A new study by Juniper Research found that by 2028, global virtual card spend will have increased by 355% from $3.1 trillion in 2023. The key driver will be the adoption of API-based virtual card issuing platforms.
Virtual cards use randomly generated and generally temporary card numbers linked to a payment account, which are used to process payments; replacing genuine payment details. Virtual cards provide a secure and fast way to distribute funds, while effectively managing spending limits.
API-based virtual card issuing enables cards to be issued in a more seamless and cheaper way, improving efficiency and unlocking greater use cases within B2B and consumer payments.
Stripe, Revolut and Marqeta Lead in Virtual Cards
The new Juniper Research Competitor Leaderboard report reveals that Stripe, Revolut and Marqeta are the established leaders in the virtual cards space. The report identified intuitive, API-based platforms, with easy-to-use functionality to securely deploy cards and manage spending restrictions, as the most important factors in their success.
Daniel Bedford
Research author Daniel Bedford commented:
“Virtual cards offer an adaptable solution that can be heavily customised, including spending limits and restrictions; enabling businesses to significantly improve their spend management, while reducing costs.”
Incentives Driving Adoption
In the highly competitive consumer virtual cards space, Juniper Research recommends that vendors offer loyalty- and rewards-linked cards, to differentiate themselves. Exclusive offers on partner products, rewards points and cashback on specific merchants can successfully encourage virtual card spending and customer retention. This will require virtual card platforms to build out partnership ecosystems, either by partnering directly with merchants, or with existing loyalty services.
In a forward-looking initiative, innovation platform Tenity has launched the Julius Baer Global Web 3.0 Program which enables collaboration between the bank and the next generation of web 3.0 startups in the wealth management space across the European and Asia Pacific region.
This integrated program is focused on collaborations, pairing Julius Baer internal teams with startups to bring fresh perspectives and accelerate innovation.
Brigitta Gyoerfi
Brigitta Gyoerfi, Partner Innovation Lead at Tenity, added:
“As Tenity’s partner innovation lead, I emphasize the importance of looking beyond short-term goals and embracing the spirit of experimentation with new technologies. Early exploration is our compass to navigate the ever-changing tech landscape and seize opportunities on the horizon.”
Jonathan Chan
Jonathan Chan, Head of Global Innovation at Julius Baer, added:
“Our partnership with Tenity has provided us with a wealth of experience and unlocked innovative solutions in wealth management. We are committed to working with innovative startups that emerge from the program to transform ideas into impactful implementations within the bank.”
The program included a thorough scouting of the market, singling out Web 3.0 startups geared for the wealth management sector. Following an in-depth assessment phase, the five standout startups were chosen. Currently, in a four-month engagement phase, tailored interactions between these startups and Julius Baer stakeholders focus on identifying key industry use cases and executing targeted experiments.
The following five startups have now been selected for the program:
A B2B blockchain-powered platform cutting through layers of intermediaries to streamline sustainable infrastructure financing for institutional investors.
Empowering private data transmission with unbreakable privacy, HOPR’s decentralized network, and its data protection solution enable secure and competitive data transmission for the bank, its partners and its clients.
A cutting-edge wallet platform designed to make using web3 technologies simpler for individuals and businesses, using smart contracts and advanced privacy protection technology.
Empowering Wealth Management with real-time, on-chain insights through a data and analytics platform, offering actionable information on client portfolios, transaction history, and compliance.
Redefining crypto finance with on-chain index funds and structured products, offering a streamlined way to mint indices using various assets and a transparent, rebalanced methodology.
In a forward-looking initiative, innovation platform Tenity has launched the Julius Baer Global Web 3.0 Program which enables collaboration between the bank and the next generation of web 3.0 startups in the wealth management space across the European and Asia Pacific region.
This integrated program is focused on collaborations, pairing Julius Baer internal teams with startups to bring fresh perspectives and accelerate innovation.
Brigitta Gyoerfi
Brigitta Gyoerfi, Partner Innovation Lead at Tenity, added:
“As Tenity’s partner innovation lead, I emphasize the importance of looking beyond short-term goals and embracing the spirit of experimentation with new technologies. Early exploration is our compass to navigate the ever-changing tech landscape and seize opportunities on the horizon.”
Jonathan Chan
Jonathan Chan, Head of Global Innovation at Julius Baer, added:
“Our partnership with Tenity has provided us with a wealth of experience and unlocked innovative solutions in wealth management. We are committed to working with innovative startups that emerge from the program to transform ideas into impactful implementations within the bank.”
The program included a thorough scouting of the market, singling out Web 3.0 startups geared for the wealth management sector. Following an in-depth assessment phase, the five standout startups were chosen. Currently, in a four-month engagement phase, tailored interactions between these startups and Julius Baer stakeholders focus on identifying key industry use cases and executing targeted experiments.
The following five startups have now been selected for the program:
A B2B blockchain-powered platform cutting through layers of intermediaries to streamline sustainable infrastructure financing for institutional investors.
Empowering private data transmission with unbreakable privacy, HOPR’s decentralized network, and its data protection solution enable secure and competitive data transmission for the bank, its partners and its clients.
A cutting-edge wallet platform designed to make using web3 technologies simpler for individuals and businesses, using smart contracts and advanced privacy protection technology.
Empowering Wealth Management with real-time, on-chain insights through a data and analytics platform, offering actionable information on client portfolios, transaction history, and compliance.
Redefining crypto finance with on-chain index funds and structured products, offering a streamlined way to mint indices using various assets and a transparent, rebalanced methodology.
Helvetia insurance enhances its digital assistant Clara. The pilot project was launched in spring 2023 and provides an easy way for customers to ask questions and describe issues via the Helvetia website.
Now that the trial period is over, Clara is going live with immediate effect as a standard service powered by the latest generative AI technology.
Jan Kundert
Jan Kundert, Head Customer and Market Management and Member of the Executive Management of Helvetia Switzerland:
“We’re delighted that our ChatGPT project has been well received by our customers. Our focus moving forward will be on tailoring what is now Helvetia’s key self-service channel even better to user requirements.”
International pioneering role
Following the successful completion of the test phase, Clara is now going live as a standard service incorporating the latest generative AI technology, further optimizing response quality compared to the previous version. Helvetia thus offers its customers in Switzerland a service that is unique in the insurance sector, providing simple and uncomplicated answers to questions about insurance and pensions around the clock, thereby also playing a pioneering role internationally. It remains exploratory in nature, with users contributing to the learning process. Thanks to user feedback, Clara is constantly being developed further. Customer service can be accessed in German, French, Italian, English and various other languages.
Customers can easily ask a question or describe an issue via the digital assistant Clara. The service is designed to be low-threshold and can be accessed without registration. User numbers since the launch of the trial in spring 2023 show it has been well received. Helvetia predicts it will have handled over 150,000 chats by the end of this year – almost double the figure for last year. In just a short period of time, Clara has thus become Helvetia’s key self-service channel. The chatbot is the perfect addition to the existing customer service offering.
Trust is essential
Trust plays a key role in the relationship between insurers and their customers. This is true whether customer services are offered via conventional or digital channels. Although there are currently still no binding regulations for the industry, Helvetia has decided to go live with its chatbot powered by the latest GPT technology.
Helvetia is aware of the resulting responsibility and only uses artificial intelligence within a controlled framework. The data is managed and processed in accordance with the highest security standards and the new Swiss Data Protection Act (DSG), which came into force on 1 September 2023. For example, users are informed that Clara may also provide incorrect answers because these are generated by artificial intelligence. As Clara only uses verified sources when answering customer questions, the risk of incorrect information is low, but Helvetia recommends contacting the customer advisory service or using alternative contact options if anything is unclear. Users can also rate Clara’s answers and thus help improve the service.
Helvetia has been using artificial intelligence for several years already in areas such as claims processing, identification of fraud, underwriting and marketing. The company actively involves its employees in AI-adoption; for example in the development of self-learning models. Helvetia believes that using artificial intelligence expertly and transparently is crucial in the development of current and future insurance models.
BBVA in Switzerland has successfully migrated its digital assets operations to Metaco’s institutional-grade digital asset custody and orchestration platform, Harmonize which is fully integrated on Avaloq’s Crypto Assets platform and Core Banking system. This infrastructure will allow BBVA to further develop its digital asset and private key custody capabilities.
This new development will have a positive impact on security policies, especially for the institutional client, who will have much greater flexibility in their operations with digital assets. BBVA in Switzerland has become a key player in the institutional network in the blockchain ecosystem. In 2021, the Bank became the first TIER 1 Bank in the Eurozone to provide custody and trading services for cryptocurrencies, under a combined portfolio across traditional and digital assets. Since that time, the Bank has not only been working on improving its blockchain services, but also on its commitment to provide financial education in this area to its clients.
Avaloq and Metaco work in close collaboration to deploy and develop the bank’s innovative digital assets offering in a software as a service (SaaS) model. This latest upgrade will also support future business use cases for BBVA in the realm of digital assets.
