Banking as a service

Yosea Iskandar (The Jakarta Post) PREMIUM Jakarta   ● Tue, March 21 2023 The collapse of three United States banks, Silvergate Bank, Silicon Valley Bank and Signature Bank, sent ripples through both the banking and cryptocurrency industries this month. The three banks, which focus on technology start-ups and digital assets clients, experienced setbacks due to soaring interest rates, customer withdrawals and regulatory pressures. Silvergate Bank had close ties to FTX, a bankrupt cryptocurrency exchange accused of fraud by the US Department of Justice. It announced on March 8 its intention to wind down operations and voluntarily liquidate after suffering losses related to the dramatic collapse of crypto-exchange FTX. Silvergate reported a one-billion-dollar loss as investors raced to withdraw their deposits. Silicon Valley Bank or SVB was the 16 th -largest bank in the US, which provided banking services to nearly half of all US venture-backed technology and … [Read more...] about Lessons learned from a modern banking odyssey

Share to Twitter Share to Linkedin The highly anticipated release of GPT-4, the latest iteration of OpenAI's groundbreaking language model, has sent ripples of excitement throughout the banking and fintech industry. As ChatGPT’s capabilities expand, the traditional roles of personal finance management and financial advisors may soon become obsolete, paving the way for a new era of customized and intelligent financial solutions. The latest release of GTP-4 shows how quick ChatGPT is evolving. Industry giants like Microsoft MSFT and fintech firms like Stripe recently announced integrations of ChatGTP-4, while banks like Morgan Stanley Wealth have publicly announced their internal adoption. With its increased ability to deliver empathetic advice, potential for providing personalized insights, and delivery of real-time information, the ChatGTP-4 and beyond is a dream come true for innovators in financial services and technology. Consumer Expectations: … [Read more...] about A Brave New World: ChatGPT’s Potential To Reshape The Financial Services Landscape

Share to Twitter Share to Linkedin A senior executive texted me a couple hours before writing this article and encapsulated the present angst in corporate America. “How do I resist going to the dark side during these cost-cutting convos?" she asked. It seemed like it had only been a matter of months since her company pivoted from ambitious long-term goals to short-term contraction. Leaders aren’t alone in feeling more than a little disoriented. After an optimistic start to the year, economic headwinds are building once more as inflation remains stubborn at about 6.4%, higher than the 3.3% long-term average. And that doesn’t even consider what’s happening with banks . The turbulence is prompting CEOs to cut jobs and clamp down on other spending. Given the atmosphere, it’s easy to get the wrong message and overcorrect. Yet, the medium-term market outlook still looks good and many CEOs view current business streamlining as necessary to better … [Read more...] about Banking Turmoil, Cost Cuts, Layoffs And More: How To Manage Through The Current Gloom And Doom

Share to Twitter Share to Linkedin Alex Kreger, UX Strategist & Founder of the financial UX design agency UXDA, increases banking and fintech products' value in 36 countries. In just two months after its launch, GPT-3-powered ChatGPT reached 100 million monthly active users, becoming the fastest-growing app in history, according to a UBS report ( via Reuters ). ChatGPT is a language model that uses natural language processing and artificial intelligence (AI) machine learning techniques to understand and generate human-like responses to user queries. I compare GPT's appearance with the launch of the internet in terms of its impact on the future of humanity. It enables machines to understand and generate language interactions in a revolutionary way. GPT (generative pre-trained transformer) AI could disrupt how we engage with technology much like the internet did. It's only been about two months since the launch (as of the time of this … [Read more...] about The Future Of AI In Banking

Share to Twitter Share to Linkedin Jakob Rost, CEO and cofounder at Ayoconnect . With over a decade of experience in e-commerce, fintech and financial services in Indonesia's tech industry, I have gained valuable insights into the evolution of open banking. Open banking has gained significant traction in recent years as a transformative concept in the financial industry. The pandemic has accelerated this adoption even further, as evidenced by the increased popularity of neobanks and alternative financial services aiming to enhance the digital banking experience. According to a report by Polaris Market Research , the global open banking market size was valued at $16.14 billion in 2021 and is projected to reach $128.12 billion by 2030, growing at a CAGR of 26.8% during the forecasted period. Polaris' research also highlighted the Asia Pacific region as the one that will experience the most growth over the forecast period, a trend that I have … [Read more...] about Learning From The Evolution Of Open Banking

