Category Archives: Research

Arcane Research: Summary of Crypto 2021

Arcane Research | Jan 3, 2021

Crypto 2021 summary report – Arcane Research

A year of up and downs, but mostly ups

What an eventful and intense year we’re wrapping up in this report. In 2021, bitcoin was adopted as legal tender in El Salvador, and several public companies added bitcoin to their balance sheets. On the institutional side, open interest boomed on CME, and several bitcoin ETFs saw the light of day. Additionally, we saw numerous Tier 1 investment banks begin offering bitcoin and crypto-related services such as custody and trading. However, the year was not all filled with bullish news. Once again, China delivered bad news as they enforced a strict mining ban, leading the hashrate to temporarily plummet in bitcoin before returning to its pre-China ban levels six months later. 2021 saw bitcoin pushing towards new highs, reaching a new all-time high in November of $69,000.

See:  Bank of Canada Staff Paper: Bitcoin Adoption and Beliefs in Canada

Bitcoin’s performance has been dwarfed by the incredible altcoin growth this year. 2021 has felt like a continuous altseason, only taking a breather during the summer months. This altseason has seen several short-lasting bull runs in various parts of the markets as traders have rotated through the narratives. The DeFi sector, the metaverse sector, and meme coins all saw periods of strong growth. However, most stickiness in strength has been found in ETH and other layer-1s, in addition to NFTs.

As bitcoin has found its way into traditional investor portfolios, macro news has slowly but surely, begun impacting its performance. Inflation has been running high throughout the year, and overall, bitcoin has proven to be a good inflation hedge. Nevertheless, bitcoin has also proven to be sensitive to hawkish FED statements and fear in the broad financial markets. In that regard, bitcoin has behaved like a risk-on asset. However, while bitcoin shows risk-on traits in the short run, there is no doubt that central bankers and politicians worldwide will have a very hard time dampening the increasing inflation without causing harm to the economy.

Some research covered in the report:

  • Bitcoin once again outperforms the stock market
  • Bitcoin in 2021: A risk-on asset
  • A year of rising inflation: The inflationistas were on to something?
  • 2021 – a year of altseason
  • 2021 has been an emotional rollercoaster for crypto investors
  • A year of stabilizing bitcoin spot volume
  • The year for altcoins
  • The resurrection of Ethereum
  • The year of layer-1s
  • Memcoin Mania:  The absurd dog fight
  • The breakthrough year for NFTs
  • Funding rates settled after an overly exuberant Q1
  • 2021 lesson: Be careful when offshore exchange sentiment outpaces CME
  • Continuous high institutional demand for BTC and ETH exposure
  • Bitcoin as a corporate treasury strategy

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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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11 C’s of Soft Leadership and Emotional Intelligence

Professor M.S. Rao, Ph.D. | Jan 3, 2021

emotional intelligence2"No one cares how much you know, until they know how much you care." —Theodore Roosevelt

There is an increasing awareness and importance about emotional intelligence ever since Daniel Goleman authored the book Emotional Intelligence in 1995.  This concept was based on the works of Howard Gardner (Harvard), Peter Salovey (Yale) and John D. Mayer (New Hampshire).  The phrase, 'emotional intelligence' was coined by Dr. Jack Mayer and Peter Salovey. Salovey & Mayer define emotional intelligence as follows:  "Emotional Intelligence, also called EI and often measured as an Emotional Intelligence Quotient (EQ), describes an ability, capacity, or skill to assess, and manage the emotions of one's self, of others, and of groups. A form of social intelligence that involves the ability to monitor one's own and others' feelings and emotions, to discriminate among them, and to use this information to guide one's thinking and action."

Building Emotional Intelligence

People acquire emotional intelligence when they work in groups.  It is not a solo act, but a group activity. Hence, to acquire emotional intelligence, it is essential to take an active part in group activities. Similarly, executives who reach higher positions must have higher emotional intelligence as it needs more people skills and less technical skills.

