Snippings

xxx

A group of 309 cyber security experts, researchers and scientists hailing from 31 countries around the world has called on the European Union (EU) to rethink proposals to reform the electronic identification, authentication and trust services (eIDAS) Regulations, saying that “as proposed in its current form, this legislation will not result in adequate technological safeguards for citizens and businesses, as intended. In fact, it will very likely result in less security for all”.

From: EU digital ID reforms should be ‘actively resisted’, say experts | Computer Weekly.

xxx

xxx

I’d argue the biggest competitive landscape shift came from creating a new path to banking licenses and giving central bank payment system access.

From: Fintech 🧠 Food – 1033: Open Banking Endgame.

Simon is totally right about this. Open banking did not, by itself, lead to more competition. Instead it led to a pointless bidding war where banks were forced to provide incentives.

xxx

The rule doesn’t let banks charge for API access so have to take the hit on cost? This will further reinforce the perception that open banking has zero upside for incumbents and all downside. (See lessons from the UK in next section)

From: Fintech 🧠 Food – 1033: Open Banking Endgame.

The lack of upside is one of the key lessons from the U.K. If the U.S. can learn something useful from their friends across the pond it is that while basic APIs should be provided free (as a condition of being a regulated institution), there should be plenty of opportunity for premium APIs. Broadly speaking, there are two rather obvious categories of premium APIs that banks should be looking forward to: identity and data. Identity because, well, obvious. Data because while third parties can access and download consumer’s transaction data, that is the raw data only. Under the CFPB rule, banks do not have to provide algorithms or other processing.

xxx

There are two possible transitions from a valid PID: either it automatically expires, by passage to the ‘validity end date’ or it is actively revoked by its Provider. Expiration and revocation are essentially independent transitions.

From: EU Wallet In Depth #6: Revocation | LinkedIn.

xxx

xxx

“It makes no sense to me why you would be building it on the back of Twitter,” Jason Mikula, a fintech analyst and author of Fintech Business Weekly, told Insider in April. “It basically sounds like he wants to make a new version of PayPal.”

From Twitter Becoming a Super-App Would Be Difficult, Experts Say.

xxx

xxx

In recent years, Africa has witnessed substantial growth in its digital landscape, significantly altering the way people access financial services. Digital innovations, particularly in the domain of digital identity, have played a central role in extending financial access and fostering inclusion across the continent. In this discussion, we delve into the pivotal role of digital identity in advancing financial inclusion in Africa and how it has the potential to revolutionize the continent’s banking, payments, and financial services sectors.

From The Role of Digital Identity in Promoting Financial Access and Inclusion in Africa.

xxx

xxx

New research by FreedomPay and Retail Economics shows that the UK is on the brink of a digital payments transformation, with digital wallet purchases set to surpass card transactions within ten years.
Currently, around a fifth (17.0%) of retail, leisure and hospitality spending is made through digital wallets; compared to over half (55.7%) by plastic, and a fifth (18.8%) for cash. This is set to increase to £127.7bn in 2027/28 (£72.5bn currently). By 2033, the share of digital wallet payments will likely more than double to 39.7% to £210bn.

From UK Digital Wallet Transactions Set To Surge Ahead Of All Other Payment Methods.

xxx

xxx

In Southampton, England, bouncers at seven different venues will wear cameras with facial recognition in a 3 month trial to combat crime and identify barred individuals, according to Daily Echo.

From UK bouncers to trial body cams with facial recognition | Biometric Update.

xxx

“If a person is not recognised on the cameras, data will be instantly and permanently deleted from the system within microseconds as the camera will only be matching against the images of those currently banned, which represent 65 known offenders.”

xxx

In response to investor pressure, Mr Zuckerberg performed one of the fastest pivots in tech history. Within a fortnight of the third-quarter rout he slashed Meta’s spending plans, cut costs and fired staff. And in response to Openai’s Chatgpt and the blaze of excitement around generative artificial intelligence (gen ai for short) he launched an internal revolution aimed at using the technology to galvanise Meta’s core business. Those manoeuvres reveal a lot about Mr Zuckerberg’s leadership style. They may even end up vindicating his faith in the metaverse.

From How Mark Zuckerberg escaped a metaverse-sized hole.

xxx

xxx

Responding to the new figures from the PSR, UK Finance takes aim at the social media and telecommunications platform which facilitate this type of fraud.

“What today’s data from the PSR does not show is where fraud starts,” states the industry forum. “Our data shows that 94 per cent of authorised fraud starts online or over the phone, through social media, fake messages and more. But the technology and telecommunications sectors bear no responsibility for reimbursing victims, which means there is little commercial incentive for them to truly tackle the enormous threat that continues to proliferate on their platforms and networks.

From Monzo and Starling among worst performers for APP fraud reimbursements.

xxx