borrow money from a family member or friend, or you can use a peer-to-peer lending platform like SoFi to leverage funds for Bitcoin investments. However, be cautious when borrowing money for an investment. Interest rates can eliminate any gains you get from the investment, and the risk of losing money in such a volatile market is high.
The acting director also responded to a question about qualified mortgages which has left the industry scratching its head since. Was Mulvaney separating fintech marketplace lending from traditional mortgage lending, or was he drawing a line between depository mortgage and non-depository mortgages?
Legislation that would ease banking regulations — and modify rules governing credit reports and some consumer loans — is headed for likely passage in Congress any day now.
The bill cleared the Senate in March with some bipartisan support and is expected to be voted on by House lawmakers this week, perhaps as early as Tuesday.
The measure rolls back some of the regulations imposed by the Dodd-Frank Act of 2010. That legislation came on the heels of the financial meltdown that rocked the U.S. economy a decade ago, when risky and unaffordable mortgages contributed to millions of homeowners losing their houses to foreclosure.
Main Street banks are feeling squeezed by competition from new rivals: nonbanks like hedge funds and private-equity firms that are elbowing into business loans.
Growth in business lending has picked up recently—it was up 3.3% year over year as of May 9, according to Federal Reserve data released Friday, after falling below 1% earlier this year. But the growth rate is still far below where it’s been in recent years, when loans to businesses grew at a double-digit clip for much of 2014, 2015 and 2016.
The board members of R Bank in Round Rock, Texas — who include the Hall of Fame fireballer Nolan Ryan, a co-founder of the bank — hold accounts there, and they, like most other patrons, knew its old technology made for clunky customer service.
So, says president and CEO Steve Stapp, he channeled those irksome experiences into board support for an investment in a systems overhaul at the $455 million-asset bank.
Blippy, which was hyped up to a $46.2 million valuation back in 2010 before the world realized that almost nobody wanted a dedicated network for sharing and viewing each others’ purchases. Well, guess what? Someone’s trying a Blippy-like thing again — this time, in the form of a new app called Vota, which automatically records your credit card purchases and the places you visit so you can share them with friends or family, or view them privately for your own reference.
As a byproduct of this data collection, you may spot credit card fraud or other errant charges, too, or just get a handle on your spending.
Optimal Blue is proud to recognize enterprise SaaS digital mortgage solution leader, Capsilon, as its first strategic partner to complete certification with the highly anticipated Pipeline & Lock Management APIs. By debuting these innovative system-to-system API interfaces in the mortgage industry, Optimal Blue has enabled Capsilon’s digital mortgage platform to fully support the creation, management, registration, and locking of first-lien mortgages instantaneously with Optimal Blue. As a result of this advanced integration, a completed application and pre-approval are done in half the time of the traditional back-and-forth processes, empowering loan officers to be more competitive in today’s purchase market and win more business from real estate agents.
The company on Monday announced the creation of Accelerate, a new initiative to drive growth at scale for the fast-evolving fintech industry, reflecting the company’s ongoing commitment to this sector.
Designed to operate alongside its successful Start Path program, Accelerate will broaden Mastercard’s engagement with the payment fintech community including the next generation of digital banks.
TruFin, the AIM listed fintech lender and payments provider, has released its first set of annual results following on from its public listing back in February. The numbers show a 7.67 per cent uptick in its valuation of its stake in p2p lender Zopa in 2017.
TruFin, which says it used an external company to aid the valuation of Zopa, re-valued its holding upwards by £2.6m to £36.5m over the course of the year. The firm, which was spun out of hedge fund Arrowgrass’ fintech holdings, holds a c.15 per cent stake in Zopa bought by Arrowgrass in 2014 for £15m. TruFin was set up by Henry Kenner, one of the founders of Arrowgrass, who is also its CEO and chairman. The hedge fund itself was launched by a group of Deutsche Bank traders in the wake of the financial crisis, including Kenner.
Advice doled out online or via smartphone apps, referred to in the industry as “robo advice”, aims to cut costs for customers looking to save or invest. It also seeks to foster innovation and increase competition in financial services.
But the Financial Conduct Authority (FCA) said two reviews of the industry uncovered problems among early entrants.
Following our exclusive report from earlier this month that Jamieson Blake, Head of Client Experience at the FCA regulated London based arm of ADS Securities, had resigned from the company, LeapRate has now learned that Mr. Blake has landed – at specialty lending and retail investment firm Basset and Gold, as Head of Relationship Management.