Alfonso Gómez
Alfonso Gómez, CEO of BBVA in Switzerland, highlights that
“our partnership with Metaco, which will fully integrate our existing infrastructure within Avaloq, allows us to stay ahead of the market, offering the most secure and compliant infrastructure”.
This collaboration will provide more speed, efficiency and the highest standard of governance as the Bank accelerates digital assets offerings for its institutional clients.
Adrien Treccani
“Metaco and BBVA Switzerland have had a longstanding history of partnership, and we are proud to bring our partnership to new heights,”
says Adrien Treccani, Founder and Chief Executive Officer at Metaco.
With this deployment, the Bank expands its partnership with its technological partners Metaco and Avaloq, as both of them deepen their collaboration on digital asset custody capabilities.
Der Verwaltungsrat der radicant bank ernennt Anton Stadelmann per 1. Januar 2024 zum neuen CEO. Die bisherigen Co-CEOs ad interim Roland Kläy und Rouven Leuener übernehmen wieder ihre angestammten Funktionen innerhalb der Bank.
Der 40-jährige Anton Stadelmann war zuletzt CEO der Bluecode Gruppe. Davor hat er als Deputy CEO von TWINT den mobilen Bezahldienst zur Marktführerschaft geführt. Zuvor war er unter anderem als Mitgründer und Chairman der European Mobile Payment Systems Association sowie in verschiedenen Positionen bei der UBS auch ausserhalb der Schweiz tätig.
Marco Primavesi
«Mit Anton Stadelmann gewinnen wir eine erfahrene Persönlichkeit, die unserer nachhaltigen und digitalen Bank auf dem Weg zur festen Grösse im Schweizer Markt zu weiterem Wachstum verhelfen wird»,
sagt Marco Primavesi, Verwaltungsrats-präsident der radicant, und fügt an:
«Ich danke Roland Kläy und Rouven Leuener, dass sie in den letzten Monaten als Co-CEOs die radicant bank ag mit hohem Engagement, taktischem Geschick und Leadership interimistisch durch eine wichtige Phase geführt haben. In dieser Zeit gestalteten sie gemeinsam mit dem Team erfolgreich den breiten Markteintritt der radicant bank ag und übertrafen bereits wenige Monate später die internen Ziele für die Gewinnung von Neukundinnen und -kunden im Jahr 2023. Ich freue mich auf die weitere Zusammenarbeit.»
Anton Stadelmann
Anton Stadelmann, der designierte radicant-CEO sagt dazu>
«Ich freue mich sehr darauf, gemeinsam mit dem radicant-Team an die bisherigen Erfolge anzuknüpfen und noch mehr Kundinnen und Kunden für radicant zu begeistern.»
Mit dem Erhalt der Banklizenz 2022 und der vollständigen Marktöffnung im August 2023 ermöglicht radicant ihren Kundinnen und Kunden ein nachhaltiges Bankangebot.
Der Kanton Zürich hat heute seine erste Anleihe emittiert, die mit digitalem Zentralbankgeld auf der regulierten Plattform der SIX Digital Exchange (SDX) abgewickelt werden kann.
Die Emission fand im Rahmen des Pilotbetriebs der Schweizerischen Nationalbank mit digitalem Zentralbankgeld für Finanzinstitute statt.
Bei der digitalen Anleihe über 100 Mio. Franken mit einer Laufzeit von 11 Jahren und einem Coupon von 1,45 Prozent handelt es sich um eine teilweise Refinanzierung einer auslaufenden Anleihe. Das Joint Lead Management wurde durch die Zürcher Kantonalbank, UBS und Raiffeisen Schweiz wahrgenommen.
Der Kanton Zürich unterstützt mit der Platzierung die Entwicklung innovativer Finanzmarktinfrastrukturen in der Schweiz.
Ernst Stocker
«Wir bieten Hand für die Erprobung digitaler Produkte und wollen auch selbst Erfahrungen sammeln»,
sagt Finanzdirektor Ernst Stocker. Die Digitalisierung bildet einen strategischen Schwerpunkt des Regierungsrats des Kantons Zürich.
Einen Tag zuvor hatte auch der Kanton Basel Stadt im selben Rahmen eine digital Anleihe via BKB emittiert.
Crypto Derivates Platform BitMEX recently collaborated with Zühlke to enhance their application security program. This partnership focused on refining BitMEX’s security operations and prioritizing new application functionalities, with a particular emphasis on integrating DevSecOps processes across their development pipeline.
The initiative was driven by the need to adapt to the changing security landscape and the fast pace of software development. BitMEX, known for its stringent security measures and having never lost cryptocurrency assets, recognized the necessity of updating their security testing methods.
Zühlke’s role was significant in helping BitMEX transition from ad-hoc security testing to a systematic DevSecOps model within 12 months. They assisted in implementing integrated security testing processes, training developers in secure coding practices, and establishing a secure, functional CI/CD pipeline.
The collaboration’s objectives also included introducing comprehensive application security testing and a “shift-left” approach in security testing. This approach aimed to incorporate security considerations early in the software development life cycle.
Another aspect of the partnership involved deploying asset security controls and adopting configuration-as-code, which enabled BitMEX to prioritize threats and consistently monitor for suspicious activities.
Florian-Alexandre Bielak
The project aimed to balance maintaining high security with supporting rapid software development. Florian-Alexandre Bielak, Chief Information Security Officer at BitMEX, noted the importance of the right team and processes in strengthening their security ecosystem.
“With the right people, a refined set of processes and a selection of consolidated security tools as the linchpin, BitMEX was able to construct a stronghold that amplifies the effectiveness of our overall security ecosystem,”
said Florian-Alexandre.
This cultural shift empowered BitMEX to move away from a “click-ops” model, where governing change controls becomes more manageable as complexity grows.
Kaushal Silva Ranpatabendige, the Lead Engagement Manager at Zühlke, also pointed out the shared culture of empowerment and collective success between the two companies.
Kaushal Silva Ranpatabendige
“The culture at BitMEX is one very similar to Zühlke. We are a team that is empowered to speak up with courage, challenge and be challenged, and always put the success of the entire organisation first,”
went on Kaushal.
Overall, the partnership between BitMEX and Zühlke marked a notable shift for BitMEX in enhancing its security measures and development processes in just over 12 months, aligning with the evolving demands of the cryptocurrency market and security standards.
Juniper Research unveiled the 10 trends that are set to radically impact the fintech and payments landscape in 2024, included within its latest whitepaper.
The study found that the fintech market is undergoing a rapid shift, with the rise of new technologies, such as Open Finance, generative AI and A2A (Account-to-Account) payments having a major impact on business models. This is combined with unprecedented competition to be ‘top of wallet’ for customers, making the market more competitive and uncertain than ever.
Top 10 Fintech and Payments Trends 2024
The trends are as follows:
1. A2A Payments to Challenge Cards in eCommerce and for Funding Wallets
2. CBDC Use Cases to Emerge in Practice
3. Generative AI in Banking to Transform Spending Insights
4. Digital Identity Adoption to Be Catalysed by Digital Wallet Integration
5. AML Tools to Better Leverage AI as Alternative Payments Complicate Compliance
6. Sustainable Fintech Solutions to Emerge, as ESG Compliance Tops Agenda
7. FedNow to Fail to Match Instant Payments Success, but VAS to Flourish
8. Mobile Financial Services to Accelerate Transition to Banking Tech Services
9. Biometric In-store Payments to Surge, as Checkout Innovation Rises
image via freepik
10.. B2B BNPL to Provide Critical Financing for SMEs
Der Kanton Basel-Stadt begibt als Pionier mit Unterstützung der Basler Kantonalbank (BKB) eine der ersten digitalen Schweizer-Franken-Anleihen.
Die BKB arbeitet im Pilotprojekt «Helvetia III» der Schweizerischen Nationalbank (SNB) mit der SIX Digital Exchange (SDX) und fünf weiteren Geschäftsbanken zusammen. Die auf der Distributed-Ledger-Technologie (DLT) basierende Infrastruktur der SDX ermöglicht die Emission und den Handel von tokenisierten Wertschriften.
Im Rahmen dieses Pilotprojekts gibt die SNB erstmals digitales Zentralbankgeld für Finanzinstitute (sog. wholesale Central Bank Digital Currency, wCBDC) auf dieser Infrastruktur aus. Dabei handelt es sich um eines der weltweit ersten Pilotprojekte zur Abwicklung realer Transaktionen in digitalem Zentralbankgeld.
Die digitale Schweizer-Franken-Anleihe des Kantons Basel-Stadt, die über die BKB emittiert wurde, kann mit digitalem Schweizer Franken erworben werden. Damit beteiligt sich die BKB an einem strategischen Innovationsvorhaben des Schweizer Finanzplatzes und erweitert ihr Angebot an Finanzierungsinstrumenten. Die Anleihe nutzt die Fortschritte der Digitalisierung bzw. der DLT, verbleibt aber im regulierten Finanzsystem. Diese Kombination ermöglicht es sowohl Investoren als auch Emittenten, das Potential der Digitalisierung zu nutzen, ohne Abstriche bei Sicherheit und Vertrauen zu machen.
