Great post, really love the content around fintechs and the financial incentives involved.
You mentioned in the post that debit cards are the most used payment instrument, with credit cards and cash behind debit cards, but I didn't see any mention of the FedNow's instant payment network that is getting ready to go live (and where each transfer will only cost the financial institution a penny for up to $100k in value transfer, compared to relatively high interchange fees for debit and credit transactions). Would love to hear the author's thoughts on how that will impact the fintech landscape, and if this end game eventually destroys the value prop of popular fintechs (which one might argue aren't businesses, but great UX on top of chartered bank infra, funded by likely to be compressed interchange rev).
Great post, really love the content around fintechs and the financial incentives involved.
You mentioned in the post that debit cards are the most used payment instrument, with credit cards and cash behind debit cards, but I didn't see any mention of the FedNow's instant payment network that is getting ready to go live (and where each transfer will only cost the financial institution a penny for up to $100k in value transfer, compared to relatively high interchange fees for debit and credit transactions). Would love to hear the author's thoughts on how that will impact the fintech landscape, and if this end game eventually destroys the value prop of popular fintechs (which one might argue aren't businesses, but great UX on top of chartered bank infra, funded by likely to be compressed interchange rev).