Shares of Qudian (NYSE:QD) closed down 16.5% on Monday after the Chinese online lender announced earnings that fell short of expectations.
Qudian reported “diluted adjusted net income per share” of $0.16 but GAAP diluted net income per share of only $0.15 per share. Whichever yardstick you use, though, these numbers appear to be lower than the $0.17-per-share estimate quoted on Yahoo! Finance. Revenue, on the other hand, came in at $273.7 million, significantly above consensus expectations for $214.6 million.
Following a similar model as traditional depository services, DEPO gives lenders the freedom to accept digital assets as loan collateral. The platform also allows borrowers to keep ownership of their digital asset during the entire loan period. The platform also protects future financial gain of the asset for borrowers with its decentralized design.
By employing the DEPO platform, lenders will be able to accept cryptocurrency as collateral for loans. To be protected, lenders can request additional collateral, or a partial sale of the asset should the market become excessively volatile at any time during the loan period.
The history of Naspers, the parent company of PayU.
What PayU does and the markets where it operates.
Why Matthias decided to leave PayPal after 12 years and move to PayU.
How PayU approaches going into a new international market.
The Naspers investment in Chinese giant Tencent and the PayU footprint in China.
Why the number one country PayU is focused on today is India.
Why they invested €110 million in Kreditech and how they are leveraging that partnership.
The point of sale lending product they have launched in India with Kreditech.
The biggest growth drivers for PayU over the next 12-18 months.
New Insight will change the way you think about data (Instantor Email) Rated: A
Today Instantor, the Swedish fintech company making financial decisions easy, announces Insight. A new product that will transform the way financial organisations assess risk for loan applicants. By using robust machine learning, Insight analyses more than 70 predictive features and insightful patterns in historical banking, and can be used to make better risk and opportunity decisions. Instead of having a risk team spending months testing risk models, Insight ́s intelligent features will build the most optimal risk model using the clients own data and can be up and running within a week.
Untie Group used to be several companies, the largest of which were Bricknode and Lendytech. They had a common founder in Stefan Willebrand and used, at least to a degree, the same self developed software. Also a number of people have gone from one firm to the other over the years.
Since the rise of cryptocurrencies, the term “decentralized” seems to be everywhere. Decentralization has been proposed in many industries as a way to heighten transparency and make transactions simpler. One field in particular which has shown great potential for the application of decentralization is money lending. As many might rightly ask, don’t we need banks who are willing to take the financial risk and approve loans? As it turns out, maybe we don’t.
The report, entitled Whose customer are you? The reality of digital banking, shows that 73 per cent of bankers believe retail banking will be at least 80 per cent automated in the next two years. A further 78 per cent see ‘platformisation’ steering the market in the future.
71 per cent of respondents are focusing their digital investment budget on cyber security, up from 34 per cent last year. Yet a mere 17 per cent are thinking about the risks of third-party integrations under Open Banking.
The new FinTech lending model opens new opportunities to people who were not able to borrow from traditional banks and other financial institutions because of the poor credit history and other factors. Such loans are now available to the new groups of people who need an instant funding, for instance, small business owners, students etc. In particular, entrepreneurs got a chance to get a loan without collateral, which a while ago was a real obstacle for many business owners.
Today we are already witnessing a drastic change in the lending model that existed for centuries. Consumers want to have a more flexible way to lend money but most importantly, they want this process to be quick. The FinTech industry already gave us this opportunity and hopefully, the following changes will be for the better.
News Comments Today’s main news: SoFi buys Clara Lending product, engineering teams. LendingClub files 8K on $200 warehouse agreement. Raisin surpasses 5B Euro. Columbian lender LoanPie goes online. Today’s main analysis: UK P2P lending hits 3.1B GBP, borrowers shift to online lending. Today’s thought-provoking articles: PeerIQ evaluates letter from Consumer Financial Protection Bureau (CFPB) Director Mulvaney. Funding Circle in no […]
PeerIQ analyzes CFPB director’s recent letter. AT: “As always, PeerIQ provides interesting insight into the changes and new direction for the regulatory agency. One interesting tidbit is that the new director sees lenders as a part of the bureau’s core constituency, and not just consumers.”
Community bank in South Dakota partners with online lender. AT: “This should be where the bread and butter is, for both community banks and for smaller online lenders. Partnering with community banks means small alternative lenders can reach more consumers in more places, and get there more quickly than trying to partner with big banks.”