It is essential to take the time to recognize the emotions, feelings, and drives of the people around you. However, it is easier said than done. We must understand the causes of people's feelings to understand them better. We must learn lessons from time to time to bring out behavioral changes among ourselves to master the art of emotional quotient. Finally, it is essential to develop empathetic listening to build EQ.

See:  Elon Musk Had a Private Meeting With Volkswagen’s CEO. It’s a Brilliant Lesson in Emotional Intelligence

Here are some tips to build emotional intelligence:

  • Empathize with others. Step into the shoes of others and understand and appreciate things from their perspective. It makes things easier for you and helps you earn respect from others.  You can build bridges with others easily.
  • Take an active interest in others to help. Respect others' feelings, egos, and emotions. Look for similarities, not differences.  When you create a common ground with others, you can connect with them easily and quickly.
  • Love your mother but don't hate another person's mother. Respect others' cultures, languages, creeds, ethnicities, religions, and nationalities. It creates a broad mindset resulting in wider acceptance.
  • Link your intentions with actions as it creates credibility in the people around you.
  • Always keep anger at bay as anger is the enemy of the individuals.  Anger drains valuable energies and creates negative vibes. When in anger drink water to enable you to cool down.  Do breathing exercises.  When you breathe deeply, more oxygen gets inside your brain and relieves you from anxiety.
  • Emphasize assertiveness which is the art of saying ‘No’ firmly but politely.  Neither aggressiveness nor submissiveness works.
  • Take intrapersonal feedback whenever something goes wrong to correct quickly. You are the best judge for your actions and feelings.  You are true to your conscience.  Intrapersonal feedback improves your behavior.
  • Blend your head and heart to make decisions based on logic and analysis.

 

Soft Leadership―11 Characteristics

1. Character

Warren Bennis says, "Successful leadership is not about being tough or soft, sensitive or assertive, but about a set of attributes. First and foremost is the character."  The collapse of companies like Enron, Lehman Brothers, and World Com reminds the world about the leaders lacking character at their core.  The problem lies with the leaders who lack strong character resulting in such downfalls.  The character is one of the key components of soft leaders. It is through their strong character they lead their people by influencing and guiding them. People look at leaders who have impeccable integrity and who walk the talk. Hence, most companies emphasize character during leadership development programs.

2. Charisma

One of the greatest characteristics of soft leaders is their charisma.  Soft leaders make other people more important and valuable through their charisma.  Charisma helps in connecting with others easily as people feel valued and pleased to talk with these leaders.

Marianne Williamson says, "Charisma is a sparkle in people that money can't buy. It's invisible energy with visible effects."

Warren Bennis and Burt Nanus said, “Charisma is the result of effective leadership, not the other way around.” Research reveals that charisma is a skill that can be honed by training, experience, and practice.  There is an urge in all human beings to be liked by others. Charisma paves the way for being liked by others.  There are various components of charisma such as warmth, smile, grace, body language, voice, and confidence. A person is said to be charismatic when there is a coincidence in all these components.

See:  Meta-analysis shows Emotional intelligence is more important for being a successful entrepreneur than mental ability

3. Conscience

Sophocles said, "There is no witness so terrible and no accuser so powerful as conscience which dwells within us."

Conscience is one of the major key components of soft leaders as a clear conscience makes them stand out from other leaders.  People expect leaders to be ethical and responsible.  They also look up to leaders whose conscience cares for them.  Conscience differentiates right from wrong. Leaders must have a clear conscience to convince themselves to enable them to persuade others. If there is a chasm between the word and the deed conscience reminds the same.   Mahatma Gandhi was always clear with his conscience. He unveiled the mistakes he had made in his life in his autobiography.  Every person makes mistakes but how many unveil and admit the same. In fact, it requires a lot of courage to reveal wrong-doings on their part.