Basil Heeb
Basil Heeb, CEO der BKB, sagt dazu:
«Wir sind stolz darauf, als Lead Manager diese wegweisende Transaktion zu begleiten. Die Bank verfügt über langjährige Erfahrung und einen herausragenden Leistungsausweis im Emissionsgeschäft, was sie zur idealen Partnerin für die erstmalige Emission einer digitalen Anleihe des Kantons Basel-Stadt macht. Die erfolgreiche Emission einer digitalen Schweizer-Franken-Anleihe ist ein weiterer Beleg dafür, dass die Basler Kantonalbank ihren Kunden innovative und zukunftsweisende Finanzlösungen anbietet.»
Wealthfront, a leading robo-advisor industry, announced that the company now oversees more than $50 billion in assets for over 700,000 clients, largely young professionals across the United States.
This year Wealthfront’s team introduced new product lines, leading to an increase in new clients, a higher share of wallet among existing clients, and additional revenue diversity for the business. Wealthfront’s business is profitable and generates significant cash flow from operations, with EBITDA margins above 40%. The company is on track to grow revenue by over 140% in 2023.
David Fortunato
“This milestone is a testament to our team’s relentless focus on creating value for our clients and our commitment to building a profitable company that puts clients’ interests above our bottom line,”
said David Fortunato, CEO of Wealthfront.
“Our focus on automation allows us to deliver more value to the client, and we look forward to continuing this work.”
Wealthfront’s mission to build a financial system that favors people, not institutions, drives the team to create immense value for its clients. The company estimates that the service has saved clients over $1 billion in advisory fees compared to a traditional advisor, who, on average, charges a 1% management fee. Furthermore, this year alone, Wealthfront Cash Account clients have earned nearly $700 million in interest. Wealthfront is able to offer clients a 5.00% APY and up to $8 million in FDIC insurance through its partnerships with over 35 banks.
Wealthfront pioneered the robo-advisory industry with the launch of its automated investment service in 2011. Today, nearly every major investment adviser or brokerage firm has attempted to copy the first version of Wealthfront’s automated investment service. In the meantime, the company has continued to innovate, democratizing access to investing along the way and building a trusted financial services company. Through Wealthfront, young professionals in the U.S. can open an investment account with just $500 and access services like those previously only available to institutional investors or those who could afford account minimums that often exceeded $5 million.
Wealthfront has expanded into new areas like cash management, lending, and, most recently, lower-risk investments with its Automated Bond Portfolio. The company is well-positioned to capture the $35 trillion held by young professionals and will continue to address their diverse financial needs. Hitting this milestone only deepens Wealthfront’s dedication to empowering young professionals to achieve their financial goals and shaping the future of personal finance.
UBS Acquired US based robo-advisor Wealthfront for 1.4 Billion USD in January 2022.
Featured image credit: David Fortunato, CEO of Wealthfront
Taurus, a Swiss fintech company regulated by FINMA in Switzerland, has recently announced its expansion into the Middle East with a new office located in Dubai.
The company, known for providing institutional-grade digital asset infrastructure, has chosen Dubai for its new United Arab Emirates (UAE) office, situated in the Dubai International Financial Centre (DIFC).
The Dubai office will be led by Managing Director Bashir Kazour, a seasoned professional with over two decades of experience in retail, capital markets, and technology. Kazour’s extensive background includes roles at the Royal Bank of Canada, Standard Chartered, and FIS, a prominent banking and payment technology provider.
His previous work has involved close collaboration with a diverse range of clients, from sovereign wealth funds and central banks to brokers and family offices.
Bashir Kazour
“I am excited to lead Taurus‘ efforts and build a winning franchise in the Middle East, a region known for its rapid adoption of blockchain technology and digital assets,”
acknowledged Bashir.
“Taurus is well-known for its unique custody and tokenization capabilities serving banking clients and large enterprises, which aligns perfectly with the needs of the region. We’ve already started interacting closely with regulators, central banks, and clients. and I’m looking forward to delivering cutting-edge and compliant solutions to the market.”
Taurus decision to expand into Dubai aligns with the UAE’s recent efforts to create a more defined regulatory environment for digital assets. Key developments in the region include the establishment of the Virtual Assets Regulatory Authority (VARA) in Dubai and other significant initiatives focusing on digital assets and innovation, such as ADGM and RAK DAO.
Taurus SA’s recent expansion into Dubai comes after establishing a presence in Europe. In Switzerland, it has gained a significant market share in the digital asset infrastructure sector, catering primarily to banks and corporates.
The company has also formed partnerships, notably with Deutsche Bank and CACEIS, a global custodian. Furthermore, Taurus completed a Series B funding round in February, securing US$65 million with contributions from several investors, including Arab Bank Switzerland, Credit Suisse, and Pictet.
Fnality – a UK based fintech bringing together the safety and institutional quality of central bank money with the innovative functionality and resilience of blockchain technology – announced a £77.7m Series B funding round.
This was led by Goldman Sachs and BNP Paribas, with participation from DTCC, Euroclear, Nomura and WisdomTree. There were also additional investments from Series A investors Banco Santander, BNY Mellon, Barclays, CIBC, Commerzbank, ING, Lloyds Banking Group, Nasdaq Ventures, State Street, Sumitomo Mitsui Banking Corporation, and UBS.
The culmination of this latest round brings Fnality‘s total capital raised to £132.7m as it readies for the commencement of initial Sterling Fnality Payment System (£FnPS) operations in 2023, subject to regulatory approval.
Fnality’s latest funding will be utilised to continue progress towards the establishment of a world-first global liquidity management ecosystem that empowers new digital payment models in both wholesale financial markets and emerging tokenised asset markets.
This encompasses key milestones such as FnPS launches in key currencies including USD, strong ecosystem and network growth, and a compelling suite of use cases that will transform payments, settlement, and collateral management in global markets.
Several landmark proofs of concept have already demonstrated many of these capabilities, including for real-time settlement of tokenised securities, real-time cross-border FX swaps, and real-time repo transactions, each of which evidences the potential inherent in leveraging distributed ledger technology (DLT) to facilitate traditional financial activity and achieve faster, safer and more efficient exchange of value in global wholesale markets.
The successful execution of such activity will result in the mutually beneficial use of innovative technology to streamline processes, reduce costs, and ensure regulatory compliance while offering new products and access to new markets. As a growing industry-backed consortium with both substantial digital assets pedigree and longstanding engagement with key central banks and regulators, Fnality is well placed to sit at the intersection of these converging markets, empowering both sides in the process.
Rhomaios Ram
Rhomaios Ram, CEO of Fnality International, comments:
“Our Series B funding round represents the financial sector’s desire for a central bank money backed blockchain-based settlement solution that bridges the gap between traditional finance (TradFi) and decentralised finance (DeFi) in wholesale markets. Each Fnality Payment System utilises DLT to provide a 24/7 payment rail with the ability to reduce settlement cycles to real-time, while significantly improving intraday liquidity management and marking significant innovation in the speed, functionality, and resilience of wholesale payments.”
Frank La Salla
Broadhaven acted as financial advisor to the round, and Sullivan & Cromwell acted as legal counsel.
Featured image credit: Rhomaios Ram, CEO of Fnality International
Commerzbank is the first German full-service bank to be granted the Crypto Custody Licence pursuant to Article 1 Section 1a Sentence 1 No 6 German Banking Act (KWG). The licence will enable the Bank to build up a broad range of digital asset services, with particular emphasis on crypto assets.
The first step by the Bank is to establish a secure and reliable platform with full regulatory compliance to support its institutional clients by providing custody for crypto assets based on blockchain technology.
Jörg Oliveri del Castillo-Schulz
“Now that we have been granted the licence, we have achieved an important milestone. This highlights our ongoing commitment to applying the latest technologies and innovations, and it forms the foundation for supporting our customers in the areas of digital assets,”
commented Dr Jörg Oliveri del Castillo-Schulz, Chief Operating Officer of Commerzbank.
Earlier this month, Sam Bankman-Fried, the founder of defunct cryptocurrency exchange FTX, was found guilty for his role in the collapse of the company. The disgraced founder, who once ran one of the world’s biggest crypto exchanges, is now facing a maximum sentence of 115 years in prison.
A New York jury found Bankman-Fried guilty on all seven charges against him, convicting Bankman-Fried of wire fraud and conspiracy to commit wire fraud against FTX customers and against lenders of its sister hedge fund Alameda Research.
The verdict, delivered on November 02, concludes a stunning fall from grace for the former billionaire, once known as the “crypto king”.