Social Finance Inc. has acquired the engineering and product teams of mortgage startup Clara Lending, bolstering the financial technology company’s offerings beyond student-loan refinancing, according to people familiar with the matter.
SoFi confirmed the acquisition on Friday and said taking on the Clara teams allows it to “immediately ramp up our technical capabilities.”
San Francisco-based SoFi has plans to hire about 100 engineers, one of the people familiar with the matter said, and Clara filled about 20 of those spots.
While refinancing my own loans, it was a stressful situation to navigate, even with the help of my parents. Coming out of school with a $200,000 degree but only a $40,000 annual salary was a tough pill to swallow, and I wasn’t alone – several of my friends found themselves in a similar situation.
Credible is working to change all of that by simplifying the refinancing process. Instead of hopping from lender to lender and form to form looking for a good rate, Credible provides a one-stop shop where you can connect with a variety of vetted lenders and get real rates in about two minutes, without affecting your credit score.
LendingClub (NYSE:LC), the largest marketplace lending platform in the US, has just posted an 8K regarding a warehouse funding agreement with certain lenders. LendingClub has enlisted the assistance of JPMorgan Chase Bank, N.A. as administrative agent, and Wilmington Trust, National Association as collateral trustee. The warehouse is to provide a $200 million secured revolving credit facility.
Bank earnings continued to roll in this week. Retail banks reported that credit card losses rose 20% year-over-year to $12.5 Bn. Credit card losses as a percentage of outstanding receivables have increased to 4.5% from 2.9% in 2015 as credit normalization trends continue. The combination of high consumer credit growth relative to GDP, full employment levels, and low productivity growth is casting doubts on whether 3%+ GDP prints are sustainable.
Louis Beryl, co-founder and chief executive officer of Earnest Inc., left the online lender this week after selling his company in October.
The San Francisco-based startup was acquired by student loan provider Navient Corp. for $155 million after a lengthy search for a buyer. Beryl and his co-founder, Ben Hutchinson, were supposed to remain at the firm and continue running Earnest as a separate unit within the company. Hutchinson remains there as chief operating officer, Navient said.
Meta Financial Group in Sioux Falls, S.D., has struck a deal to provide personal loans to customers of Liberty Lending, an online lender based in New York.
The $5.2 billion-asset Meta said it expects to originate $500 million to $1 billion in personal loans during the three-year partnership. The program marks Meta’s first foray into the direct-to-consumer credit business.
Discover Financial Services CEO David Nelms said this week that many of the online lenders that have emerged in recent years do not understand how to underwrite the loans properly over the long run. He also jabbed at the technology-focused firms for their failure to achieve profitability.
JP Morgan Chase has unleashed a five-year $20 billion investment plan that includes 400 new branches, 4,000 jobs and an increase in staff wages across the US.
It is also a stark contrast to yesterday’s report concerning branches in 2017. Last year, US banks accelerated their pace of branch closures, shutting down 2,069 locations (an 18% increase compared to 2016).
According to JP Morgan Chase, these new branches and bankers will help the firm increase small business lending nearly 20%, or $4 billion, over three years.
For consumers, that’s mostly good news; it means you have access to more services in a digital format, and at a much less expensive rate. For the finance industry, this is coming with big changes; as banks digitize more, Citigroup estimates that the industry will lose 1.7 million jobs or more to automation and digital environments.
Brokerage and advisory firm Ladenburg Thalmann Financial Services has announced the launch of its Enterprise Innovation initiative and Innovation Lab. The company said innovation strategist Dan Sachar has been named as the vice president of enterprise innovation.
The UK Peer to Peer Finance Association (P2PFA) has published aggregate fourth quarter data for of 2017 for its member platforms. The P2PFA shows that during 2017 £3,145,098,842 in peer to peer loans were facilitated. Cumulative lending transacted through P2PFA member platforms exceeded £8 billion.
LendInvest’s latest buy-to-let index is out, and it makes great reading for landlords looking for the best buy-to-let areas.
Manchester is currently the best place to buy-to-let in England and Wales. It ranked highest for rental yields (5.55 per cent) and rental price growth (5.76 per cent). Manchester took the top spot after a steady climb up LendInvest’s rankings throughout 2017.