4. Conviction

Conviction is another key ingredient for soft leadership without which the soft leaders cannot lead successfully.  It is their convictions that take soft leaders forward and make their people move forward toward achieving their goals.  Walter Lippmann aptly said, "The final test of a leader is that he leaves behind him in other people, the conviction and the will to carry on."

5. Courage

Courage is an integral part of soft leadership.  According to Aristotle, courage is the first virtue, because it makes all of the other virtues possible.  Courage does not mean fighting physically with others.  Courage doesn't mean being aggressive at all times.

Mark Twain rightly remarked, "Courage is resistance to fear, mastery of fear - not absence of fear."

Courage is about standing by your values and morals and principles and policies despite being pressurized by others and receiving threats from others.  Courage is also a major key component for soft leaders because courage commands confidence from their followers.

6. Communication

James Humes said, "The art of communication is the language of leadership." The success of soft leadership depends more on communication than anything else. It is through communication leaders express their ideas, ideals, and insights and persuade others to follow them.

See:  Culture and Diversity Leadership: Tale of Two Doors

Leadership is all about handling people to accomplish goals and objectives. While handling people communication becomes the core component through which leaders connect with others.  As leadership styles are different to touch different people with different emotions, needs, egos, and feelings, there are different communication styles such as aggressive communication, submissive communication, assertive-aggressive communication, and assertive communication.

Nitin Nohria observed, "Communication is the real work of leadership."  It is through the magic words leaders influence and inspires others to do the impossible things.  Soft leaders demonstrate assertive communication to connect with others and carry forward them toward their goals.

The leaders must adopt an assertive communication style ideally and other styles from time to time to make their leadership effective.  Because of the key role communication plays while leading others, we can assert that effective communication is the sister of leadership.

7. Compassion

Kahlil Gibran says, "Tenderness and kindness are not signs of weakness and despair but manifestations of strength and resolution."

Compassion is all about genuinely caring for your people.  Compassion commands great inner strength, courage, and power.  Compassion makes a huge difference in making leaders as soft leaders.  Soft leadership flows from the fountain of compassion.  The real leaders are the ones who encourage others, care for others, empathize and demonstrate compassion with others. Only such leaders have the ability to influence and maximize the potential of their people and organizations.

8. Commitment

Soft leaders have another great characteristic of commitment as it makes them command respect among others.  It is their firm commitment toward their causes that wins acclaim from others.  If you want your life to be successful you must be committed.  For instance, when you love your family, you must demonstrate your firm commitment.  Commitment consumes your time but it builds longevity in relations.

See:  Emotionally Intelligent Minds Know How to Bridge the Perspective Gap

As a leader, if you demonstrate your commitment people trust you and treat you with the utmost respect.  Commitment is the bridge between the word and the deed.

9. Consistency

Consistency is another important ingredient for soft leadership. Leaders must demonstrate their consistency to have a profound impact on their people. People expect leaders to be predictable, responsible, and credible. Failure to demonstrate consistency leads to a credibility crisis.  Consistency is essential in every area of life and is required to be noticed as a credible and responsible person.  Consistency helps in leadership branding and memory recall.

10. Consideration

Consideration is one of the major characteristics of soft leaders as soft leaders basically care for their people. They respect their followers.  Consideration includes recognizing the good work done by others and appreciating them promptly, liberally and graciously. This is the trait of the leaders with people-orientation rather than task-orientation. The transactional leaders are fundamentally task-oriented while transformational and soft leaders are people-oriented with a big heart to care for and consider others.  Consideration includes caring and respecting others with an empathetic attitude. It deals with stepping into the shoes of others and looking at things from others' perspectives.  It makes people win the confidence of others as it helps them connect with others quickly.

11. Contribution

Stephan Girard said, "If I thought I was going to die tomorrow, I should nevertheless plant a tree today." We are what we are here today because of the amazing contributions made by several soft leaders to this mankind regardless of their areas of interest.  The contribution includes precious time, money, energy, ideas, knowledge, and assistance to society.  Genuine and selfless contribution takes to true leadership.  People respect the leaders who contribute their best to society without hankering for wealth, power or prestige.

