Our lives are becoming increasing complex than the time when things like credit ratings were implemented. It’s common for people to have a multitude of careers during their lifetime and these may even shift dramatically. The gig-economy is changing the face of employment, with an estimated 40% of the US economy holding contractor jobs in a decade. The notion of ‘stable employment’ may have changed for good, but most financial and credit models are still using that yardstick for measure.
On top of changes to employment and people’s daily lives, people increasingly travel and work in multiple countries, yet each time they cross a border they encounter a hit of the reset button with a lacking history in the new country. Blessing or curse, the models that measure our financial history also grant access to some of the worlds highest enablers, such as access to credit or financial products. Our history can provide many opportunities or lock us out from the running all together.
Financial inclusion is a complex theme and it’s made even more cumbersome given its many dimensions and considerations in an evolving world. Yet with the abundance of data we have, should we not be able to provide better services on an even more personalized basis?
Starting out, entrepreneurs are often at a disadvantage, where before having a regular salary or even opting to never have a ‘regular salary’ may shut one out from the mainstream services as one simply seems outside common definitions. Freelancers face a similar burden, where they may have to register as a sole trader or another label, that may put them at a disadvantage as it comes to taxation.
Advances in distributed technologies like blockchain may offer advantages to create financial inclusion cross borders, something that puts the user in charge of their own data and digital identity, and allows it to cross borders with them.
The data we have should also pave the way for allowing for significant life choices, even though they may go against a linear progression of pay that’s so often idealized. Why couldn’t we provide more inclusive services for those who may wish to drop a high paying career in order to chase aspirations in a completely different line of work?
It seems to me financial inclusion is in a flux state, where its traditional notion is being challenged and pushed to make broader meaning and purpose in people’s lives. To not only provide static services based on age-old definitions, but truly see new services rise in people’s lives that evolve with them.
Internationally awarded digital finance entrepreneur, active in pioneering new securities models worldwide. Has worked in digital finance since 2009, recruited over 100 individuals, built up a operations on six continents and been recognized as one of the top 100 thought leaders in crowdfunding. Markus has pioneered new funding models in the US and Europe, advised policy makers worldwide - including the SEC, the European Commission and Italian regulator CONSOB - for more effective markets, and worked with visionary organizations such as the World Bank and the Kauffman Foundation to improve frameworks for digital finance. Markus has studied computer science and economics (M.Sc).