Colchester in Essex and Luton in Bedfordshire are in second and third position, with rental yields of over 3.78 per cent. Colchester has the strongest capital gains of all postcode areas over the last 12 months, while Luton remains a popular commuter town within easy reach of London.
The Midlands is still the buy-to-let location to watch, though – Leicester rose an incredible 17 places to reach ninth place in December’s index, while Birmingham narrowly missed out on the top 10, coming in at 11th.
According to the research, here are the 10 best buy-to-let areas 2018:
Figures drawn from regulatory returns show 5,270 financial advice firms had at least one staff member advising on retail investments, with a total of 25,951 advisers recorded as at the end of November 2017.
The number of advisers at banks and building societies continued to decrease, however, from 3,525 to 3,374. 34 banks had at least one adviser as at the end of November last year, compared to 38 the December before.
Here are some examples of the various types of external finance that may be available if you need a helping hand:
Bank loan – one of the most commonly chosen finance options. The loan will be fixed over an agreed period, with a fixed rate and monthly repayments. Eligibility for this can be dependent on how long you have been trading for.
Peer-to-peer lending – this is a form of borrowing without using a traditional financial institution such as a bank or building society. The lending involves individuals or ‘peers’ where you are matched up to people willing to invest in, and lend money to, your business.
Merchant cash advance – an alternative financial solution if you have strong sales and good volume of card transactions every month. You receive a lump-sum payment to be repaid via an agreed percentage of your future credit and debit card transactions.
Business credit card – stay in control of your business expenses and keep your cash flow moving. A business credit card is a short-term flexible way to manage expenses.
Duco, which was founded eight years ago by a computer science postgraduate from University College London, allows financial institutions to manipulate enormous amounts of data through remote internet servers, popularly known as the cloud. It is understood the funding round values the company at about $100m.
Future FinTech Group Inc. (NASDAQ: FTFT) (“Future FinTech”, “FTFT” or “the Company”), a financial technology company and integrated producer of fruit-related products, today announced that on January 23, 2018, one of its wholly owned subsidiaries, DigiPay FinTech Limited (“DigiPay”), entered into an agreement to acquire 60% of the digital assets associated with DCON, a blockchain development project that has developed 100 communities utilizing blockchain technology and which intends to conduct a variety of financial businesses to provide users with a diversified blockchain experience.
Since its founding four years ago, Raisin has returned its first cash flow positive month after passing €5bn in brokered savings deposits.
The European marketplace for savings and investment products increased its total customer deposits by over €3bn in 2017, after its international expansion efforts bolstered growth. The company now serves over 30 European markets, with around 20 per cent of all new customer acquisitions coming from abroad.
Europe’s online alternative finance market continues to grow, but remains dominated by the UK, new research shows. The Cambridge Centre for Alternative Finance says the market was worth €7.7bn by the end of 2016, the most recent period for which data is available, with €5.6bn of that total accounted for by the UK.
The data means the alternative finance market across Europe grew by 41 per cent during 2016, providing a range of valuable funding for entrepreneurs and small and medium-sized enterprises that was not available from traditional funding sources. Stripping out the UK, however, the market was up by 101 per cent, with the less mature alternative finance industries of continental Europe now growing very rapidly.
The UK’s share of the European alternative finance market fell to 73 per cent in 2016 from 81 per cent a year earlier as other markets grew faster. France, Germany and the Netherlands are now the three largest alternative finance markets outside the UK, followed by Finland, Spain, Italy and Georgia.
Consumer lending remains the single biggest sub-sector of the alternative finance industry, with peer-to-peer lending sites accounting for 34 per cent of the marketplace. However, SME funding is significant, with peer-to-peer business lending, invoice trading and equity-based crowdfunding together accounting for 40 per cent of the market.
Peer-to-peer lending platforms are also still on a global uptick. In just one country where this new kind of access to capital is having a major impact, the UK, over $3.3 billion in P2P loans were facilitated in 2017. That number is expected to continue to rise globally this year, and blockchain is likely to be right in the middle of it.
The FinTruX Network is one of the world’s first blockchain-based online marketplaces for unsecured lending that connects the dots in an environment augmented by specialized servicing agents who can configure and construct each borrower’s (smart) contract in real time.
Cascading levels of credit enhancement help borrowers improve creditworthiness. Lenders are provided with several forms of reassurances that their money will be repaid. Loans are over-collateralized. Local third-party guarantors and cross-collateralization act as an additional kind of insurance.