See:  Manager and machine: The new leadership equation

Mother Teresa once remarked, “We ourselves feel that what we are doing is just a drop in the ocean. But the ocean would be less because of that missing drop.”

Don’t expect anything in return when you add value to others. Remember, what goes around comes around in a different form.  If everybody contributes something to others imagine the kind of world we would live in and the kind of world that we would pass on to our next generation.

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Author by:

Professor M.S. RaoProfessor M.S. Rao, Ph.D. is an international leadership guru and an internationally acclaimed executive coach, educator, author, speaker, and consultant. He is a C-Suite advisor and a sought-after keynote speaker globally.  He earned a Ph.D. in Soft Skills.  He has forty years of experience in leadership development and conducts training programs for various corporates and educational institutions. He brings a strategic eye and long-range vision given his multifaceted professional experience including military, teaching, training, research, consultancy, and philosophy. His areas of interest include leadership, executive coaching, and executive education. He advocates gender equality globally (#HeForShe). 

Founder of MSR Leadership Consultants, India

Amazon: http://www.amazon.com/M.-S.-Rao/e/B00MB63BKM

Vision 2030: https://professormsraovision2030.blogspot.com

LinkedIn: https://www.linkedin.com/in/professormsrao

Twitter: http://twitter.com/professormsrao

 


The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

Updated Report: Regulation of Cryptocurrency Around the World (Nov 2021)

Law Library of Congress U.S. |

Regulation of crypto around the world (Nov 2021)Cryptocurrencies, once obscure and primarily associated with financing illegal activities, have become mainstream. Cryptocurrencies are a type of virtual currency that uses cryptographic algorithms to validate and secure transactions. The transactions are digitally recorded on a distributed ledger, such as a blockchain. As more and more people invest in and trade cryptocurrencies, governments around the world are taking note. Whereas El Salvador adopted Bitcoin as legal tender in September 2021, other governments, such as China, are prohibiting private cryptocurrencies altogether. India recently decided against awarding legal tender status to Bitcoin and is reportedly working on a Cabinet note on regulating an official central bank digital currency (CBDC), while banning private cryptocurrencies.

See:  IMF asks Financial Stability Board to develop a global framework for standards for regulation of crypto assets

The Global Legal Research Directorate (GLRD) of the Law Library of Congress recently updated a more comprehensive 2018 Law Library of Congress report on the regulation of cryptocurrencies around the world. The update adds the United States to the surveyed jurisdictions. We are excited to share with you this research, Regulation of Cryptocurrency Around the World: November 2021 Update. The report consists of a jurisdictional table with citations and two maps that visually represent findings from the table. It focuses on two topics. First, the legal status of cryptocurrencies, meaning whether a country either explicitly or implicitly bans cryptocurrencies. Prohibiting banks and other financial institutions from dealing in cryptocurrencies or offering services to individuals/businesses dealing in cryptocurrencies or banning cryptocurrency exchanges are examples of implicit bans. Second, the table shows the regulatory framework surrounding cryptocurrencies, in particular the application of tax laws and anti-money laundering and counter-financing of terrorism laws (AML/CFT laws) to cryptocurrencies.

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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

A Normie’s Guide to Becoming a Crypto Person (and down the rabbit hole)

New York Mag | Sara Harrison | Nov 30, 2021

Normie’s guide to becoming a crypto personYou’ve managed to willfully ignore crypto for the past some-odd years, but all of a sudden it may feel as if the blockchain is closing in on you. Your 401(k) provider is rolling out a bitcoin option, your friend just made an NFT in Microsoft Paint and sold it for $14,000, and even your mayor-elect is supporting a citywide cryptocurrency. (And did Dad just say “NGMI” in the family group chat?)

