It is not so long, as it was called, the Fintechs will make the banks and traditional financial service providers. The digitisation of the financial sector is, there is an obvious lack of Innovation, if you look at the development of the banking houses. But what happens with the Non-Blockchain-Fintechs, if crypto financial service providers storm the parquet?
Caught in old structures and a regulatory corset that innovation is not just beneficial, it’s downright inviting, to be comfortable and conservative, and to leave everything as it is. Until the financial crisis of 2008, this Credo was to set the tone, and even ten years later, has often done much. What has changed, however, is the margin pressure and the realization that you can’t survive, such as the duration. Some of the Fintechs that started five to ten years ago, to explain to the banks today, like the Bunny to be running. The bankers press, the school of digital ambassadors to teach, such as financial solutions should look today.
The Disruption by Fintechs has already taken place. The unwelcome regulatory and licensing requirements have become for the “Old” in the meantime, to save the Bastion, which provides for a period, and the young and Wild.
Much time no longer remains the “Old,” however, more and more people are switching to the hip digital banks, such as the N26, Holvi or Revolut. Young people are questioning more and more why many financial services are so awkward in the handling. Despite bureaucratic hurdles must be more in there, thinking mainly of representatives of Generation Y, and change the Bank like a pair of sneakers. Gone are the days of a Bank relationship to be monogamous, held up the rest of your life. It is exactly this change of heart, creates the prerequisite for the crypto-Economy.
The Fintech industry of crypto is now, Start-ups disruptiert?
So far, these changes happen largely without crypto Start-ups. The crypto-Fintechs are still in the development phase, and must create the necessary conditions to be able to in the future on the open market. But it won’t be long until the first accounts of crypto-Fintechs will be issued. How something may look, it proves, for example, the Berlin-based Blockchain-Start-up Bitwala. In cooperation with a partner Bank, it has created the legal framework to be able to soon be full-fledged accounts issue. Accounts that fall under the European Deposit guarantee the Bank account at the Sparkasse or Commerzbank. Banking goes crypto is becoming more tangible, as the convergence of “Old”, Fintechs and crypto Start-ups continues. A few remain on the track, a few others merge and new market leaders, some of them already today, but especially tomorrow.
The Fintechs play an important function, by breaking the same as crypto Start-ups are the old structures and at the same time interfaces to create, in order to enable an embedding of the Blockchain technology in a flexible, modern IT infrastructure. The higher the degree of digitization, the more likely there will be Blockchain Use Cases.
Crypto Start-ups and Fintechs will complement rather than cannibalize each other. There is a market for both for centralized and for decentralized solutions. Rather, the customers get the opportunity to choose whether they prefer to live according to the Motto “Be your own Bank” and responsible for their financial transactions, take on or more for a Non-crypto financial service providers to decide. Of course, there will be at one point or another and Fintechs, whose business is threatened model by crypto Start-ups. The majority of benefits, however, more synergies and greater openness to innovative financial services in the company and from the companies.
Fintechs and Blockchain Start-ups at a table
Rather than in a stock split, a Share ever greater pragmatism, sitting together at a table. The worlds are increasingly blurred and the concept on which crypto Start-ups, Blockchain may be an end in itself, grows without real value, there are no economically successful Blockchain solution. So it is not surprising that crypto-companies such as crypto AG or Bitwala are part of the European Fintech Alliance, a European Association, which originally had nothing with the crypto-Economy. Also classic financial fairs and events the image of a traditional financial services provider, with Fintechs and crypto-mixed-Start-ups – contrasts soft the grayscale. A development that should not be complacent, no matter what a financial actor, will be undermined. Just crypto-enthusiast should be aware, that cooperation with banks in the current legal situation is often the only option, commercial financial services, to get without any of the Supervisory authorities, the red card shown.