And here is the best part: All of this is enabled by a system token which creates not only a fee structure but a tracking device, authenticator, and payment system, all in one place.
RiskSave and True Link are examples of such emerging technology. The portfolios generated from a broader spectrum of assets improve on the current robo model, offering more efficiency and superior risk-return characteristics.
Robo advice and digital asset management will open up financial advice to a much wider market. People who previously were priced out of financial advice will now be able to afford it. The reduced costs of robo advice in the United Kingdom could give as many as 16 million more people access to financial advice, according to estimates from the Financial Conduct Authority (FCA).
Are ETFs the correct solution?
Much of the financial management industry has concluded that ETFs are the future of automated advice. That is naive.
Tradeshift explores new Frontiers with innovation lab launch (Fintech Futures), Rated: B
Business commerce platform Tradeshift has unveiled Tradeshift Frontiers, an innovation lab and incubator designed to apply emerging technologies like artificial intelligence (AI), distributed ledgers, and internet of things (IoT) to business networks, supply chains, and global trade, reports David Penn at Finovate (FinTech Futures’ sister company).
CreditMantri helps small business connect with NBFCs and banks on its platforms and avail financial assistance. The easy and hassle-free digital procedure makes it easy for a business to avail a loan in lesser time.
Aye Finance, along with its commercial operations, also funds its non-profit initiative to coach MSMEs on market knowledge, business book-keeping and advising on operations techniques. These, in turn, help sustain employment at the bottom of the pyramid. Aye Finance has already impacted an ecosystem of over 40,000 MSMEs through its business enterprise loans.
CoinTribe is confident about the adoption of digital in the SME segment especially as younger generations enter the domain. With increasing digital adoption in the country and expansion of the MSME sector, CoinTribe aims to facilitate USD 5 billion of loans through its platform over a period of 5 years and is rapidly scaling up its marketplace operations.
Faircent’s P2P model serving business loan requirements is an example of how far lending industry has come to serve MSMEs. The platform has over two lakh registered borrowers and 18,000 registered lenders.
LoanPie, an online local marketplace based out of Columbia for residential and commercial real estate investing, last week launched its website with over $1.8 million in investments available.
The company seeks to introduce more accredited investors to the secondary mortgage market using a web-based platform. LoanPie’s goal is to create return on investment for 25,000 subscribers by the end of this year.
SAP’s website is asking us to “Imagine people, businesses, machines, and algorithms all communicating in a frictionless way—where data sharing is fast, open, yet completely secure for all parties.” That’s what the company is seeking to offer its customers with the incorporation of blockchain technology to its Leonardo IoT (Internet of Things) portfolio. The early […]
SAP’s website is asking us to “Imagine people, businesses, machines, and algorithms all communicating in a frictionless way—where data sharing is fast, open, yet completely secure for all parties.” That’s what the company is seeking to offer its customers with the incorporation of blockchain technology to its Leonardo IoT (Internet of Things) portfolio.
The early evidence shows that isn’t such an unimaginable thing at all. In the middle of last month, the company joined with the Alastria Consortium and the Blockchain in Trucking Alliance (BiTA) bringing 27 customers and partners with a total market value of $819B. The partnership is evidence that we can imagine a seamless future in the lending industry and beyond.
And what are the benefits that the members of these consortiums believe in so much?
Benefits of Blockchain
The blockchain, a true P2P network, will reduce alliance on some types of third-party intermediaries such as banks, lawyers, and brokers. The transactions not being limited by office hours, the blockchain can speed up process execution in multi-party scenarios. The fact that all of the information is viewable by all parties and cannot be altered promises to reduce fraud and create trust. The use of the distributed ledger technology (DLT) will provide quick ROI by helping businesses create leaner and more efficient processes, which will make them more profitable.
The distributed and encrypted nature of the blockchain makes it difficult to hack and promises greater IoT security. The blockchain is also programmable making it possible to trigger actions, events, and payments once conditions are met.
Our interview with Nadine Hoffman, innovation manager for SAP Financial Services, and Juergen Hofman, the company’s social manager for financial services, sheds a light on the benefits to business and industry and why SAP is a fitting company to grow these advances.
SAP’s Application of the Blockchain
While using the company’s hyperledger as a base structure, Nadine tells us that having encountered so many potential partners who want to add to the existing product has led the company to being what she terms as “tech agnostic.” She expands by saying, “We offer infrastructure to connect existing technology and advantage to combine with other technology, using machine learning to take the best of all worlds specifically for process and use.”