Bankman-Fried was arrested in December 2022 after his crypto exchange FTX went belly up. The spectacular collapse was caused by a spike in customer withdrawals that exposed a US$8 billion hole in the crypto exchange’s accounts.
Prior to its collapse, FTX was among the world’s biggest crypto exchanges by volume and had over one million users. The company, which was at one point valued at a breathtaking US$32 billion, was also incredibly successful in fundraising, having managed to secure about US$1.8 billion from blue-chip investors including Sequoia, Tiger Global, Softbank and Lightspeed Venture Partners.
Severalanalyses of FTX’s infamous 2021 pitch deck have been formulated and released. These analyses take a close look at the document that was presumably used to raise FTX’s staggering US$1 billion Series B of that same year, highlighting that despite the startup’s subsequent challenges, the company achieved what only a few had.
The reports all argue that the pitch deck’s unique elements, including its clear vision, numerical traction and distinctive approach to competition, contributed to FTX’s ability to attract funding from prestigious investors. The document offers up-and-coming entrepreneurs with valuable insights into successful fundraising strategies.
FTX’s 2021 pitch deck analysis
Looking at each key slide, the analyses note that the presentation starts with an “overview” slide which highlights FTX’s vision and notable accomplishments, including being the “fourth-largest crypto exchange” and the “fastest-growing crypto exchange in the world by volume”. It also provides a minimalist timeline showcasing the company’s impressive growth story.
Overview slide, Source: FTX Series B pitch deck
The “overview” slide is followed by a slide presenting FTX’s growth potential and which emphasizes how crypto exchanges can become bigger than their counterparts in traditional finance.
Potential slide, Source: FTX Series B pitch deck
The following slides showcase key numerical milestones and metrics that demonstrate FTX’s success to-date. They include multiple slides emphasizing the growth in trading volume, claiming a 72.5x increase between the start of 2020 and May 2021, as well as 2019’s numbers to offer further reference for the startup’s growth trajectory.
Traction slide, Source: FTX Series B pitch deck
Traction slide 2, Source: FTX Series B pitch deck
The slides also include a comparison with rivals, which, unlike traditional growth and competition slides, emphasize quantitative growth rather than qualitative comparisons. These slides focus solely on how FTX outpaces the growth of its competitors, demonstrating how it grew faster than virtually any other exchange, including Binance, Coinbase and Kraken. These slides maintain a clean and minimalist design to highlight the numerical data, the reports highlight.
FTX growth compared to competitors, Source: FTX Series B pitch deck
The growth and competition slides are followed by a presentation of FTX’s product offering, which, at the time, included futures, spot, leveraged tokens, over the counter (OTC) trading, spot margin trading and peer-to-peer lending, and tokenized stocks.
FTX’s product offering, Source: FTX Series B pitch deck
The following slides then present FTX’s growth strategy, sharing the new products in the pipeline. They also highlight how the startup is able to work with regulators to ensure compliance and present the members of the top management team.
FTX new products and growth strategy, Source: FTX Series B pitch deck
FTX team members, Source: FTX Series B pitch deck
Finally, the closing slide concludes the growth story by showing FTX’s end goal. This slide is unique as it takes an emotional angle, stating that FTX’s goal is to “leave the world a better place than we inherited it,” and noting that “1% of all net revenues are donated to the world’s effective charities.”
Closing slide, Source: FTX Series B pitch deck
The crypto industry has had a tough two-year period, with market capitalization plummeting from an all-time high of US$3 trillion in November 2021 to as low as US$800 billion in December 2022.
2022 was a particularly challenging year that was marked by a series of industry meltdowns that sent bitcoin crashing to its lowest price since 2020. Besides FTX, crypto companies that failed last year include Terraform Labs, Celsius Network, Voyager Digital and Three Arrows Capital.
But over the past couple of weeks, the market has started to bounce back, with bitcoin rising by about 37% over the past month, growing from US$27K in mid-October to now US$37K. The ongoing rally is being spurred by the prospect of new spot crypto exchange-traded funds.
TrueLayer, the European open banking payments network, has appointed Sebastian Vetter as Country Manager to lead the company’s push in Germany as the market matures for open banking payments.
Before joining, Sebastian was at Payoneer where he led the go-to-market activities for SMEs in Germany, Austria and Switzerland, with a focus on import/export businesses in manufacturing and ecommerce, marketplace sellers and professional service providers.
Prior to this, Sebastian was at Mangopay for over 6 years. He first established the DACH region in 2016, where he and his team grew transaction volumes from €10 million to over €500 million in just 3 years. He then went on to help launch local offices in the Netherlands, Nordics and Poland, overseeing the further growth, localisation and alignment of these markets under a new North-Eastern EU region.
This news comes off the back of growth for TrueLayer in Germany, with total payments volumes doubling year on year since 2021. TrueLayer has also recently stated that their Payouts product has reached a 99.3% success rate in the country, along with a coverage of over 93% for instant payments.
Sebastian joins at a very exciting time for EU payments, with regulatory changes afoot in PSD3. At the same time, a commercial space is emerging via the SEPA Payment Account Access scheme, which will bring open banking-based A2A payments to European ecommerce.
Sebastian Vetter
Sebastian Vetter, Country Manager Germany, at TrueLayer, said:
“It’s truly a perfect time to join TrueLayer given their strong momentum in transaction volume and conversion growth and an increasing appetite for open banking/finance services within Germany and Europe as a whole. We have experienced a significant shift in the banking sector’s perception and adoption of open banking over the last few years, and consumers are becoming more and more aware of the benefits they will be able to reap from it.
I am thrilled to start working alongside an incredibly talented international team to deliver innovative value for both consumers and merchants on a path to a more secure, standardised and open future of payments.”
Max Emilson
Commenting, Max Emilson, Chief Commercial Officer, at TrueLayer, said:
“I’m extremely excited to welcome Sebastian to the TrueLayer team. His track record of seriously scaling commercials in the region, while at the same time localising payment product offerings is unmatched. With the way things are shaping up for open banking payments in Germany, this is going to be invaluable for us as we continue to grow adoption in the region!”
Featured image credit: Sebastian Vetter, Country Manager Germany, at TrueLayer
TrueLayer, the European open banking payments network, has appointed Sebastian Vetter as Country Manager to lead the company’s push in Germany as the market matures for open banking payments.
Before joining, Sebastian was at Payoneer where he led the go-to-market activities for SMEs in Germany, Austria and Switzerland, with a focus on import/export businesses in manufacturing and ecommerce, marketplace sellers and professional service providers.
Prior to this, Sebastian was at Mangopay for over 6 years. He first established the DACH region in 2016, where he and his team grew transaction volumes from €10 million to over €500 million in just 3 years. He then went on to help launch local offices in the Netherlands, Nordics and Poland, overseeing the further growth, localisation and alignment of these markets under a new North-Eastern EU region.
This news comes off the back of growth for TrueLayer in Germany, with total payments volumes doubling year on year since 2021. TrueLayer has also recently stated that their Payouts product has reached a 99.3% success rate in the country, along with a coverage of over 93% for instant payments.
Sebastian joins at a very exciting time for EU payments, with regulatory changes afoot in PSD3. At the same time, a commercial space is emerging via the SEPA Payment Account Access scheme, which will bring open banking-based A2A payments to European ecommerce.
Sebastian Vetter
Sebastian Vetter, Country Manager Germany, at TrueLayer, said:
“It’s truly a perfect time to join TrueLayer given their strong momentum in transaction volume and conversion growth and an increasing appetite for open banking/finance services within Germany and Europe as a whole. We have experienced a significant shift in the banking sector’s perception and adoption of open banking over the last few years, and consumers are becoming more and more aware of the benefits they will be able to reap from it.
I am thrilled to start working alongside an incredibly talented international team to deliver innovative value for both consumers and merchants on a path to a more secure, standardised and open future of payments.”
Max Emilson
Commenting, Max Emilson, Chief Commercial Officer, at TrueLayer, said:
“I’m extremely excited to welcome Sebastian to the TrueLayer team. His track record of seriously scaling commercials in the region, while at the same time localising payment product offerings is unmatched. With the way things are shaping up for open banking payments in Germany, this is going to be invaluable for us as we continue to grow adoption in the region!”
Featured image credit: Sebastian Vetter, Country Manager Germany, at TrueLayer
Europe’s digital euro project is moving to its next stage of development and entering the preparation phase.
This new phase will seek to establish the foundations for the potential issuance of a central bank digital currency (CBDC) with works to include finalizing the rulebook, and selecting providers to develop the platform and infrastructure, the Governing Council of the European Central Bank (ECB), announced on October 18, 2023.
The preparation phase, which started on November 01, 2023, will initially last two years and will lay the groundwork for the potential creation of a digital version of the euro. The stage will include drafting regulations, standards and procedures for the digital euro, as well as choosing the providers in charge of developing the technology. It will also include the testing and experimentation of the CBCD.