After raking in over $7 million in speaking fees from financial institutions in the two years before being confirmed, Treasury Secretary Janet Yellen now plays a major role in determining which banks are systemically important, according to her testimony at a Senate Finance Committee hearing Thursday. Yellen had received more than $7 million in speaking fees from dozens of companies including Goldman Sachs, Bank of America, Citi, Credit Suisse, UBS, Charles Schwab and many more, according to Yellen’s public financial disclosure report. Though the Federal Deposit Insurance Corporation insures deposits up to $250,000, Yellen told the senators the government may insure additional deposits, as it did at the recently failed Silicon Valley Bank (SVB) and Signature Bank, if that bank’s failure would present a “systemic risk” to the economy. WASHINGTON, DC – MARCH 16: U.S. Treasury Secretary Janet Yellen testifies about the Biden Administration’s FY2024 federal budget proposal before … [Read more...] about After Collecting Millions From Wall Street, Janet Yellen Now Helps Decide Which Banks Get Bailouts

Share to Twitter Share to Linkedin A year ago, a study conducted by Workvivo , an employee experience engagement app, highlighted the challenges human resources professionals had to contend with at the time. The study surveyed more than 520 HR professionals in the United States and the U.K. on burnout in the HR department. Ninety-eight percent of HR professionals self-reported that they were experiencing burnout, while 94% said they felt overwhelmed and 88% of respondents said they dreaded work. As a result of workplace transformations, HR navigated in-office, remote and hybrid work styles. They contended with the Great Resignation, sourcing, recruiting, onboarding and retaining workers. The war for talent took its toll, as HR professionals felt undervalued and under-resourced. Human resources professionals are, once again, experiencing stress and anxiety, but this time for a different reason. Instead of being exhausted from all the hiring, HR, … [Read more...] about Human Resources And Recruiters Are Getting Axed

Share to Twitter Share to Linkedin I never thought I would be a part of the fastest bank run in history. On a late Thursday evening earlier this month, I received a text message saying that Silicon Valley Bank – our company’s bank – was on the brink of collapse. I read the message three times, letting it sink in, and then sent out a couple of messages of my own. It was immediately clear what we needed to do. Thanks to the bank's online portal, we extracted all our deposits in a matter of hours. As it turns out, I was not alone. I was part of a digital herd that received the data with unprecedented velocity and translated it into immediate real-world action at an extraordinary rate. Hundreds of executives learned the news about SVB’s precarious situation and collectively withdrew a staggering $42 billion in a single day . Compare that with the last major American bank run, when customers withdrew $16.7 billion over nine days. The difference lies in … [Read more...] about SVB Is A Story Of Digital Herds In Need Of A Shepherd

Share to Twitter Share to Linkedin Gold prices are closing in on an all-time high above $2,000 an ounce. This pair of MoneyShow contributors weighs in on what’s behind the move – and how investors can profit! Sean Brodrick , Weiss Ratings Daily The banking problems started by Silicon Valley Bank are far from over. Depositors are still fleeing smaller banks, figuring they might be facing the same problems as the banks that failed. The ongoing crisis supports gold. One reason is because gold is a safe haven. But it’s also due to another reason … it’s now harder for the Federal Reserve to raise rates! In a week, there has been a huge shift in Wall Street’s bets on the Fed raising rates. Goldman Sachs (GS) expects there to be no rate hike at all. Global financial services group Nomura Holdings (NMR) boldly expects the Fed to CUT at its March 21-22 meeting — something that did not seem possible last week. Even if the Fed hikes … [Read more...] about Why It’s Gold For The Win – And How You Can Profit

A former U.S. Marine was seriously wounded Sunday after a Palestinian terrorist shot at his car with his family inside, according to The Times of Israel. David Stern, a former Marine and weapons instructor, was driving in the West Bank with his wife and children Sunday when a Palestinian man began shooting at the car. Stern was shot in the head but managed to shoot the gunman, who was later apprehended by the Israeli Defense Forces, according to The Times of Israel. (RELATED: Democrats Sympathize More With Palestinians Than Israel For The First Time In Decades, Poll Finds) Stern’s wife was also taken to the hospital for treatment for “traumatic shock” but she and the children were otherwise uninjured, according to The Times of Israel. The attack occurred in the same area where two Israeli brothers were killed several weeks prior. Yesterday, an #antisemitism -fueled terror attack was committed by a #Palestinian terrorist against an #Israeli -American family, … [Read more...] about Ex-US Marine Shoots Terrorist After Getting Shot In The Head During Attack