The Rise of the New Cryptocurrency
With interest in cryptocurrency rising, the competition is starting to gain more importance. Who will take over as the new face of currency? There are a few options and time will tell which altcoin will rise from the pack to become the new leader of the cryptocurrency world.
Ethereum is the name most people throw in when contemplating Bitcoin’s success, but its tumultuous status in the stock market (it fell sharply on June 15 as well and also fell 15 percent on June 22) faced similar problems to those facing Bitcoin. Its use of smart contract technology sets it apart from the crowd and it still has a strong chance to overtake the Bitcoin and rise to the top.
Litecoin might seem like a contender to Bitcoin – and it has a lot of assets that make it a strong contender. Litecoin’s main asset may be its simplicity. As well, it’s easy to mine and quick to use. Considering the various levels of technological know-how in the marketplace and the speed at which the business world moves, Litecoin might prove to be a good option for the modern world.
Ripple, home to Ripple XRP, the third-largest cryptocurrency, is obviously a very strong contender. The total value of Ripple XRP ($26 billion) is second only to Bitcoin ($41 billion), and Ripple counts many global banks as customers, which means the startup is in a good position to rise to the top.
If you worry about security or government interference, Zcash can help you feel your confidentiality is maintained as you shop online. Calling itself “the first open, permissionless cryptocurrency,” the system uses “zero-knowledge cryptography” called zk-SNARK to ensure a high level of security and confidentiality. Given the increased danger and awareness of cybercrime, Zcash has a solid base it can use to attract users and grow into a solid currency option. Calling itself “the first open, permissionless cryptocurrency,” the system uses “zero-knowledge cryptography” called zk-SNARK to ensure a high level of security and confidentiality. Given the increased danger and awareness of cybercrime, Zcash has a solid base it can use to attract users and grow into a solid currency option.
Those used to dealing with PayPal will probably like Dash (or “digital cash you can spend anywhere”). The cryptocurrency uses its custom platform to allow users to easily make payments in store or online using its Dash Wallet. Aiming big, the cryptocurrency is in a good place to replace bitcoin (and has replaced it at certain vendors). In fact, its next stage, Dash Evolution, is set to make paying with the cryptocurrency even easier. Watch for it, as it has the power needed to win the cryptocurrency race.
And we can’t discount Steem, a cryptocurrency and social media platform that uses rewards (or Steem Dollars) for users’ social media use. When users upload or react to online content on the site, they earn Steem Dollars or Steem Power. Given the heavy use of social media in today’s world and people’s love of rewards, Steem has a good chance of making an impression.
As you can see, there are a few key cryptocurrency competitors seeking to take the role of the true world currency. It will be interesting to see who can compare to Bitcoin as the most powerful cryptocurrency.
How FinTech Is Rewarding Its Followers
They say nothing in life is certain except death and taxes, but when it comes down to it there is another certainty: people like rewards.
The gift with purchase concept is not new, obviously. Stores have long since used it as a promotional tool and credit cards run rewards programs. Now, in the era of FinTech and eCommerce, the system is getting an amazing makeover. This is great news for those of us who want to be rewarded without shouldering the burden of credit card fees.
Drop is one company set to turn the reward system on its head. Aimed at millennials, the app lets users earn points based on how much money they spend at participating stores, then earn rewards they can use towards gift cards to various retailers.
Named as one of Canada’s most innovative companies in 2016 by the Canadian Innovation Exchange, the company quickly took off in Canada and is now set to conquer the U.S. this year.
Zero is another company set to conquer the market by offering its clientele rewards. Depending on their card level (Quartz, Graphite, Magnesium or Carbon), users can earn 1-3% cash back on their purchases. As well, users can track their progress on the Zero app, giving them better oversight of their finances. Making banking easy and rewarding, Zero is sure to be received well by the masses.
FinTech is bringing in a better financial system in every way, and the fact that they are even improving the rewards system is the cherry on top of a very decadent sundae. Put the final nail in the coffin of the big banks, as there is no way they will be able to topple the FinTech revolution.
How FinTech Is Taking Over the East
How do you compete in today’s competitive business world? You fund startups. These are the companies that are showing innovation and are making a real impact in the world.
When it comes to the ever-stretching reach of FinTech, this truth is incredibly important. FinTech is changing the financial field and no one wants to be the last one to the party (or the one who stayed home).
When you realize this, Thailand’s push to fund their FinTech startup industry makes perfect sense. The Thai economy is growing as the country becomes more industrialized and Thailand needed to find a way to compete and thrive on the world stage. After all, in order to be considered a real player in the new global economy, countries need to show their innovative nature and their technological savvy and FinTech is how you do this.
Like we’ve seen in North America (for a quick recap read here and here), the major financial institutions are partnering with local startups in order to access the new technology and upgrade their services. Kasikorn Bank, for example, has started a tech fund called Beacon to support the development of startups and Bangkok Bank has its own accelerator program. Siam Commercial Bank, meanwhile, has started Digital Ventures and aims to use this subsidiary to help remake the Thai financial marketplace and support Thai startups.
Of course, the move to embrace FinTech startups helps more than just the entrepreneurs running the companies. These new startups will bring financial services to the section of the Thai population who so far have been unable to access them. Considering the low levels of banking use in the country, this is an excellent thing.
The FinTech technology is doing an amazing job of remaking our broken finance system and billions of people will finally get banking access thanks to its initiative. In a way, FinTech is uniting the world.
How to Reach Millennials and Do Good
A common refrain made by older generations is that younger generations are self-absorbed and uncaring, and millennials are often saddled with this stigma. In reality, this age group is very socially conscious and acts in relation to this conscience. In fact, 67% of millennials (and 44% of gen x) prefer to invest in companies and causes that align with their values and social conscience. What this means is, if you want millennials to invest in your company, you need to be the right type of company.