Improved efficiency and increased innovation
The Eurosystem, the monetary authority of the eurozone comprising the ECB and the central banks of the member states part of the euro area, has been working on the digital euro project since 2021.
Although the initiative has so far remained rather investigative and experimental, the authority believes the introduction of a digital form of the sovereign currency could enhance the efficiency of payment systems, help address issues related to financial inclusion, and, above all, ensure that central banks remain relevant in the digital era.
If a digital euro were to be issued, the CBDC would essentially be a digital version of cash – a currency and payment method that would be widely accessible, free for basic use, and backed by the ECB the same way physical banknotes and coins are, the Eurosystem says.
The digital euro would be usable for all digital payments throughout the euro area, whether online or offline, acting as a pan-European payment solution for the eurozone under European governance. It would allow users to settle payments instantly in CBDC, and would be usable in a peer-to-peer fashion, at the point of sale, in e-commerce and for government transactions.
The technology would also provide a platform on which supervised entities could build pan-European services, fostering thus innovation and and reducing costs.
The digital euro would rely on its own infrastructure and would be developed with data protection in mind, the Eurosystem says. For offline payments, the CBDC would deliver a cash-like level of privacy. For online payments, the authority says it would not be able to see users’ personal data or link payment information.
Distribution of the digital euro
Looking at distribution models, the Eurosystem envisions for the digital euro to be accessible via the proprietary apps and online interfaces of payment service providers.
Authorized payment service providers in the bloc would be required to offer basic digital euro services, including onboarding and offboarding, account linkage, funding and transaction initiation.
The digital euro would also be accessible via a dedicated app provided by the Eurosystem.
People without a bank account or a digital device would be able to issue the digital euro, by using, for instance, a card provided by a public body such as a post office. Users would also be able to exchange digital euro for cash or vice verse at cash machines.
To encourage usage and distribution, the Eurosystem said it would put forward a compensation model to create incentives for banks and payment service providers to distribute the digital euro and to ensure that payments using the CBDC are free of charge and widely accepted across the euro area.
Findings of the investigation phase
The move of the digital euro project towards the development phase follows the completion of the first phase called the investigation phase.
Launched in October 2021, this phase focused on determining the most appropriate design features of the digital euro to meet the Eurosystem’s objectives and ensure smooth integration into the financial ecosystem and payments landscape.
Findings from this phase, which are detailed in a report titled “A stocktake on the digital euro: Summary report on the investigation phase and outlook on the next phase”, reveal that the motivations for the issuance of a digital euro are still as relevant as ever, and that a CBDC could potentially support competition, digitalization and innovation, strengthen European strategic autonomy and enhance the resilience of the bloc’s payments system.
The investigation phase has also demonstrated from a product design and distribution perspective that it would be possible to develop a digital euro that meets users’ needs and the Eurosystem’s requirements.
Moving forward
Although the Eurosystem is moving forward with its digital euro efforts, the authority stresses that no definitive decision has so far been made as to whether or not the bloc will be issuing a CBDC.
That decision will only be considered by the ECB’s Governing Council once the legislative framework for the digital euro has been adopted by the European Parliament and Council, it says.
In June 2023, the European Commission put forward a legislative proposal on the possible digital euro. The draft digital euro regulation proposes, among others, to grant legal tender status to the digital form of the currency. It also includes the provision that people would be able to get the CBDC through their bank on request, and that basic digital euro services would be free of charge of end-users.
A new study from Juniper Research has found that the implementation of AI (Artificial Intelligence) in identity verification will reduce the average time spent per digital onboarding check from over 11 minutes in 2023, to under 8 minutes in 2028; dropping by 30%.
As AI becomes increasingly accurate, it reduces the number of identity checks referred to a human agent for review, and the need for ID photos to be retaken. This decreases the time taken for each verification, as well as the associated costs. The use of AI will also play a key role in protecting against emerging threats, such as synthetic identity fraud.
Total Volume of Digital Identity Verification Checks per annum (m) 2024, Split by Segment
Onboarding Spend to Grow Despite Decreasing Costs
The research anticipates that widespread adoption of digital verification within banking, particularly mobile banking, will continue to drive digital onboarding revenue growth.
Despite the aforementioned increase in efficiency reducing the cost of each individual digital identity verification check, the growing volume of checks, particularly in developing regions, will offset this. As such, Juniper Research forecasts that total spend for banks will increase from $7.4 billion in 2023, to $9.9 billion in 2028; representing a 34% increase.
Report author Michael Greenwood explained:
“Growth will be particularly strong in developing markets, where rising smartphone penetration is making mobile banking more readily available; driving growth in digital onboarding. To capitalise on this, verification vendors must develop onboarding processes that emphasise checks other than credit scores, such as mobile operator history, in order to maximise viability in emerging regions.”
About the Research Suite
The new market research suite offers the most comprehensive assessment of the digital identity verification market to date; providing analysis and forecasts of over 82,000 datapoints across 60 markets over five years. It includes a ‘Competitor Leaderboard’ and examination of current and future market opportunities.
Billte , a Swiss company specialising in invoicing and payment solutions, announced the closing of its financing round led by Spicehaus Partners, with SICTIC as a co-investor. The funds will flow into expanding its reach and facilitate collaboration with banks.
Billte is dedicated to simplifying invoicing and payment processes for businesses, offering efficient and user-friendly solutions with a specific focus on core systems such as eBill and EBICS. With the introduction of eBill Direct Debit, set to replace the current LSV system in the coming years, the Zurich-based startup is well-prepared for the future, guaranteeing that businesses remain at the forefront of modern financial technology.
By collaborating with several Swiss cantonal banks, Billte has extended its services to banks’ business clientele, comprising small, medium, and large enterprises. Leveraging this foundation, the startup aspires to be the go-to service provider for Cantonal banks. The freshly obtained funds from its latest financing round will fuel this ambition. Led by Spicehaus Partners, Billte’s round featured the participation of SICTIC business angels.
The investment from the latest round bolsters the startup’s position, enabling it to accelerate its growth and expansion in Switzerland and internationally. This is facilitated by pre-existing partnerships with several Swiss Cantonal Banks. While the amount in the recent fundraising remains undisclosed, Billte has secured around CHF 2 million since its inception.
Raphael Bianchi
Raphael Bianchi, Managing Director of Synpulse Switzerland, investor and Billte’s board member, said:
“As we approach 2024, we see significant transformations on the horizon. Substantial shifts are underway in the global financial sector, with particular relevance to the Swiss financial landscape. Through our long-term partnership with Billte, we anticipate being well-equipped to address various dimensions of these evolutions, offering a diverse range of cutting-edge products to assist financial institutions in effectively meeting the needs of their small, medium, and large clientele. We are delighted that investors like Spicehaus and several SICTIC members also share this vision.”
The neobanking sector is undergoing significant changes where priorities are being shifted from rapid expansion to profitability. New data from Simon-Kucher indicate that the strategy has so far paid off, with an increasing number of neobanks reaching profitability and industry revenues growing by about 43% over the past 18 months, a new report by the global consultancy shows.
The data were shared in a newly released report titled “The Future of Neobanking – Profits at the End of the Tunnel”. The document delves into the evolving neobanking landscape, emphasizing that amid a trying funding environment, neobanks are changing their strategies and focusing on financial performances, a shift that has had a positive impact on the sector.
Data from the report reveal that over the past year and a half, the neobanking sector has recorded strong growth. Among the largest industry players, 20 neobanks are now hosting 10 million or more clients, while 39 boast over 5 million customers. Several of these neobanks are now among the top 5 or 10 of the largest banks in their respective country, increasingly stepping on the toes of incumbent banks.
Globally, neobanks continue to gain traction with the total number of clients crossing the one billion market during the studied period. As of October 2023, the neobanking sector served roughly 1.1 billion clients globally, a figure which represents an impressive increase of more than 30% in the past 18 months.
Digital banks in Asia-Pacific (APAC) and Africa are catching up quickly, the report notes, owing to these markets’ large populations and significant number of underbanked clients. In South Africa, for example, TymeBank has racked up more than 8 million customers since its launch in February 2019 and is now adding an average of 200,000 customers a month; in Indonesia, Bank Jago grew from 3.5 million to 7.5 million clients in one year; and in the Philippines, Rizal Commercial Banking Corporation’s new mobile banking app DiskarTech reached 1 million clients in just 38 days after launch.
Neobanking revenues are also soaring. Over the past 18 months, average revenues per client increased from US$69 to US$75, representing a nearly 50% increase.
Global neobanking industry growth metrics, Source: The Future of Neobanking: Profits at the End of the Tunnel, Simon-Kucher, Oct 2023
Global neobanking leaders
Delving deeper into profitability in the neobanking sector, the Simon-Kucher report shares findings of a new analysis of players’ key growth metrics and financial performances.
