Labor warns ASIC cuts threaten Australian fintech sector
Spokesman for the Digital Economy, Ed Husic, has slammed the Coalition’s budget cuts to the Australian Securities and Investments Commission, saying it would hamper the regulator’s ability to keep on top of technology-led disruption occurring in the financial services sector. Mr Husic told The Australian Financial Review it would also likely slowdown the process of reforming crowdsourced equity funding laws to open it up to unlisted public companies, and mean that it would be ill-equipped to properly monitor initial coin offerings. “At a time when the banking royal commission is exposing massive shortcomings in the way banks are behaving with customers, cutting budget of the watchdog is a big concern […]
NAB looks to challenge fintech space
The big four bank has launched an unsecured, short-term small business loan and overdraft facility through the broker channel, in a bid to go “head to head” with the growing fintech market. Launched this week, NAB QuickBiz for Broker enables brokers to digitally apply for unsecured business finance for their small business clients. Brokers will be able to offer small business clients (which have been operating for 12 months or more and make at least $100,000 per year), unsecured loans of between $5,000 and $100,000 on 12-, 24- and 36-month terms. The product comes with a 12.95 per cent fixed rate for the term of the loan, on a principal […]
Royal commission reforms boost investor opportunities in fintech
With the banks taking a battering at the Hayne royal commission, a raft of new fintech or alternative lenders is looking to take advantage of a more competitive playing field. For generations, risk-averse banks have been able to pick and choose to which consumers and small businesses they were willing to extend credit and at what price. But things are beginning to change. Ahead of any recommendations from the royal commission, the federal government is taking steps to foster competition. Last week, it followed the UK by flagging so-called open banking reforms, which will allow customers to direct personal data held by their existing banks to alternative lenders. Another reform, […]
60% of Australians pay bills using BPAY
Australians have a knack for downplaying their greatest inventions, and BPAY is one of them. 20 years ago BPAY was introduced across nearly every bank in the country to help people pay bills and to help businesses get paid. On average people pay 5 or 6 bills a month, and around 60% of Australians pay those bills using BPAY* 88% of Australians recognise the iconic BPAY logo, as it’s on nearly every major bill in the country and in almost every internet banking platform* According to Keith Brown, BPAY Group’s General Manager of Product, Scheme & Business Development, BPAY is still growing even after 20 years of leading bill payments. […]
Facebook is reportedly exploring the creation of its own cryptocurrency
Facebook is looking into creating its own cryptocurrency, according to a report by news network Cheddar. Unnamed sources familiar with the matter said Facebook was “very serious” about its consideration of building a decentralised digital currency, the site reported. Cryptocurrencies are digital-only money designed to be secure and anonymous. There are more than 1500 different types of cryptocurrency — of which Bitcoin and Ethereum are the most famous. Cryptocurrencies are made possible by a technology called blockchain, which provides an encrypted online ledger of transactions. Blockchain is becoming known for other applications such as enforcing digital contracts and securing public records. Cheddar’s report follows an announcement from Facebook’s head of […]
Could ScoMo’s cash ban be just what cryptocurrencies want?
THE Australian Government’s crackdown on large cash payments has inadvertently given a huge leg-up to cryptocurrencies. The Australian Government has made big cash payments illegal, but is it just giving a free kick to cryptocurrencies such as Bitcoin? In Tuesday’s Budget, Treasurer Scott Morrison announced a crackdown on the “black economy”, and a ban on cash payments was the centrepiece. From July 1, 2019, any business transaction over $10,000 has to be done using electronic payments. Handing over a hundred $100 notes or more will be illegal, as the government tries to flush out tax avoiders, drug dealers and the rest of the underground economy. Bitcoiners and other cryptocurrency fans […]
NSW supports fintech startups with exchange opportunity
The NSW government is offering ten NSW financial technology (fintech) startups the chance to go on an intensive one week business development program in India from 24–29 June 2018. NSW Minister for Trade and Industry Niall Blair said the program was the first to be supported by a two-year $1.58 million partnership set up between NSW and India to enhance the State’s startup, technology and advanced manufacturing sectors. “This fantastic partnership was announced during the Premier’s recent trade mission to India and I’m delighted that we’ve made quick progress to get the first partnership program underway. “This is an outstanding opportunity for NSW entrepreneurs who are developing their ideas, who […]
Australia is taking steps to enhance its fintech industry
Australia has been looking to develop its own fintech ecosystem for some time now, and has made progress to establish itself as one of the bigger players in Asia, next to Singapore, Hong Kong, and China. However, there are still hurdles in the country, such as its four big banks having a very large market share — Commonwealth, Westpac, ANZ, and NAB together control over 80% of all owner occupier home loans and 85% of all investor housing loans — which makes it difficult for fintechs to establish themselves. However, the fintech industry in Australia may see a change soon. Earlier this week, the first restricted banking license was granted […]