She says the DLT will help companies discern what the best technology is for their needs, with a focus on lending.
The full life cycle of lending is a slow and complex process because there are so many parties to cooperate with. Nadine tells us that onboarding can make it seamless with the use of the DLT. The blockchain customer owns their own data and is in charge of how and with whom it is shared, which leads to greater transparency. The ownership of a “single source of truth” will allow customers to reach real digitalization.
Juergen chose to focus on two examples of the benefits SAP has already seen, one in the area of bonded loans and the other as pertains to KYC (know your customer).
In the case with bonded loans, as SAP exhibited through its partnership with Deloitte, the bond comes with a bond and a loan aspect, but since it isn’t dealt across a stock exchange, it isn’t subject to DOC rules. Also, we once again see speed and efficiency as an upside. With the exchange and confirmation of information and requests for changes, the process of issuing bonded loans manually is more time consuming. What’s more, if a customer later wants to sell his or her share, banks might not be aware of it, which creates KYC issues.
The Deloitte blockchain solution creates a digital asset and different investors buy a piece of it. It serves as a marketplace, a shop window, and source of P2P transactions. The offering can be made to all of the peers in a network and to a specific network.
When it comes to KYC benefits, it’s really pretty simple. Juergen gives us this example: You walk into a bank you want to do business with. You have to provide them with all of your information. Then, you want to do business with another bank, and you have to do the same thing. The distributed ledger solution is to store a customer’s ID and link it to their personal documents, which are not stored on the blockchain. Once the transaction is cleared, the link is established and the documents are accessed to prove identity and the onboarding process continues. In this, SAP provides a solution to KYC issues, with running proof of identity.
In terms of regulation, Juergen says the data of a trade must be tamper proof, and the SAP DLT can be advantageous to those ends in that it records transactions as a “single source of truth,” which is tamper proof and contains info that is easier to access in real time.
SAP’s Blockchain Application Over Its Competitors
Nadine tells us that SAP has the edge over its competition because the company is active in 25 industries, not only in lending cases, but in all of its DLT cases. She reminds us that, quite often, the company is doing work that spans multiple industries. The SAP DLT breaks down former silos and gives a 360-degree view of a chain. Working across industry lines in this manner helps to create the ease with which parties from all industries can integrate.
Juergen underscores this, adding that, in the case with bonded loans, the company’s advantage is that it has strong capabilities with its other solutions.
Still, the technology being what it is, and the company’s tech-agnostic stance, means that there really is no competition. Yes, there are similar offerings from other large software companies, but there’s a lot of space in the market for more than one company to find the right footprint.
SAP Blockchain Performance Benchmarks
The technology is still evolving. It is not yet mature, which means we have no history of performance to report. Currently in the pilot phase, the technology will go live and be available soon.
When it does become available, SAP’s DLT will become so for everyone, and Juergen tells us that there won’t be a typical customer. From small firms to major banks, the broad range of companies in business with SAP, along with the global reach of the company, help to create a blockchain that will benefit fintech companies as well as traditional companies as the technology changes how everyone does business.
SAP’s Fit with the Direction of the Industry
Nadine assures us that SAP is pleased with its tech progress and that they have multiple use cases ongoing in every industry–public sector, telecom, and healthcare; and that every industry is working on blockchain topics but not limiting technology. Through the IoT, machine learning, and DLT, the company is furthering its investigation into and introduction of new products for customers.
Nadine also sees the advantage of the openness of the market. “There are a lot of players approaching lending, not only banks. Industries are creating their own banks and creating alternative lending markets. We’re investing in all of this.”
When asked what the company is looking for right now, she assures us that SAP is “very good” when it comes to the tech side. The hurdle to face now comes from the legal and regulatory side. That is on its way she tells us.
It seems only rational to think that we are going to get to the point where the blockchain is in place and well-functioning in accordance with the SAP vision. This is the latest and most adroit technology when it comes to the streamlining of data sharing and acquisition, and it’s just human nature to go down new avenues and do what comes next. We learn beyond what we had previously known and we use it to make our lives better and easier, and that’s what we’ll do with the blockchain.
Is there any reason to think that SAP won’t be one of the companies at the forefront of this application? Not at all. With the company’s vision, establishment in all industries, and existing IoT and DLT structures, they are a safe bet to be among the leaders paving the way into this seamless version of what’s next.