This week in fintech: stock trading vs robo-advisors, bitcoin shows signs of maturation, China’s PayPal is raising billions, and Nasdaq’s 2017 fintech predictions:
The robo-advisor is a fast-growing trend, but active investors aren’t going anywhere. Here’s why the market for active trading is growing, not shrinking, alongside the market for automated investment advice.
Is Bitcoin Growing Up? (Bloomberg)
As Bitcoin’s use cases become more “mainstream,” its price is becoming much less volatile. While there is no ETF for Bitcoin (yet,) futures contracts are now allowing more investors to hedge their positions or even short Bitcoin, which is helping to smooth out price fluctuations.
Ant Financial Raising $3 Billion to Fund Deals (Bloomberg Tech)
Ali Baba’s financial arm, the owner of AliPay, is raising $3 Billion in debt to fund its latest acquisitions, including the $880 million purchase of MoneyGram, which has a presence in the US. The fundraising comes ahead of their planned IPO, which is expected to value the company at $60 billion, even higher than PayPal.
State of Fintech For 2017 (NASDAQ)
Nasdaq put out some predictions for 2017 fintech. Among them: cryptocurrencies grow up, chatbots find a home in finance, and AI automates the back office.