To an outsider, crypto may mostly seem like a bunch of Patagonia-vest-clad bros out to make a quick buck at the expense of the environment. This is not entirely wrong, but the landscape today is unrecognizable from its inception in 2009 and even from before 2020, the year NFTs first exploded.

See:  NCFA's Fintech Confidential Magazine (Oct 2021)

While some corners of the crypto world are still toxic and absurd, it’s also a fascinating and (strangely) optimistic place — where a global army of people with competing philosophies, living mostly on Twitter and Discord, all in some way believe crypto will fundamentally remake the world (and, in the process, everything we believe about value, money, and the internet).

This is a guide to actually understanding that universe, whether you simply want to sound literate at a dinner party, know the difference between a bitcoin maxi and an NFT scenester, angle for a promotion by showing off more tech fluency than your boss, or leave your PR job to become memer-in-chief at a new coin exchange.

See:  https://freshcasinobonus.com/casino-bonuses/20-free-no-deposit-bonus/

1. At the very least, pick up some basic cryptospeak.

APE, BAGS, DAO, FUD, MOON,NOCOINER OR NORMIE,PROOF OF WORK, PROOF OF STAKE, RUG PULL, WAGMI, WEB2, WEB3, WHALE, WHITE PAPER

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NCFA Jan 2018 resizeThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

McKinsey Global Banking: Revenue pools moving to customer-ownership with embedded digital financial services

McKinsey & Company | Dec 1, 2021

McKinsey – customer ownership and embedded financial services

The Great Divergence:  2021 Global Banking Review excerpt:

Future-proof business models

In a world that continually surprises, we hesitate to talk about a “future-proof” business. Many companies that thought they were ready for anything in 2019 are frantically reinventing themselves—or disappearing. Nonetheless, the concept is useful: What does it take to build a bank that is impervious to disruption as we understand it today?

Payments can serve as an example. Fiserv, Global Payments, Klarna, and Square are very different and operate in different parts of the payments value chain, but they all have thrived in a business in which most banks have been struggling to create value. Their business model is capital-light, focused on sales growth in the most relevant and attractive revenue pools and with a strong investment in technology and scalable and integrated systems. Banks, on the other end, have focused on the debtor-side interfaces where value creation has been limited and revenue sources are under pressure—for example, current accounts and cross-border payments.

See:  65% of Global banking executives see branch-based models dead in 5 years

Overall, specialized financial-services providers—in payments, consumer finance, or wealth management—are generating higher ROEs and valuation multiples than most global universal banks. Some fintechs are going from a rough sketch to billion-dollar valuation in a few years. And there are indeed some banks among the institutions diverging from the pack. What do these top performers have that others can build, acquire, or access through partnerships to deliver a higher shareholder value? Our analysis points to three common elements that make a future-proof business model:

1. Customer ownership with embedded digital financial services

Companies like Amazon, Apple, Google, Netflix, and Spotify have taken existing services and transformed them into digital experiences that are now embedded in customers’ daily lives. Leading fintechs, specialists, and banks are replicating this model in financial services, turning products into features to meet customer needs and keep them engaged. The existing, underlying elements are still there—the checking account, the personal loan, or the POS terminal—but they are less visible, a seamless part of a digital experience that goes beyond banking.

Successful financial-services providers take three steps to position their business for this shift. First, they attract customers by solving very specific yet relevant needs. Examples include Alipay and Klarna, which make shopping and cash management easier and convenient for small businesses through quick and simple onboarding, transparent pricing, new POS terminal features, and buy-now-pay-later checkout solutions.

See:  Canadien blooming. The fertile “Valley” for finance innovation FLOW: OB, CAN Trends, Beyond OB: BaaS + Embedded Finance, tunl

Second, top performers bring customers into an ecosystem, connecting them with other services and building a dynamic and distinctive customer experience. For example, Square’s core offering is a payments service, but from there it developed comprehensive value-added services for sectors such as restaurants.

