Will banks remain finance leaders? Do traditional lenders perceive fintech to be a fad? Should banks and fintech startups work together and create an ecosystem where coopetition is where the future lies? Speakers at the second day at Money2020 in Copenhagen attempted to answer these questions.
“Money2020 gives us a unique opportunity to get a first-hand impression of how the digital future will evolve in the financial sector and a chance to show the wider world that Copenhagen is a digital hub also capable of hosting the biggest international conferences,” according to Kent Petersen, President of the Financial Services Union Denmark.
As Petersen explored here, cities need to have the capability to adapt in order to keep up with the trends and regional financial institutions need to implement new tech where the customer needs it. Chief Innovation Officer of Rabobank, René Steenvoorden, strongly believes that time must be spent on innovation, but questioned whether you should talk about banks or fintech will win in this race. Working together is a mutual benefit.
Santander’s Victor Matarranz highlighted in a session around the future of banking that technology has been changing in banks for many years. “We are now in an intense period of change and it is important to spend time investing in the right thing, which is what customers want.” With all this change, as Karina McTeague from the UK Financial Conduct Authority explained, we need to be supportive of this innovation in a regulated manner.
“We are seeing social, economic and global change, but the bigger risk is if we don’t embrace innovation in a structured controlled way,” McTeague said.