What does this mean for FinTech and your startup? Well, the technology aspect of FinTech means the younger generations are a prime target market, but how do you get this segment of the market to patronize your startup?
The answer is pretty simple: combine their love of social justice with their comfort in technology. FinTech companies that push their links to social justice put themselves in a good place to get business from millennials.
This is the route that Grow took. A FinTech company, they set themselves ahead of the pack by specializing in environmental, political and social investments and causes. Stating that Grow lets clients be “contentious investor(s),” Grow’s clients can take pride and comfort from the fact that the money they invested is not simply sitting idly in an account accumulating interest. Instead, it is going towards social good.
Interested investors simply decide which causes they want to support (the environment, social responsibility or good governance, etc.) and add money or set up an automatic deposit to their account. Grow then uses its custom database and analytics tool–Grow Analytics–to seek out the best investments for the client’s selections. These investments are then easily viewable on the Grow app.
For millennials (or to a lesser degree generation x), easy-to-use technology is a must for almost every aspect of their lives–and obviously this extends to investment as well. A startup that wants to reach this market and has harnessed modern technology is in a good place. Combine it with one of their other interests and you will find you have very interested and loyal clientele.
Blockchain, Bitcoin & the Future
So far 2017 is seeing great strides in the field of bitcoin, with the value of bitcoin hitting record high levels. At the same time, new discoveries are set to impact the blockchain system, allowing innovative thinkers to harness the technology and bring new ideas to the market.
Startups are taking a very important role in the revolution. In the United States, the Depository Trust & Clearing Corporation (DTCC) is aiming to remake its credit platform and is working with startups Axoni and R3 to help improve its process. When this makeover is done financial institutions will see a major improvement in their operations–all thanks to blockchain technology.
The rest of the world is also making great financial strides. In fact, the financial powerhouses of BNY Melon, Deutsche Bank, Santander and UBS are joining forces in order to harness blockchain’s potential and create a new digital currency. This new product will no doubt continue the financial revolution. And according to an IBM study, 90% of governments will be seeking to invest in blockchain by 2018.
This is good news for startups interested in working in the field of blockchain and bitcoin. With high interest in the field, a well-developed startup has a good chance of success. Not only that, but major corporations are seeking the help of startups to get up to speed. Porsche ran a competition to find suitable startups, while Microsoft paired with Tierion and Spotify connected with Mediachain.
Blockchain and bitcoin are becoming a louder force in the business world and entrepreneurs wanting to make an impact in tomorrow’s marketplace should take a serious look at what the blockchain technology has to offer. The options for success are endless.
What Are the Financial Terms You Need to Know?
Three of the big terms in finance right now are blockchain, FinTech and RegTech. Powerhouses in their own right, these industries are also working together to remake our financial industry. For startups looking to break into the market, a knowledge of what these revisions are (or will be) is vital for survival in the new market.
Why You Should Consider an Incubator For Your Startup
Are you dreaming about launching a startup but aren’t 100% confident in your ability to manage the process? For those who need a bit of mentorship, there is always the incubator-accelerator option. We talked about the accelerator option here, but incubators are also an important element in the startup creation process.
The incubation process helps startups find funding sources, alleviating (part of) this problem and helping the startups get to market in a healthy financial state. For startups not rolling in cash, innovators are an imperative step of the startup process.
Incubators are designed for early-stage startups and can help your startup get through that rocky first stage when you don’t have your bearings yet. That being said, the competition to get a slot with an incubator can be pretty fierce. Although this potential introduction of competition might seem like a reason to ignore this opportunity, you shouldn’t overlook the incubation process. Here’s why it’s worth the effort.
You Have to Get Lost to Find Yourself
If you have a great startup idea but aren’t sure if you have the gall or knowledge to make it in the cutthroat business world, you need an incubator. Although it may be unnerving, this is where you will learn how to manage your company and its image in the ever-changing market. Through aptitude tests and business discussions, wannabe entrepreneurs hone in on their inner warrior and craft a plan to conquer the marketplace under the watchful eyes of people who know the business.
It’s Not What You Know But Who You Know
Let’s face it: If you are a new player in the business world, you don’t have the connections you need to truly make headway in the market. And you can’t just stand on a street corner handing out business cards and magically make the connections you need to grow your startup. Incubators can put you in contact with mentors, alumni, colleagues and investors who will give you the foot in the door you need to break into the market. Also, these businessmen and -women know what you are facing and can give you invaluable advice to help you rise to the top.
Money Doesn’t Grow on Trees
Launching a new business empire is full of (unexpected) stresses. One of these pains will be financially based. Why? Your startup will need money…possibly lots of money…and finagling how to get the funds can be incredibly stressful. Unsurprisingly, finding ways to reduce the pain is always helpful. The incubation process helps startups find funding sources, alleviating (part of) this problem and helping startups get to market in a healthy financial state. For startups not rolling in cash, incubators are an imperative step of the startup process.
Bringing a startup from its original conception to its launch in the marketplace is long, arduous and fraught with dangers. Having someone who knows the business and believes in your company is a great way to increase your chance of survival. Yes, handing over any control of your startup may seem unnerving, but it is a necessary process to get the business out to the marketplace. Don’t overlook the importance of an incubator, as their assistance may just be what pushes you to the top of the marketplace.
How FinTech Startups Will Save the World
Many entrepreneurs enter the market because they want to make a (beneficial) difference in this world. The potential is definitely there: use available technology to improve people’s lives in one of a myriad of ways.