This week in FinTech: which companies are targeting millennial customers, consolidation is looming and that’s good for everyone, lots of new funding for investing technologies, and regulatory issues for partnerships.
63 FinTech Startups Targeting Millennials (CB Insights)
From personal investing to crowdfunding, this infographic from CB Insights shows some of the biggest startups targeting millennial customers by using familiar tactics like mobile messaging and social networking.
Despite shaky equity markets, FinTech fundings continued strong last week. In the investing sphere, funding rounds were closed for Xignite, an API service provider, Stash, a beliefs-driven digital advisor, RKSV, an Indian free trade platform, and SwipeStox, Tinder for Traders.
Is 2016 the Year that Consolidation Hits the FinTech Market? (Finance Magnates)
2015’s rapid growth in FinTech may be giving rise to a pullback, and that’s good for startups and big banks. The longstanding banks can cut back on researching which technology works and which does not, since the startup market successes and failures are their own indicators. For startups, consolidation in the market can help scale their new technologies and provide access to established customer bases.
Startups seek to partner with large institutions for expanded reach, but as soon as they do, they step into a compliance nightmare. Influential tech leaders have begun lobbying Washington regulators to catch up with the times by writing laws to make startup-incumbent partnerships easy.
Fintech remains in an evolution, not a revolution. Real change will happen when tech is a regular player in everyday operations and earnings calls for big banks and incumbent players.