Follow us on
Difitek
  • News
  • What We Offer
  • Contact Us
  • Visit our Site

Banks Offering Local P2P Networks

4/25/2016

 
Picture
Current headlines are dominated by traditional institutions becoming minor or even major players in fintech platforms globally. This week it was announced that BlackRock made an investment of £12.7 million in Funding Circle. Similar activity is mirrored by companies such as Goldman Sachs, JPMorgan and DBS in Singapore. While these large institutions are making waves in the digital finance space, similar size opportunities are being exploited by community banks and institutions in the form of local P2P networks.  

The aim is simple, institutions with a network of local or “community” banks are providing their customers an alternate avenue to raise capital if they cannot do so within the physical branch. This comes in the form of onboarding these customers onto a digital finance portal which they operate. The motive for the institution is clear and with the rise of “collaboration” it makes entering the market effortless.

​The need for collaboration is framed very well by Eyal Lifshitz of Techcrunch: "Technological advances have raised consumer expectations for a personalized, integrated service, while also reducing the barriers and cost for new entrants to do so, putting banks in a vulnerable position. While startups may not have the infrastructure and systems that give banks their staying power, they aren’t burdened by the legacy systems common in big banks”


Local P2P platforms often sit outside the legacy banking infrastructure and leverage cutting edge technology to automate AML/KYC checks, credit scoring, disbursement and payments. By operating in the “cloud” platforms both future proof scaling and mitigate internal controls to enter the market efficiently.

We at Crowd Valley have seen both local banks and institutions identify this opportunity and enter new markets in a very meaningful way. Utilising their internal expertise in market knowledge, operations and product positioning, it gives them an advantage over most.

Institutions looking to capitalise on collaboration within the fintech space, get in touch with us at Crowd Valley to leverage our full offering and industry leading Digital Back Office that bridge the gap into fintech.
​

Picture
About the author - Pete Woodard

Pete has worked within FinTech since 2013 across a broad range of security applications serving multiple verticals. He has scaled Google Venture backed startups in the AdTech space before joining Crowd Valley. Originally from Canada with a education background in Mechanical Engineering and Marketing. Pete has helped to open up new global markets in the digital investing and lending space. When not firmly rooted in the London FinTech scene he enjoys travelling, always mixing business with pleasure. He has spoken to over 1000 digital investing entrepreneurs, which makes him a valuable resource for trends in new security models.





Comments are closed.

    RSS Feed

       

    Categories

    All
    All Sectors
    Americas
    API
    Asia
    Australasia
    Clean Energy
    Crowd Valley
    CTO Blog
    Difitek
    Equity Investment
    Europe
    Events
    Expert Analysis
    Fintech
    Global
    Interview
    Lending
    Local Funding Network
    Marketing
    Market Watch
    Oceania
    Platform Updates
    Presentations
    Press Release
    Real Estate
    Regulations
    Russia
    Social Capital
    Webinar

Back to Difitek website


Copyright 2018 Crowd Valley Inc. 
All Rights Reserved.

Crowd Valley does not engage in the offer, sale or transfer of securities and securities may not be offered, sold or transferred via this website. Securities may not be offered or sold in the United States absent (i) registration under the U.S. Securities Act of 1933, as amended (the Securities Act) or (ii) an available exemption from registration under the Securities Act. Please consult legal counsel in the appropriate jurisdiction before offering, selling or buying securities as registration under the Securities Act or similar state legislation may be required.

Please note that the provision of the information on this website does not create and is not intended to create a relationship between Crowd Valley Inc. and any other person. You are not and should not regard yourself as being a client or customer of Crowd Valley Inc. and must not expect Crowd Valley Inc. to have any duties or responsibilities to you, act for you or your clients, or be responsible for providing protections afforded to customers or yourselves or be responsible for advising you in any respect.