May 12, 2016
As relationships between banks and FinTech startups evolve, the strategies for adjustment are actively changing. While some financial institutions have taken a sit-and-wait position, others have responded to the FinTech disruption in various ways, including working with startups by having some sort of an engagement model like startup contests, hackathons, incubators, accelerators and investments.
The one way of response that didn’t quite catch up was the work on core transformation, complete reimagination of banking services and competing truly on the digital front. Meanwhile, according to some estimations, close to 20 to 30% of the retail banking revenues will be at risk from FinTech disruptors by 2020.
While some are observing and trying to catch up, other large international financial institutions have explored an interesting way to engage in a cold war (if there is one) – through active patenting of technology for financial services. ...