DEC-JAN 20219Companies big and small are finding ways to enter the fintech space as consumers are no longer willing to shackle themselves to a traditional banking system rife with high fees, predatory practices, inefficient service delivery, and antiquated infrastructure. Mobile banking, global remittance, adoption of cryptocurrency, and the race to build wealth management solutions for young people are at all-time highs. And some of the world's most influential companies are lining-up to get in on the action. While the usual suspects of the legacy banking regime enter the fintech space through acquisition and consolidation, fledgling newcomers and large, non-traditional competitors are choosing alternate routes. Calculated fintech start-ups enter the market with a `freemium' model offering transparency and gratis basic services. At the same time, they work to garner buckets of VC capital to finance daily operations and build-out of paid `premium services' ­ Robinhood comes to mind. Others like Chime are willing to trade on convenience culture cornerstones like no fees, bill splitting, and early access to direct deposits hoping consumers will sign-up in droves padding revenues through volume. Large, non-fintech entrants are using partnerships and consumer loyalty to make their way in.Nevertheless, the common thread seems to be a focus on convenience, transparency, and financial education and independence. This method delivers the likes of Apple partnering with Goldman Sachs to issue a credit card anchored on trust, security, and loyalty where fees are none and incentives to spend, especially with Apple, are plenty. We've watched Facebook set its sights on asset-backed cryptocurrency to ease the burden of global money remittance. And Google has partnered with CitiGroup and a Stanford University credit union to offer checking accounts aimed at delivering enhanced financial insights and powerful budgetary tools. We're seeing large, non-fintech companies deliver dynamic solutions where traditional financial players previously could not. These innovative offerings benefit not only the consumer but also greatly benefit the businesses offering them by increasing customer interaction, developing deeper brand loyalty, and generating new revenue streams. Large companies are clamoring to enter the fintech space not only to satisfy their need for constant growth but also to satisfy a consumer culture hellbent on convenience without sacrifice. This is the lifeblood of the fintech movement, and the biggest driver in the rise of large, non-fintech companies joining the party. BCLarge companies are clamoring to enter the fintech space not only to satisfy their need for constant growth but also to satisfy a consumer culture hellbent on convenience without sacrifice. This is the lifeblood of the fintech movement, and the biggest driver in the rise of large, non-fintech companies joining the party
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