The Simon-Kucher Neobanking Profitability Matrix, which distinguishes the neobanks that achieved customer growth with a clear lens on profitability, reveals that only 6 neobanks of the 33 global leading neobanks selected for the analysis are positioned in the “Better Growth” quadrant. The category features digital banks that have posted positive earnings before interest and taxes (EBIT) while growing above peer average.
These 6 neobanks are the only ones of the group that are turning a profit, and comprise Nubank from Brazil, Bank Jago from the Philippines, Kakao Bank from South Korea, and Starling Bank, Wise and Revolut, all headquartered in the UK.
Simon-Kucher’s Neobanking Profitability Matrix 2023, Source: The Future of Neobanking: Profits at the End of the Tunnel, Simon-Kucher, Oct 2023
These industry leaders are outperforming competitors, and have relied on a strategy involving six core principles and areas of focus, the report notes. First, they have all managed to diversify revenue streams and expanded beyond account fees or transactional revenues. Starling Bank, for example, made almost 80% of its 2022 revenue pool from interest-linked business, it notes. On the contrary, about 50% of the remaining neobanks are yet to seriously offer credit to their clients.
In addition, these six neobanks are relying on a hyper-localized approach, embracing a sharp regional focus that has allowed them to develop a deep understanding of customer needs, regulatory advantages and an edge over global competitors. Relevant examples include Nubank, which spent its first six years of existence focused on excelling in its home country of Brazil where it now serves 80 million customers, and Kakao Bank, which grew rapidly in its domestic market for several years before recently announcing international expansion plans.
Another point highlighted in the report is these neobanks’ ingenuity and their use of cutting-edge technologies.
Starling Bank, meanwhile, launched its banking-as-a-service (BaaS) offering Engine in 2022, providing banks and financial institutions around the world the ability to create new propositions or brands using its core technology; and MoneyLion integrated earlier this year Even Financial, an award-winning embedded finance platform for enterprise businesses.
These leading neobanks are also launching products on a loop and gradually increasing the value-add for their customers. Revolut, for example, now offers more than 20 products, including pioneer features like “Stays” or “Experiences”, which allow customers to book accommodations and travel tours; and Mashreq Neo, a smartphone banking app by incumbent bank Mashreq Bank, has partnered with the Indian Federal Bank to offer digital non-resident account opening in the United Arab Emirates (UAE).
Finally, the last differentiator outlined in the Simon-Kucher report that’s perhaps the most important one is the existence of a sound monetization model. This involves seeking a “product-market-pricing” fit; identifying customer segments that are currently lacking access to specific financial services; leveraging the power of bundling to add more value to customers; and developing an appropriate pricing strategy that resonates with the individualities of each customer.
Key areas of focus for fintech companies looking to develop sound monetization models, Source: The Future of Neobanking: Profits at the End of the Tunnel, Simon-Kucher, Oct 2023
After years of rapid growth and funding frenzy, the neobanking sector has now entered a new era that’s marked by a deceleration in the number of newly established neobanks and early signs of consolidation.
Data from Simon-Kucher show that the number of live neobanks has remained nearly constant at around 400 over the past year or so. The consultancy identified only 36 new players entering the market during the last 18 months.
Other players meanwhile are exploring the benefits of joining forces through mergers. Examples include the acquisition of Penta by Qonto in the European small and medium-sized enterprise (SME) space, as well as the reported discussions between UK digital bank Monzo and Nordic lender Lunar.
Tenity announced the agreement to fully acquire Hackquarters, a London- and Istanbul-based startup accelerator and corporate innovation partner with a strong footprint in the fintech space.
This strategic acquisition is an important step in the company’s growth strategy, creating powerful synergies in innovation program delivery and geographic reach. The integration of Tenity and Hackquarters will further solidify the combined company’s ecosystem of hubs, scaling delivery across 6 hubs in Europe and Asia.
Andreas Iten
“The landscape of corporate accelerators and incubators in Europe is highly fragmented, presenting unique challenges for corporates looking for the right partner,”
said Andreas Iten, CEO and Co-Founder of Tenity.
“With the acquisition of Hackquarters, we see a remarkable opportunitiy to create additional value for our ecosystem and partners. Together, we can create synergies across geographies, foster knowledge transfer, and generate a powerful network effect. We’re confident that Hackquarters is the perfect partner to achieve these goals.”
Kaan Akin, Founder and CEO of Hackquarters, will transition into a vital leadership within Tenity as Managing Partner. Akin brings a wealth of knowledge and experience to the team that will play a crucial role in realizing the company’s vision for a thriving, interconnected network of hubs.
Kaan Akin
“I am thrilled to join Tenity and continue to drive forward our shared vision,”
said Akin.
“Our combined strength presents a fantastic opportunity to accelerate the delivery of innovative solutions to our corporate partners and startups.”
Der Verwaltungsrat der Viseca Payment Services SA ernennt Stefan Brunner zum Chief Product Officer.
In der neu geschaffenen Position verantwortet er das Business Development, das Product Management, das Digital Business und das Marketing der Viseca und nimmt Einsitz in die Geschäftsleitung. Zu seinen Kernaufgaben gehören unter anderem das Vorantreiben der Digitalisierung des Unternehmens sowie die Weiterentwicklung der mehrfach ausgezeichneten one App.
Stefan Brunner
Stefan Brunner bringt langjährige Erfahrung in den Bereichen Digital und Mobile Banking mit und kennt sich bestens mit agilen Entwicklungsmethoden aus. Während mehr als 20 Jahren war er in entsprechenden Funktionen für die UBS tätig, zuletzt im Rang eines Managing Directors als Crew Product Lead für die UBS Digital Banking Plattform und Digital Security. Er ist diplomierter Betriebsökonom FH mit Bachelor-Abschluss in Betriebsökonomie und Vertiefung in Wirtschaftsinformatik.
Max Schönholzer
Max Schönholzer, CEO der Viseca:
«Wir freuen uns sehr, dass wir mit Stefan Brunner einen ausgewiesenen Digital-Experten mit langjähriger Erfahrung für die Position des Chief Product Officers gewinnen konnten. Das Payment-Geschäft entwickelt sich rasant weiter und Digitalisierung ist für die Viseca eine Kernkompetenz. Nicht zuletzt dank der mehrfach ausgezeichneten one App haben wir eine starke Position im Markt. Diese wollen wir auch künftig weiter ausbauen. Stefan Brunner wird diese Bereiche zusammen mit seinen Teams weiter vorantreiben.»
Stefan Brunner wird direkt an CEO Max Schönholzer rapportieren. Er tritt seine Position bei Viseca per 1. März 2024 an.
Der Hype um börsengehandelte Indexfonds (ETFs) nimmt kein Ende, wie aus einer neuen ETF Studie von Business2Community hervorgeht.
Allen voran in Deutschland scheinen sich ETFs grosser Beliebtheit zu erfreuen. So haben die Privatanleger in der Bundesrepublik 135 Milliarden Euro in jene Fonds investiert. Im restlichen Kontinentaleuropa sind es 65 Milliarden Euro.
Wie die Erhebung aufzeigt, bestehen Depots von wenig erfahrenen Anlegern im Durchschnitt zu 31 Prozent aus ETFs, wohingegen der Anteil bei erfahrenen Anlegern bei knapp 22 Prozent liegt. Andersherum verhält es sich mit Einzelaktien.
In den vergangenen Jahren kam es zu einem sprunghaften Anstieg von ETF-Sparplänen. 2017 gab es derer in Deutschland 0,5 Millionen – aktuellen Daten zufolge sind es gegen Ende 2023 rund 7,6 Millionen Stück.
48% wollen in ETF künftig investieren
Viele haben in den vergangenen Jahren in ETFs investiert – und noch mehr wollen es künftig tun. Von denen, die noch keine ETFs im Portfolio haben, gaben 2023 etwa 48 Prozent an, in den nächsten 2 Jahren in ETFs investieren zu wollen. Ein Jahr zuvor waren es indes 41 Prozent. Die am häufigsten genannten Gründe für ein Investment sind Aspekte der Diversifizierung sowie die geringen Gebühren.
ESG ETFs im Trend
Auch steigt die Bedeutung von ESG-ETFs zunehmend an. 54 Prozent der Deutschen wollen ihr Engagement in diesem Bereich in den nächsten 3 Jahren erhöhen.
In seinem neuesten Werk, das im November 2023 beim Springer Verlag erschienen ist, widmet sich Dr. Daniel Fasnacht, Fellow und Program Director an der Universität Zürich und Experte für Trends, digitale Transformation, disruptive Technologien und Geschäftsmodell-Innovationen, der Thematik der offenen und digitalen Ökosysteme.
Daniel Fasnacht
Er erläutert anschaulich anhand von Beispielen von Accenture, Alibaba, Alipay, Alphabet, Amazon, Apple, ETH Zürich, Google, IBM, Migros, NatWest Group, NIO, Tencent, UBS und WeChat, wie diese Ökosysteme dazu beitragen, Produkte und Dienstleistungen über Unternehmensgrenzen hinweg zu entwickeln und anzubieten.
