Financial full digital: from “FenRun bank” to “replace the bank”

financial services will no longer be mysterious for ordinary people. Users familiar with the degree of financial services is higher and higher, can say that these services have reached the edge of an explosion. Is honoured by financial services more and more simple reason is that our world is becoming more and more digital. Underpinnings of the financial services industry was once a very comfortable, there is the innovative financial institutions broke the situation of the industry. And this is because they appear to make the financial services industry is more and more ground.

now, for the Internet style stage to a large extent impact on the financial services industry, in the years to come, it will fundamentally change the way of ordinary people to buy and consumer finance products. Changes in these industries will only promote the progress of the industry, bring more innovation for the entire financial industry. And be able to give us a better products and better services, the focus is on while we enjoy these services, costs will be lower than now.

customers no longer superstitious financial giant

to a large extent influenced by the financial crisis of 2008, as a regulator before that becomes the main obstacle for admittance into industries and after the impact of the financial crisis, the bank’s trust than ever before. Especially when it comes to the need to protect consumers from regulators new risks, the situation is especially obvious. The regulatory environment also changed at the same time, such as the United States launched the employment Act (JOBS) Act and the UK’s financial services regulatory restructuring, business is easier to set up the new financial innovation. This means that in the very great degree with those big, reaction is not very quickly compared to their advantage of such a small financial institutions has a faster pace of innovation.

these innovative development and widespread public awareness of large financial institutions gradually awake, make consumers are more likely to try new financial service providers. It is interesting to note that these small innovative financial services and founder of developers is the former employees of some large financial institutions. They have been working in these large financial institutions, with the aid of the understanding of financial products and practices, they can quickly copy the financial products and its simplified into emerging digital world.

currency also in development in the direction of digital

early attempts to financial digital mainly concentrated in the field of mobile payment, etc, such as Square or Braintree. But now, the startup of the focus of attention is off to a second wave of new creative destruction, focusing on the areas including transfer (Dwolla, TransferWise), foreign exchange (CurrencyCloud), savings accounts (Simple), and even car insurance industry (MetroMile) also had a lot of attention.

a trend of change has been deep into the bank’s core region, including financing (AngelList), peer-to-peer Lending (Prosper, Lending Club), the (Kickstarter, Indiegogo, Fundly), and raise investment advice service automatically from fund management to the neutral (Personal Capital). Traditional banking financial services such as these are now has appeared in the field of the innovation enterprise.

especially in the field of digital currency, this area has acquired great traction. Such as COINS, a kind of virtual currency, although said there have been for many years, but has been in a state of obscurity. Recently, how hot it has taken on a rapidly rising trend. Whether or not the currency will be the king of the encryption of monetary the crown has been maintained, it has been supported by more than 80 kinds of service, therefore, digital currency position not to be shaken, it will be more and more stable.

however, in this business, for some new explorers all can not see the “rainbow” of success. For Mt. Bigger bankruptcy collapse of the us is still fresh. Hackers malicious attacks led to the value as high as 460 million yuan currency losses, COINS in it for the first time the scandal has suffered losses. But this loss is also is not all negative. This event indicates that needs further standardization development in the field of digital currency. After all, in the field of the industry has so many users and financial service providers.

traditional financial institutions are old

digital currency as the main unified elements of the financial industry, the destruction of it makes the financial industry, the third wave of reform is approaching. Financial institutions in the reform of misfortune is squeezed out. Although many Banks have realized digital services is their future, is very important for them, but their actions are mostly very slowly, under the impact of the extremely strong could not have a foothold, particularly in the field of mobile.

in view of the traditional banking business is a kind of reliable, exists in the form of mediation between savings and the lender. Such a role is what defines them provides the basic positioning of the service for consumers. If the digital currency can eliminate this role, so said digital currency has fully mature. If the day comes, everything will change.

successful digital currency will be able to transfer between organizations everywhere in the world, which don’t need intermediary bank or payment processors, and without the relevant fees, such a digital currency can only be called a successful digital currency. These convenient service is also based on a kind of new technology, called block chain can provide all the transactions in the entire network as a public general ledger. This new function is the key to the new business.

revolution cannot stop, please summon up courage to embrace change

chaos in the financial services market means a major change is about to break out of it, this means a very big change for consumers and businesses. Financial institutions pay close attention to these changes at the same time, also need to pay attention to law change the necessary details. However, the traditional financial institutions also need to should try these new services in the early days, as soon as possible to understand the existing service, timely find whether they can give necessary financial needs a good solution.

business leaders need to embrace this change, may be this kind of situation looks very small in the beginning. But a single spark can start a prairie fire, banking institutions by controlling the relatively simple financial services, created billions of profits, these simple financial services can now be some startups easily copied, and copy the cost is very low. With the decrease the threshold of the service, will be a more efficient and convenient financial system for the use of the broad masses of users, in addition to the new financial system is not only unnecessary fees and completely cumbersome steps, and, more importantly, it can also bring us don’t even know our own new features but it is very necessary.



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