Fintech Fortnightly – May 3, 2023 –
Fintech is a vast, multi-sector, global industry, the growth of which affects not only the banking world, but society at large. Our deep dives, interviews and coverage looking at the evolution of payments, finance and banking are powered by constant updates, news and commentary on deals, funding rounds and partnerships.
This fortnight, fintech continues its grip on the gender pay gap, Mastercard offers extra trust in blockchain networks, ChatGPT takes over fund management, Nomo Bank finds a fintech partner, and both Griffin Bank and FinTech Wales join the ranks.
This is getting tiring…
Higher pay gap in fintech driven by lack of transparency
A recent survey published by EY and Innovate Finance, “Changing the face of UK FinTech: from glass roofs to open doors: championing equality and career progression for women in FinTech”, found that a lack of pay transparency and low female representation in senior roles is driving a pay gap that is higher than the average in fintech.
The EY report estimates that the gender pay gap – the difference between men’s and women’s median hourly pay – in fintech is around 22%, compared to 14.9% for all types of employees in all UK industries, based on data from the UK Office for National Statistics.
The research, which was UK-focused and included interviews with 120 nominees from the Innovate Finance Women in FinTech Powerlist, found that barriers to success in the sector still exist, with female senior executives in UK fintech citing a lack of industry recognition for their contributions. (27%) and opaque promotion processes (25%) as particular challenges for career progression.
The report found that the UK fintech industry was less gender diverse (72% to 28% male/female representation) than the wider financial sector (56% to 44% male/female split). However, fintech was more diverse than the technology sector in general.
I thought trust was baked into the blockchain?
Mastercard wants to bring more trust to blockchain transactions
Mastercard has launched Crypto Credential. It will establish a set of common standards and infrastructure that will help verify trusted interactions between consumers and businesses using blockchain networks. There are multiple use cases that the Mastercard Crypto Credential can unlock, as consumer and enterprise verification needs vary widely based on market and compliance requirements.
For example, the Mastercard Music Pass NFT, which was launched as an extension of the Mastercard Artist Accelerator, requires different verification criteria than Mastercard’s work with Immersve, which offers consumers the ability to use crypto from the Web3 wallet to pay for everyday goods and services.
According to Mastercard: “Simply put, the level of verification required for someone to receive an NFT is very different from the authentication required of someone to transfer digital assets from or receive assets to crypto wallets.”
I’m buying gifts for our robot overlords now
Is ChatGPT Surpassing Top 10 UK Funds?
Finder.com created a fund managed by ChatGPT. The results are predictable.
A fund of 38 stocks selected by ChatGPT has risen 4.93% in the first eight weeks since it was created by Finder on March 6. The ChatGPT fund has topped the top 10 most popular funds in the UK.
On average, they are currently -0.78% over the same period. The ChatGPT fund has outperformed the 10 most popular funds in 34 of the 39 market days the experiment has run, or 87% of the time.
And the banking/fintech partnerships keep coming…
Paymentology Powers Nomo, a Digital Sharia Compliant International Bank
Paymentology, a global issuer processor, has entered into a strategic partnership with Nomo Bank (Nomo), which claims to be the world’s first fully digital Sharia compliant cross-border bank.
Nomo, part of Bank of London and the Middle East, and backed by Boubyan Bank, offers Middle Eastern customers a range of international banking services, including current accounts, time deposits, property finance, multi-currency services and international transfers.
Customers can access these services through the Nomo app, which is available for download on iOS and Android devices. The app provides a seamless and intuitive experience, allowing customers to manage their accounts, track spending and easily make payments via a Nomo debit card and Apple Pay.
The fintech bank continues to grow
Griffin strengthens the management team with Marina Gorey becoming superior
Griffin, a UK-based full-stack banking-as-a-service platform, has appointed Marina Gorey as Chief People Officer.
David Jarvis, CEO and co-founder of Griffin, commented: “Continuing to cultivate a talented and engaged team is critical to our future success. We are thrilled to welcome Marina as our new boss and believe her expertise will help us to further improve our culture and internal operations, accelerate our growth trajectory and better serve our customers and employees.”
Gorey has an impressive track record of building winning cultures in ambitious organizations. She co-founded kid-tech startup SuperAwesome in 2012, which was acquired by Epic Games, and has more than 15 years of experience in technology, specializing in creating high-performing organizations through effective hiring and a focus on empowerment.
Welsh fintech is also growing…
FinTech Wales welcomes PwC as its newest corporate member
The independent membership association and champion of the Welsh fintech and finance sector, FinTech Wales, has welcomed one of the largest professional services networks in the world, PwC, as its newest Enterprise member.
By joining the organisation, PwC will have full access to the FinTech Wales community and the resources it provides. PwC will sit alongside several key Welsh financial services including Admiral, Confused.com, LexisNexis Risk Solutions, Principality Building Society, Hodge, Yoello, Sonovate, Sero, Delio, Go.Compare and many more as co-members.
