The FTX fallout continues to steer the information as founder Sam Bankman-Fried, going towards his lawyer’s recommendation, spoke publicly for the primary time because the blowup final month. We additionally had information from the CEO of BlackRock, BlockFi information for chapter, unusual issues are occurring at Pipe, and there’s a new blockchain system for banks. Listed below are what I take into account to be the high ten fintech information tales of the previous week.
Sam Bankman-Fried stated he didn’t learn about Alameda’s publicity from Fintech Nexus – Essentially the most talked about interview in fintech this week was Sam Bankman-Fried’s look (nearly) on the DealBook Summit in New York Metropolis. He was requested some powerful questions and maintained he was unaware of the dangerous practices inside FTX and Alameda.
BlackRock CEO Says ‘Subsequent Technology for Markets’ Is Tokenization from Decrypt – Additionally talking on the DealBook Summit this week as Larry Fink, the CEO of BlackRock. Whereas he’s usually bearish on crypto, saying most crypto-related firms are usually not going to be round sooner or later, he did say that the tokenization of securities will likely be transformational for markets.
Crypto Lender BlockFi Follows FTX Into Chapter from The Wall Road Journal – In an unsurprising transfer crypto lending platform BlockFi filed for Chapter 11 chapter this week after Alameda Analysis defaulted on a $680 million cost final month.
As Pipe’s founding group departs, tensions rise over allegations from TechCrunch – There have been some curious modifications on the govt ranges inside Pipe. Your entire founding group has give up, though one of many co-founders is now interim CEO and the outdated CEO is now Vice Chairman. There have additionally been allegations of undisclosed dangerous loans to crypto mining companies and normal mismanagement. It’s all very unusual.
Bankers design a brand new blockchain that works like bitcoin — however it’s regulated from American Banker – Some massive banks have gotten collectively and created a brand new blockchain-based funds system referred to as the Regulated Legal responsibility Community. Citi, Wells Fargo, TD, and U.S. Financial institution are a few of the banks behind this new system which makes use of a shared ledger that may work with any present or future on the spot funds networks and digital forex.
‘The extra you submit, the extra we receives a commission’: How fintech fueled covid help fraud from The Washington Put up – This text talks about a few of the nefarious actions that went on at fintech firms that had been a part of the Paycheck Safety Program. Whereas it’s probably some fintechs had been engaged in dangerous religion actions, the overwhelming majority of lenders had been doing every part they might to get cash to the small companies who wanted it (learn my response to the WaPo piece right here).
Can the SBA make its 7(a) mortgage program engaging to fintechs? from BankingDive – There’s a new proposal out from the SBA that may enable extra fintechs to grow to be a part of the favored 7(a) program. Fintech lenders do a greater job of supporting small companies, notably in underserved communities, and would assist increase this system.
Surviving FTX: Fintechs and banks untangle themselves from American Banker – Whereas most banks and fintechs stay unaffected by the FTX/Alameda debacle there are some firms that had restricted publicity and a few the place there was a possible partnership was within the works.
‘Financial institution Black’ Motion Will get Raise With $45 Million Funding In Startup Whose Founders Embrace Killer Mike And Andrew Younger from Forbes – One of many largest funding rounds introduced this week was for Greenwood, a digital financial institution centered on the Black neighborhood. The spherical, led by Pendulum values the Atlanta-based digital financial institution at $325 million.
PIX might go worldwide as Brazil’s central financial institution shares protocols from Fintech Nexus – Pix might be essentially the most profitable fintech product of the final decade and now the Brazilian Central Financial institution, the creator of Pix, is making its protocols broadly out there for others to make use of.
Each Thursday afternoon, the Fintech Nexus Information group and a particular visitor talk about the information of the week reside on YouTube, LinkedIn, and Twitter. Now we have now made the present out there in podcast format – click on on the audio participant beneath.
