Invisible FinTech - Open Banking & APIs MEDICI Podcasts

Dear Listeners, in this episode we bring to you Raman Narayanswamy, Chief Innovation Officer at Trust Stamp which is (OTCQX: IDAID) (Euronext Growth: AIID ID), a global provider of AI-powered trust and identity services used across multiple sectors. Raman is an expert with over 20 years of experience and had previously served as Vice President, Humanitarian & Development (Digital Identity) at Mastercard

Most importantly a true thought leader on the topic of Identity and Tokenization. We spoke to him about the following topics/questions:

1. How digital identity is evolving beyond authentication and KYC

2. What are the frameworks being devised and what problems are they trying to solve

3. What is tokenization of identity and why is it necessary

4. Some examples and use cases for FinTech which will solve identity and trust issues at scale

5. What types of tokenization broadly and how do they fit into various needs and scenarios

6. What are the biggest drivers in the marketplace... the reality of the situation on the ground. 

7. how do we push this to the edge...decentralized identity!

01:10 - Intro

03:00 - What is the value proposition of DriveWealth and what is the tech, regulatory, and license stack that you have to support it ?

04:42 - We know that you have a bunch of customers in India. Can you talk about them in general and about the growth in investments in the US stock market from Indian investors?  How big is India vis-a-vis other markets

09:15 - Which of your target segments is red-hot right now and How do you look at the prospects of the embedded investing market globally?

16:00 - Given the tech superiority and expertise, why not a direct-to-consumer model? What drove the strategy to stay B2B?

18:11 - What kind of challenges do you encounter in integrating with exchanges and other downstream systems? Has the tech infrastructure evolved over the last few years making it easier?

22:55 - What are the regulatory, business and technology barriers in moving to a real-time/near-real-time experience in buying stocks from overseas exchanges?

27:18 - If a company is interested in partnering with you, how should they go about it? How do they get access to your tech, how can they try it out and what kind of integration timeframes are we talking about?

31:10 - Conclusion

01:10 – Context and Guest Intro

04:45 - With the prevailing focus on partnership-led and marketplace-led business models in the market, what role do technology service providers play in helping banks and FIs support these new models?

14:25 - There are a number of digital transformation programs that run in a bank at any given point in time. If we take just two of them – transformation of core systems and increasing accessibility of services by means of APIs, how do the two get connected? What are the dependencies?

26:17 - Banks are slow in their transition to cloud and sometimes, in their defense, due to the right reasons such as regulatory ambiguity and mission criticality of several systems. However, the pace has picked up in the last couple of years. What are some of the barriers for cloud adoption in banks and how is this scenario changing from your experience?

35:10 - As a leading payments solution provider, within the context of emerging markets like India and SE Asia, what are the 2 most prominent shifts/trends that you are observing. Can you answer that both from the consumers’ and merchants’ point of view?

40:44 - In MEDICI’s BaaS report which we published a couple of months back, we observed close to 60 BaaS providers globally – some global and plenty of regional providers. How are technology platform providers like FIS placed to compete with these BaaS focussed companies? How do you differentiate in the market?

46:43 - For our listeners, what are the flagship offerings of FIS for banks and fintechs and what are your strategic priorities for these segments over the next 2 years?

50:37 - Conclusion

Cashfree is India’s leading bulk payouts and payment gateway solution. Cashfree is backed by Y Combinator and incubated by Paypal.

02:45 - What prompted you to focus on a niche area with bulk payouts. What were the insights that led you to this decision? How does it improve upon the traditional payouts and collections methods through banking channels?

12:50 - Cart abandonment, transaction success rates, reconciliation, receivables, fraud management, and so goes the list of issues for merchants. What are the additional responsibilities that a payments intermediary like Cashfree can assume to make life easier for online merchants to grow their business?

17:30 - Regulation - With PAs and PGs becoming systemically important how do you look at the need for regulation? Does it help to create a level playing field with banks? What constraints do current regulations pose if any? What would you expect from the regulator?

23:45 - Reasons for your expansion into international markets when the sheer size of the Indian market itself might offer you growth opportunities

27:50 - About SBI’s strategic investment in Cashfree. What benefits does this partnership bring to Cashfree? What does SBI aim to achieve out of this partnership?

34:50 - So, what are the big problem statements that are still unresolved? What are the next set of trends and innovations that one can expect in B2B payments?

In this episode, we look at a new segment of invisible solutions - core banking platforms. Core banking systems have evolved fast in the last 5 years along with improvements in cloud technologies. Often considered the most difficult part of the IT landscape to deal with in a bank, cloud-native platforms are now starting to deliver significant business benefits in terms of scalability, agility, the pace of innovation, and ease of integration.

www.10xbanking.com 

This conversation with Leda covers the following topics:

1.40: Intro + As the Chief Client Officer at 10X, what does your typical day look like?

5.50: In your long career in banking tech, you have seen the evolution of core banking platforms. What is changing now? What are the transformation strategies you see around? What works and what doesn’t?

12.00: Cloud-native is clearly different from cloud-enabled. Can you explain why being cloud-native is important for a financial institution?

18.55: Digital transformation at traditional banks (brick-by-brick) Vs digital experience enablement challenger banks. How does a cloud-native core fit into these two very disparate situations?

25.01: The traditional core platforms, although on legacy tech are functionally rich (capabilities developed over the years). How do you compete with them? How do you address capability gaps and still enable a bank to be agile?

31.10: How can cloud-native core banking platforms enable banks to compete and co-operate with nimble fintechs?

36.05: What is the target segment for 10X? What differentiates 10X from the rest of the cloud-native core platforms?

Embedded finance is the next big thing. We expect that in the next 2-3 years, any app - consumer or enterprise - could be an access point for credit. Pavitra explains the 3-point framework that Kudos Finance follows to onboard partners, providing end-to-end lending infrastructure as a service, and much more. Listen in!

01:30 - Briefly explain your journey as an entrepreneur. What motivated you into credit and finance?

03:00 - Was Kudos a tech-first NBFC at the outset and if not, what motivated you to morph into a tech-driven lender?

10:25 - What is your target segment? How much of verticalization have you built into the platform to support the specific products and processes of the segments you address?

14:30 - Your tech stack and architecture? - Organic build Vs Off-the-shelf?

20:00 -  What kind of due diligence should be exercised by lenders while onboarding partners especially considering the recent events of online lending scams that we have seen?

22:20 – Time taken to integrate with the Kudos platform and value

30:10 - What are the key problems to be solved for access to credit to improve for businesses in India today?

35:45 – How well are lenders leveraging digital data generated over the years, to assess risk better and bring credit to the bottom of the pyramid?

39:15 - If a company is interested in partnering with you, how should they go about it? How do they get access to your tech, how can they try it out and what kind of integration timeframes are we talking about?

Check out the API documentation of Kudos Finance here: https://docs.kudosfinance.in/docs/