The third step is providing customers with personalized analytical insights. This increases customer engagement and, eventually, advocacy through word of mouth and social media. And in a virtuous cycle, it tells the bank or fintech more about customer behaviors and needs. The Canadian bank RBC’s AI-powered financial assistant app NOMI provides users with cash flow forecasts that take into account loan installments and subscription services, and applies deep learning techniques to customer transaction behaviors.

2. Efficient economic model that fosters growth beyond the balance sheet

Financial institutions with higher valuations tend to have a 40 to 60 percent lower cost to serve than the average universal bank and four times greater revenue growth. Higher revenues and low costs lead to more value, of course, but a deeper analysis of these leading financial institutions also shows that 55 to 70 percent of their revenues come from origination and distribution, compared with 40 to 50 percent for an average universal bank, and they leverage digital channels to interact with customers two to three times as frequently as the average bank (Exhibit 6).

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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

Fiserv Research: Fintech Adoption Update on Consumer Expectations and Experiences

Fiserv | Dec 17, 2021

Fiserv quarterly consumer adoption report

Our 2021 research looks at consumers’ relationships with fintechs. For purposes of this survey, we define “fintechs” as third-party apps or websites not affiliated with a bank or credit union.

Digital use increases fintech relevance:  More people choose to manage their money through mobile than ever before

Fintechs fill gaps:  People turn to fintechs for everything from crypto to credit checks

See:  New Mastercard Study: Majority of Canadian Consumers Embrace Open Banking

Data sharing concerns some people:  Gen Z and millennials are far more inclined than older generations to share financial information with a fintech

Fintechs are part of the financial experience:  Most people are willing to use a fintech for at least some types of financial services

Fintech sector awareness vs use

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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter

 

New Mastercard Study: Majority of Canadian Consumers Embrace Open Banking

Mastercard | Dec 15, 2021

rise of open banking – mastercard

Report finds more than 77 per cent of consumers in Canada – and 86 per cent of Gen Z – are already connecting their bank accounts to technology apps

TORONTO, Dec. 15, 2021 /CNW/ - Mastercard released a new report, The Rise of Open Banking, demonstrating the mainstream adoption of technology to power smarter, more meaningful digital experiences. Open banking puts consumers at the centre of where and how their data is used to more effectively provide the services they want and need. Fintech companies and banks use this consumer-permissioned data to provide easier and more inclusive access to credit, personal financial management, digital wallets and payments services.

See:  Tink Survey Report 2021: Open banking spending, investments and use cases

Open banking is already embedded in several areas of our daily lives, including personal financial management tools, linking of financial accounts and account opening. According to the report, over nine in 10 consumers (95 per cent) in Canada use online and mobile financial applications to manage money, with paying bills (85 per cent) and banking (84 per cent) as the most popular use cases.

Willingness to Connect Financial Accounts

Critical to driving many, if not all, of these transactions is the ability for consumers to securely link their bank or payment accounts and authorize their financial data to be used in online financial applications. The report found that:

  • 65 per cent of consumers in Canada have, or would, consider connecting their bank accounts to financial apps and services to automate financial tasks
  • 69 per cent of consumers in Canadian have, or would, consider connecting their bank accounts to financial apps and services to easily send money to someone

mastercard report image 1

See:  Privacy Implications of an Open Banking System in Canada

Trust in Fintech

Consumers are already connecting their data via multiple platforms to manage finances, and thus make their data work harder for them. Of those surveyed:

  • 55 per cent of consumers in Canada feel very confident using technology to manage money
  • Convenience is a top driver for using financial technology, with 62 per cent of consumers in Canada saying fintech saves them time and is less work

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The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

NCFA Financial Innovation MapNCFA Innovation Opportunity BriefsNCFA Fintech Insights
NCFA Fintech WhispererNCFA Fintech Fridays PodcastNCFA Weekly Newsletter