What is Fintech?
Fintech is a new term being used to describe many of the innovations in the finance space which have been occuring due to the newest efficiencies being ...
What's up party people? Chris Derose here, Community Director of the Counterparty Foundation. And on this video today I wanted to address the questionm "What is Fintech?" So, what is Fintech? You know, Fintech was a term that I heard, really I want to say I started hearing it in rampant use around 2010 or so, 2011 maybe. Now, I don't know what exactly Fintech was that was anything unusual in the finance world up until about that time. And so I hear now Fintech being thrown out a lot by various people. I hear Fintech being discussed certainly by a lot of traditional incumbents and players in the finance industry. And it's funny to me because, you know, typically when they say Fintech they're often not wanting to mention Bitcoin.
Often, not always, but often. And I see Fintech lately as a very fashionable way to talk about the innovations that are Bitcoin, without saying the B word. Almost like when you say block chain rather than Bitcoin, something like that. So when this started coming around, when I started to see Fintech, it was really very obvious to me that Fintech was typically themes dealing with routing of value outside of regulatory structure. Creatively managing risk without having to deal with incumbent technologies. And what's funny about the term is that it was typically referenced and said by people who themselves were incumbent technology providers.
Oftentimes I find myself discussing this with people and they'll say, like well Fintech is either it's nothing new which is kind of not true because it is, or it is something new but it's not Bitcoin. Which is funny because it didn't come around until after Bitcoin showed up. So I don't know exactly what Fintech is, if not the advances that are probably being brought about by block chain technologies principally. And incidentally, things relating to that so the incidentals of it would be things like using Facebook for credit analysis perhaps. Certainly transacting in dollars and ways that are perhaps slightly more forward thinking than what we had prior. You know, Venmo might be a good example of a Fintech company, though in the case of Venmo they're not really routing around regulatory infrastructure in any way so even that might be a little bit like, eh not necessarily as Fintech-ey as I would like to see or what I would typically see when people throw out a Fintech company.
But what is certainly not Fintech are most of the traditional banking applications, things like scanning your check, taking a picture of a check, and then depositing that in your, you know, big four bank account type thing. I mean, that kinda stuff is cool but that's fairly legacy technology. I think that what Fintech is, when used correctly, is a solution that involves technology for the purposes of routing value and circumventing traditional censorship and restrictions in these value routing markets. So that's Fintech, according to me. I'd be curious to see what you guys think. And let me know when you saw Fintech for the first time.
Add that to the bottom. I wanna say I saw it on 2010 or so, but, you know, again if you saw it in 2010, why were you asking that question in 2010? What made it different than previous financial technology platforms if not the invention of the block chain. So, yeah, check out this video, check out my other videos if you liked this video. Subscribe to the channel if you like my videos and tweet me on Twitter. Ask me your questions, derosetech is where you'll find me. Later, party people.