Dabei werden verschiedene Technologien kombiniert, um eine neue, sektorübergreifende Wertschöpfung zu fördern.
Fasnacht geht in seinem Buch der Frage nach, warum diese Ökosysteme den grenzenlosen Konsum fördern und weshalb Plattform-Geschäftsmodelle die führende Managementstrategie des kommenden Jahrzehnts werden.
Er beleuchtet die Verbindung zwischen Transformation und kreativer Zerstörung und diskutiert, ob dies eine Dystopie oder eine Chance darstellt. Ausserdem wirft er einen Blick auf die Zukunft der Arbeit im Kontext dieser Ökosysteme und beleuchtet, welche Aspekte Führungskräfte dabei beachten müssen.
HSBC announced the first trades tokenising the ownership of physical gold held in HSBC’s London vault, using distributed ledger technology (DLT).
HSBC has developed this capability by creating a ‘digital twin’ of an existing physical asset – specifically loco London gold that is custodied in HSBC’s vault. Tokenised physical gold can be traded between HSBC and institutional investors through the HSBC Evolve single dealer platform, or through an application programming interface (API).
Richard Bibbey, HSBC’s Global Head of FX, EM rates and Commodities, said:
“As one of the earliest adopters of DLT, we are pleased to reinforce our leadership position in the gold market by tokenising physical gold. We continue to pave the way for improving the post-trade market infrastructure of capital markets.”
HSBC’s approach to gold tokenisation generates a permissioned digital representation of clients’ physical gold holdings, which is integrated into HSBC’s operational infrastructure, including HSBC Evolve. This provides a digital overlay for clients to see their tokenised gold trades and positions that correspond with their physical holdings.
This in turn allows for an automated and, therefore, more efficient and cost-effective way for investors to keep track of their allocated as well as unallocated gold. This approach enables an automatic allocation of gold bars, which meet investors’ criteria, and then tokenises them.
While loco London gold bars are 400 troy ounces, one token on HSBC’s gold tokenisation platform is equivalent to 0.001 troy ounce. In due course, this could enable fractionalisation of loco London gold bars and direct investment by retail investors, depending on the jurisdiction and regulatory framework of where the retail investor is based.
HSBC’s gold tokenisation approach complements HSBC Orion, the bank’s existing platform for issuing and storing native digital assets such as digital bonds.
John O’Neill
John O’Neill, Global Head of Digital Assets Strategy, Markets and Securities Services, HSBC, said:
“Tokenising physical gold represents a further advance in HSBC’s overall digital assets strategy. In addition to demand for native digital assets, we are seeing appetite for tokenisation solutions that can maintain a link to specific real-world use cases, such as gold. Our approach to gold tokenisation complements HSBC Orion, and is part of our commitment to creating a world-leading set of digital asset capabilities to best serve the needs of our clients.”
HSBC is one of the world’s largest precious metals custodians and is one of four clearers of the loco London gold market, where, according to the London Bullion Market Association (LBMA), over 20 million ounces of gold are cleared daily on a net basis.
HSBC is set to introduce a new custody service for managing digital assets like tokenised securities, aimed at its institutional clients.
This service is expected to start in 2024 and will work alongside HSBC‘s existing digital platforms, including Orion for issuing digital assets and a recent programme for digital gold.
The bank is collaborating with Metaco, a Swiss-based provider of digital asset custody and tokenisation technology, to use its Harmonize platform, which will enhance the security and management of these digital asset services.
Zhu Kuang Lee
Zhu Kuang Lee, Chief Digital, Data and Innovation Officer, Securities Services, HSBC said,
“We’re seeing increasing demand for custody and fund administration of digital assets from asset managers and asset owners, as this market continues to evolve.
Through key partnerships, HSBC is delivering the next-generation custody infrastructure that will be scalable and secure. For asset servicers, there has never been a more important time to innovate, to collaborate and to create change.”
Adrien Treccani
Adrien Treccani, CEO and Founder of Metaco said,
“Metaco is excited to be working with HSBC as it continues to explore the applications of DLT in asset creation and custody.
Custody infrastructure such as Metaco’s Harmonize, which integrates with financial institutions’ existing systems, will be critical to how issuers and investors interact, as capital markets and assets in general continue to be represented on distributed ledgers.”
Die neueste Colombus Consulting’s Studie zeigt auch in diesem Jahr eine positive Entwicklung im digitalen Bereich, mit zahlreichen Neuerungen.
Das Wachstum ist jedoch nicht mehr in allen Bereichen zu beobachten, ein Rückgang ist bei den sozialen Netzwerken zu verzeichnen. Die generative KI könnte ein Wachstumstreiber sein und die Kundenbeziehungen dynamisieren.
Eine Rangliste, die 2023 insbesondere durch den Eintritt von Alpian auf den Kopf gestellt wird
Das Trio aus Julius Bär, Vontobel und Lombard Odier, das die Rangliste in den letzten Jahren dominierte, wird in diesem Jahr kräftig durchgeschüttelt. So findet man in den Top 5: Vontobel, Julius Bär, Pictet, Lombard Odier und nun auch Alpian, das einen bemerkenswerten Eintritt verzeichnet.
Abgesehen von den Entwicklungen in der Rangliste ist das Wachstum nicht mehr systematisch. Einige Zahlen verdeutlichen diese Unterschiede: Das Publikum des Panels ist um 7 % gestiegen, die Netzwerke sind in Bezug auf das Engagement stabil, aber die Zahl der Abonnenten sinkt.
Die Medieninvestitionen sind hingegen stark angestiegen (um mehr als 60 %), insbesondere für die Suchmaschinenoptimierung. Abgesehen vom Ranking geht die Entwicklung der Dienstleistungen weiter, mit Trading, einer Zunahme der Krypto-Angebote, die mit der Sicherheit einer Privatbank einhergehen (Julius Bär in Partnerschaft mit SEBA Banque und Syz über sein Angebot „Syz Crypto“, das von Taurus gesichert wird), aber auch einem verstärkten Engagement im digitalen Bereich und in sozialen Netzwerken (Edmond de Rothschild, Julius Bär, Syz usw.).
Mobile Apps entwickeln sich nach einigem Zögern
Die Bemühungen der Privatbanken konzentrieren sich auf mobile Apps. Während Mirabaud in diesem Bereich nur seinen Rückstand aufholt, investieren die anderen Firmen weiter, wie beispielsweise Vontobel (Volt), Lombard Odier (MyLO), UBP mobile und Alpian.
Die Optimierung der Bildschirme, die konsolidierte Anlageberatung, Anlagevorschläge, Push-Nachrichten bei Veröffentlichungen von Finanzanalysten, die elektronische Unterzeichnung von Dokumenten und die biometrische Authentifizierung sind nur einige der Neuerungen, die in den letzten Monaten eingeführt wurden. Alpian hebt sich durch einen Echtzeit-Chat und die Möglichkeit, einen In-App-Videoanruf mit einem Berater zu planen, ab.
Soziale Netzwerke: Eine noch junge Investition, der bereits die Luft ausgeht?
Während die Privatbanken ihre Investitionen in soziale Netzwerke während der Pandemie erhöht hatten, ist die Entwicklung nunmehr durchwachsen, wobei jedoch ein anhaltender Trend zu beobachten ist, ihre Zielgruppen mit CSR- und ESG-Themen zu erreichen. Während die Budgets für soziale Netzwerke weiterhin steigen (+17 %), nimmt das Engagement nicht mehr zu, und die Reichweite durch die Anzahl der Abonnenten ist rückläufig (-9 %). Dies ist ein allgemeiner Trend, der über den Privatbankensektor hinausgeht.
Alpian schlägt einen neuen Weg ein
Indem man daran arbeitet, das Verhalten, die Bedürfnisse und Wünsche der Kunden anhand von Daten zu verstehen, wird die digitale Technik zu einem Verbündeten, um die Erwartungen der Kunden anhand ihre Interaktionen besser zu erkennen. In einigen Privatbanken wird das digitale Marketing so zu einem neuen Werkzeug im Arsenal der Berater, um Bedürfnisse und Erwartungen zu erkennen und den Kunden neue Dienstleistungen anzubieten.
Innovation stark auf Bankprodukte ausgerichtet, während WealthTech-Investitionen rückläufig sind
Privatbanken kommunizieren immer stark über ihre neuen Finanzprodukte (Krypto-Wallet, Robo-Advisory, Portfolio-Konsolidierung usw.). Diese Innovationen haben oft von der Entwicklung von WealthTech profitiert und ermöglichen es, mehr digitale Dienstleistungen anzubieten, die auch die Potenziale der künstlichen Intelligenz nutzen.
