Ten years has past since the last financial crisis and its shadow still casts over the aftermath of it. We improved a lot indeed and are technologically more advanced than ever. But are we heading to something worse than 10 years ago?
Looking at tech and Fintech Industry, we did achieved some fantastic improvements in a world still unbanked, with a roughbly 3 billion plus people have no financial account. But on a geopolitical level we have other issues. We have a leaderless world that might be sleepwalking towards a repeat of its near meltdown in late 2008 and early 2009. Basically because it has failed to remedy the causes of the financial crash of a decade ago, as former UK prime minister Gordon Brown warned.
In fact, Britain’s leader during the period when the collapse of the US investment bank Lehman Brothers put every major bank at risk, said that after a decade of stagnation the global economy was now moving into a decade of vulnerability. Speaking to the Guardian at his home in Scotland, Brown delivered a scathing analysis of how the big problems of 2009 remained unresolved and said that much tougher action was needed to prevent wrongdoing by bankers
“We are in danger of sleepwalking into a future crisis,” Brown said when asked to assess the risks of a repeat of 2008. “There is going to have to be a severe awakening to the escalation of risks, but we are in a leaderless world.” Brown was instrumental in creating the G20 – a body made of the world’s leading developed and developing nations – but said the cooperation that helped avoid a second Great Depression had been replaced by a world in which countries had retreated into nationalist silos.
The former prime minister, who lost the 2010 election following Britain’s longest and deepest recession of the post-war era, said there was less scope to reduce interest rates than was the case a decade ago, no evidence that finance ministries would be allowed to cut taxes or increase public spending, and no guarantee that China would be as active in providing stimulus.
“The cooperation that was seen in 2008 would not be possible in a post-2018 crisis both in terms of central banks and governments working together. We would have a blame-sharing exercise rather than solving the problem,” he pointed out.
Financial institutions have been adapting in the post-crisis world and some have learned from the past. However, there are many other banks, governments and companies that hasn’t yet. In the light of the trade war launched against Beijing by the US, Brown doubted that China would be as cooperative a second time. “Trump’s protectionism is the biggest barrier to building international cooperation,” he said. Finance is about managing financial assets. This now is all about technology and data but without forgetting the basics – clients / partners.
Financial institutions are becoming driven by data and tech
New technologies are and will rapidly reshape the entire financial services spectre.
Fintech that’s no longer the headline, it’s now the industry reality together with new digitalisation of money, crypto and regulatory frameworks.
Banks, insurers and asset managers are knee-deep in the potential of such technologies known as Fintech, data, artificial intelligence (AI), the Internet of Things (IoT) and blockchain.
These technologies are the main drivers helping transform the finance businesses and stay on top of ever-changing consumer expectations.
For instance, the financial services seen as a digital transformation infrastructure is now a fact.
Big Data, AI, blockchain automation, cloud computing, IoT and augmented reality are reshaping the present near future of financial services companies, the products they offer and the way they engage their customers.
Leaders of financial institutions must be the catalyst for change. All organisations need to have a clear fintech strategy that aligns with business model goals.
Those who are ready to manage innovation as an ongoing process, will be positioned to not just survive disruption—they will thrive. But we are humans and we need to have wisdom and joint efforts. Tech won’t save us if we don’t cooperate correctly.
Dinis Guarda is an author, speaker, serial entrepreneur, advisor and experienced CEO.
He creates and helps build ventures focused on global growth, 360 digital strategies, sustainable innovation, Blockchain, Fintech, AI and new emerging business models such as ICOs / tokenomics.
Dinis is the founder/CEO of ztudium that manages blocksdna / lifesdna. These products and platforms offer multiple AI P2P, fintech, blockchain, search engine and PaaS solutions in consumer wellness healthcare and life style with a global team of experts and universities.
He is the founder of coinsdna a new swiss regulated, Swiss based, institutional grade token and cryptocurrencies blockchain exchange. He is founder of DragonBloc a blockchain, AI, Fintech fund and co-founder of Freedomee project.
Dinis has created various companies namely Ztudium, a tech, digital and AI blockchain startup that builds cutting edge software, big data insights, publishes intelligenthq.com, hedgethink.com, tokensdna.com and tradersdna.com among others.
Dinis is the author of various books. His upcoming books “How Businesses and Governments can Prosper with Fintech, Blockchain and AI?”, also the bigger case study and book (400 pages) “Blockchain, AI and Crypto Economics – The Next Tsunami?” last the “Tokenomics and ICOs – How to be good at the new digital world of finance / Crypto” will be launched in 2018.
Some of the companies Dinis created or has been involved have reached over 1 USD billions in valuation. Dinis has advised and was responsible for some top financial organisations, 100 cryptocurrencies worldwide and Fortune 500 companies.
Dinis is involved as a strategist, board member and advisor with the payments, lifestyle, blockchain reward community app Glance technologies, for whom he built the blockchain messaging / payment / loyalty software Blockimpact, the seminal Hyperloop Transportations project, Kora, and blockchain cybersecurity Privus.
He is listed in various global fintech, blockchain, AI, social media industry top lists as an influencer in position top 10/20 within 100 rankings: such as Top People In Blockchain | Cointelegraph https://top.cointelegraph.com/ and https://cryptoweekly.co/100/ .
He has been a lecturer at Copenhagen Business School, Groupe INSEEC/Monaco University and other leading world universities.
He is a shareholder of the fintech social money transfer app Moneymailme and math edutech gamification children’s app Gozoa.
Between 2014 and 2015 he was involved in creating a fabbanking.com a digital bank between Asia and Africa as Chief Commercial Officer and Marketing Officer responsible for all legal, tech and business development. Between 2009 and 2010 he was the founder of one of the world first fintech, social trading platforms tradingfloor.com for Saxo Bank. In 2011 he created the B2B platforms socialmediacouncil.org and openbusinesscouncil.org with Jamie Burke.