Microsoft and Mastercard need no introduction. Both companies are giants in their own fields and have changed the technology and financial worlds, respectively. Now these two titans have announced a partnership that could change the course of fintech history.
Through their strategic collaboration they want to encourage and develop the next generation of digital commerce, devices and services that will diversify the field.
“The partnership will see Mastercard Lab’s cloud R&D activities powered by Azure and cutting edge artificial intelligence (AI). It forms part of Mastercard’s ongoing mission to mitigate the risk and increase the commercial viability of emerging tech for use in digital commerce,” reports FinTech Magazine.
Their joint efforts will be focused on digital commerce, enabling financial inclusions and driving innovations and startups in the fintech industry.
Fighting fraudsters: Bondora partners with Onfido
2020 has been a booming year for digital channels and technology. With the health crisis and subsequent lockdowns, digital technology offered people the opportunity to connect, work from home, and continue with life in a ‘new normal’ way.
But this increase in digitalization also gave rise to even more online fraudsters and scam artists. Although online fraud is nothing new, it will grow increasingly widespread and become even more important for companies to combat.
Bondora takes cybersecurity very seriously. We want customers to feel at ease and reassured that their investment and personal information is safe with us. That’s why keeping our customers’ money and data safe and secure is our top priority.
We’ve recently partnered with Onfido, a global identity and verification company that automates compliance and identity verification. Through Onfido, we can offer our customers a secure and seamless experience for identity verification, giving them peace of mind that their data and investments are secure.
‘Regulatory overhaul’ on the cards for EUs fintech companies
Following the collapse of Wirecard, the European Commission has signaled that an entire re-evaluation needs to be done on how fintech companies are regulated in the EU. The need for this is becoming increasingly clearer as financial companies are moving away from the traditional and more into the alternative sphere.
“We will assess how to improve the relevant EU rules so these kinds of cases can be detected,” Valdis Dombrovskis told Reuters. He added that the review is set to end before autumn.
They will specifically focus on the regulation of firms that begin as startups without banking licenses, like Wirecard, but then acquire banking licenses and services late ron. This is seen as a potential grey area.
Possible regulatory changes could involve new requirements related to transparency for listed firms as well as accounting rules and market abuse standards. What makes Wirecard a possible outlier is the fact that they seemed to have submitted unreliable financial statements. The result is that BaFin, Germany’s financial watchdog and the accounting standards body Financial Reporting Enforcement Panel has come under intense scrutiny for the Wirecard scandal.
TransferWise worth over €5 billion
TransferWise, one of the preferred payment options on Bondora, has recently been valued at over €5 billion. The fintech company announced the news last week, after €319 million worth of shares were sold by employees and early investors at a secondary share sale.
Founded in 2011, the company has become a major success and is often dubbed the ‘fintech unicorn’ of Europe. The founders say that this vast year’s increase in digitalization and online transactions has caused their number of clients to rise as well.
“The 43% bump in TransferWise’s valuation reflects an acceleration in online payments and a reduction in cash usage caused by Covid-19,” reports CNBC.
This online platform helps over 8 million customers make international transactions, and they process over €4.4 billion in cross-border payments every month.
That’s it for our Fintech news this month. Keep an eye on the blog for more industry-relevant news, tips and posts. Or follow us on Instagram @bondora_capital for even more regular updates.