„Nach einem Rekordjahr 2021 waren die letzten Monate von einem deutlichen Rückgang der Investitionen in FinTech und WealthTech geprägt. Diese besondere Zeit zwischen dem Bedürfnis der Privatbanken, sich digital zu differenzieren, und der Konsolidierung des WealthTech-Sektors stellt für die Banken eine zweifellos einmalige Gelegenheit dar, Akteure aus diesem Sektor in ihr Ökosystem zu integrieren“, fügt Jean Meneveau, geschäftsführender Gesellschafter von Colombus Consulting Schweiz, hinzu.
Generative KI als Verbündeter zur Beschleunigung und Belebung des Kundendialogs?
Historisch gesehen setzen Privatbanken kaum künstliche Intelligenz im Kundenbeziehungsmanagement ein, da die hyperpersönliche Beratung die Stärke der Berater ist. Der Einsatz generativer KI könnte jedoch die Verarbeitung heterogener und komplexer Kundeninformationen und -anfragen erleichtern und die Vorbereitung präziserer, schnellerer Antworten ermöglichen.
Das Beispiel des Riesen Morgan Stanley verdeutlicht diesen Trend: Nach einem ersten erfolgreichen Test eines von OpenAI gespeisten Chatbots wird diese Lösung nun bei den 16.000 Beratern eingesetzt, um sie bei ihren täglichen Aufgaben zu unterstützen. „Das Privatbankwesen ist nach wie vor ein konservativer Sektor, wenn es um die Verwaltung von Kundenbeziehungen geht, aber die Benutzerfreundlichkeit der generativen KI könnte die Banken davon überzeugen, auf den Zug aufzuspringen, um die Front-Office-Aktivitäten zu erleichtern“, schliesst Jean Meneveau.
Digital Index: Die globale digitale Performance der Branche
Colombus Consulting präsentiert das globale Ranking des digitalen Index, welcher die digitale 360°-Performance von Privatbanken anhand von 50 Indikatoren, in vier Bereichen Web, Mobile, Marketing und Social, misst. Dieses Ranking hebt die gute Performance der drei führenden Banken hervor, die einen grossen Vorsprung zu ihren Wettbewerbern haben.
Methodik
Colombus Consulting hat diese Studie auf der Grundlage von Messungen vom Januar bis März 2023 und einem Panel von 28 wichtigen Privatbanken in der Schweiz durchgeführt.
Colombus Consulting bietet einen digitalen Index an, der die digitale 360°-Präsenz und -Performance von Akteuren anhand von 50 Indikatoren misst, darunter:
Webseite: Publikum, Performance (Bounce, Besuchs- und Ladezeit), Kundenerlebnis (Design, Inhalte und Funktionen)
Mobile Apps: Updates, Kommentare und Bewertungen, NPS (Net Promoter Score), SEO in den Filialen
Colombus Consulting verwendet verschiedene Erfassungsinstrumente des Marktes und hat alle Daten in Form eines Indexes aufgearbeitet, der einen einfachen und visuellen Benchmark des Sektors ermöglicht. Die gewählten Tools sind: Decodeapps, Alexa, Similar Web, Semrush, Builtwith
Visa berät Banken und weitere Partner künftig beim Einsatz von künstlicher Intelligenz.
Die neu gegründete AI Advisory Practice der hauseigenen Beratung Visa Consulting & Analytics (VCA) unterstützt die Visa Kunden dabei, Potenziale im Bereich KI und generativer KI zu nutzen.
Visa hat als erstes Zahlungsnetzwerk künstliche Intelligenz genutzt, um Betrug zu erkennen. Seit 30 Jahren setzt das Unternehmen KI ein, um Dienstleistungen weiterzuentwickeln und weltweit sichere, reibungslose Transaktionen zu ermöglichen.
Allein in den vergangenen zehn Jahren hat Visa mehr als drei Milliarden US-Dollar in KI und Dateninfrastruktur investiert. Bereits im letzten Jahr hat VCA weltweit zahlreiche KI-bezogene Beratungsaufträge realisiert. In diesem Zuge wurden über 150 Modelle entwickelt, die die Grundlage für das spezielle KI-Beratungsangebot bilden und damit Visas Angebot an B2B-Mehrwertdiensten strategisch ergänzen.
Santosh Ritter
«KI verändert nicht nur ganze Branchen weltweit – sie revolutioniert sie. Die Zahlungsindustrie steht bei dieser Transformation an vorderster Front»,
sagt Santosh Ritter, Country Manager Schweiz und Liechtenstein bei Visa.
«Visa nutzt künstliche Intelligenz nicht nur, um das Bezahlen sicherer zu machen – unser Beratungsgeschäft setzt sie nun auch ein, um unseren Kunden dabei zu helfen zu wachsen und neu zu definieren, wie sie ihre eigenen Kunden bedienen.»
Visas neuer KI-Beratungsservice nutzt VCAs globales Netzwerk von über 1000 Berater:innen, Data Scientists und Produktspezialisten an 75 Standorten auf sechs Kontinenten, um Kunden dabei zu helfen, die KI-Landschaft und die Potenziale generativer KI besser zu verstehen und nutzen zu können.
VCA bietet entlang der gesamten Wertschöpfungskette Dienstleistungen an – von der Planung und Strategie bis zur Implementierung. Dieser kollaborative Ansatz soll Kunden dabei helfen, ihre eigene Strategie für den verantwortungsvollen Umgang mit KI zu bestimmen und KI effektiver zur Erreichung ihrer Geschäftsziele einzusetzen – wie u.a. Markterweiterung, Produktdesign, Kundengewinnung und Verbesserung des Kundenengagements, Autorisierung und Betrugsprävention.
Weitere Informationen zum Thema generative KI im Zahlungsverkehr in diesem Visa Whitepaper.
Syz Capital, the boutique private markets investment specialist, announced today that it has made a strategic controlling investment in Capture Media, a Swiss leader in digital media and analytics solutions. Backed by the Syz family, and in close partnership with Saturnus Capital, Syz Capital will deploy a strategy to expand Capture Media’s pioneering and highly differentiated offering in the DACH region.
The transaction involves Syz Capital acquiring a majority controlling stake with operating partners Saturnus, while the founders of the business, Sandro Albin, Michel Lazecki and Franz d’Huc, are reinvesting and retaining a significant minority share. The investment reflects Syz Capital’s confidence in Capture Media’s exceptional growth potential and unique offering.
Capture Media has shown exponential growth in the dynamic digital advertising industry. The firm has been expanding at over three times the industry’s average growth rate in the last five years. The strategic rationale behind the investment is rooted in the robust growth of the digital advertising industry, which continues to flourish at over 9% annually in the DACH region. Moreover, European markets still lag behind the United States in online marketing penetration, offering immense growth opportunities.
The firm is the market leader and pioneer in engagement advertising in Switzerland. Its tracking tool fusedeck® is 100% GDPR compliant and outperforms its competitors in terms of capturing website and landing page traffic. The deal will empower Capture Media to expand and increase its market share. The group has a highly diversified customer base of well-known blue-chip clients in a wide range of industries.
Strategic alignment
Syz Capital and Saturnus Capital are ideally positioned to support the organic and inorganic growth plans of Capture Media given its proximity to key markets and growing reputation in the region. With a strong team in place, Capture Media plans to expand substantially, especially in western Switzerland, and via strategic acquisitions in Germany and Austria. The company also intends to enhance product capabilities leveraging industry experts, including a former Google executive, who is joining as advisor.
The founders of Capture Media, Sandro Albin and Michel Lazecki, will continue to operate as company directors. They will be joined by a new CFO and COO. Syz Capital’s deeply experienced operating partners, Joscha Boehm and Philipp Schweizer, will join the board of directors, alongside Marc Syz, and lead the M&A acquisition expansion strategy.
Marc Syz
Marc Syz, Syz Capital’s managing partner, commented on the transaction:
“Capture Media is the fastest-growing Engagement Advertising Provider in Switzerland offering innovative solutions for digital marketing. This is an entrepreneurial company with healthy cashflow that is well-positioned to benefit from the expanding online marketing landscape. It is also a unique player in digital marketing, positioned between performance and engagement marketing. Currently, the DACH region is fragmented, offering several M&A add-on opportunities. We believe Capture Media Group is ideally suited to execute a buy- and-build strategy in Europe.”
Joscha Boehm and Philipp Schweizer, the Founding Partners of Saturnus Capital, added:
“We are thrilled to have found another exciting investment opportunity in our core market and to team up with Syz Capital once again. Capture Media is a market and technology leader, offering strong growth potential, both nationally and internationally, and we look forward to a close collaboration with the founders and management in the years to come.”
Michel Lazecki, Sandro Albin and Franz d’Huc, the Founding Parters of Capture Media commented:
“We are excited to have found ideal partners in Syz Capital and Saturnus Capital to help us achieve our growth targets in the years to come. In the last couple of years, we have established engagement advertising in Switzerland and we believe in the big potential to make this product offering also available to other markets. We are looking forward to launch new data-driven online advertising products, further strengthen our tracking and analytics product, fusedeck®, and generate value for our clients, in our home market and abroad.”
