Author: Rebecca Oi

The fintech industry in India is experiencing rapid growth due to various factors. One of the primary drivers is the increasing penetration of the internet and smartphones, enabling access to digital financial services. Additionally, the country’s large and young population presents a significant opportunity for fintech companies. The government’s push for digital payments and financial inclusion has also played a crucial role in the country’s fintech sector’s growth. According to McKinsey’s report, India’s digital payments industry could reach US$1 trillion by this year, fuelled by a surge in online transactions, a growing number of mobile users, and favorable government policies. The report also…

Cashless payments in Vietnam have seen rapid growth in popularity as a growing number of Vietnamese consumers seek more efficient and secure ways to manage their finances. From contactless card payments to mobile wallet transactions, the range of cashless options available in Vietnam is expanding, proving to be a game-changer in how people conduct their financial transactions. A recent report from Visa reveals that 65 percent of consumers in Vietnam carry lesser physical cash, while 76 percent have adopted e-wallets. Additionally, the use of cards is even higher at 82 percent. Over 80 percent of consumers use card payments, QR…

The alternative asset space is a complex and fragmented market with many investment opportunities, such as real estate, private equity, hedge funds, and commodities. In the coming years, private capital markets are expected to experience robust growth. According to Preqin, global private capital markets are projected to nearly double, reaching US$18.3 trillion by 2027, up from US$9.3 trillion at the end of 2021.  This increase is attributed to the continued growth of the alternative asset market, including private equity, venture capital, and real estate. As institutional investors seek higher returns and diversify their portfolios, alternative investments have become increasingly popular.  Although investing…

The Bank of International Settlements (BIS) Innovation Hub has just unveiled its 2023 priorities, focusing on stablecoins, central bank digital currencies (CBDC), data monitoring, and cybersecurity. Over the past years, the BIS Innovation Hub has been at the forefront of exploring and developing cutting-edge solutions to central banks’ challenges, as evidenced by the number of ongoing and completed projects. Pyxtrial: Transparency and Stability to the Stablecoin market The BIS Innovation Hub recently announced the launch of its new project, Pyxtrial, initiated by the London branch to ensure the financial sector’s stability. Pyxtrial refers to a traditional British judicial process that…

Several high-profile cryptocurrency hacks occurred in 2022, causing significant financial losses for businesses and individuals who held digital assets. According to a recent analysis, the estimated loss from these attacks was a staggering US$3.8 billion, making it the biggest year ever for crypto hacking, with significant spikes in March and October.  October was particularly devastating for the industry, as it saw a record-breaking US$775.7 million stolen in 32 separate attacks, making it the most significant single month ever for cryptocurrency hacking.  This surge in hacking attacks brought attention to the vulnerabilities of the decentralized systems, underscoring the need for increased…

The Union 2023-24 budget, presented by the Finance Minister of India, Nirmala Sitharaman is a landmark event that holds immense significance for the country’s financial sector, particularly regarding fintech. India is one of the fastest-growing fintech markets globally, with an adoption rate of 87 percent, compared to the worldwide average of 64 percent.  This trend is projected to continue, with the fintech market in India expected to reach US$1 trillion by 2030. Here are the seven key fintech insights from India’s 2023-24 Budget that are crucial for understanding the country’s future direction of the fintech landscape and its impact on the…

The Business-to-business (B2B) sector has unique requirements when it comes to payments, which has resulted in the rise of cross-border payment solutions that cater to these needs.  These solutions allow businesses to make and receive payments in various currencies, with the added benefit of tracking and managing their payments in real time. A new study from Juniper Research has found that the global spend on B2B cross-border payments is set to exceed US$40 trillion by the end of 2024, an increase from the current estimated figure of $37 trillion in 2022.  This represents a significant growth in cross-border payments being…

Vietnam is making waves in the cryptocurrency world as it has become one of the largest markets for digital currencies. With a population of 99.607 million, the country is the 13th largest by population. In ASEAN, Vietnam is second only to Thailand in cryptocurrency market size, with a yearly transaction value exceeding $100 million. These statistics are further boosted by the fact that a recent study found that one in five people in Vietnam own cryptocurrencies. This firmly establishes the country as the cryptocurrency capital of the world. Directive prohibiting the use of cryptocurrencies  In 2017, the government issued a…

Thailand has recently approved digital banking but has warned against irresponsible lending. This comes from the growing digital banking trend in Southeast Asia, which has seen an influx of financial technology firms entering the market.  The Bank of Thailand (BoT) has stated that it will assess the applicants’ qualifications in several areas, including their financial status, to ensure that they are fit to operate in the digital banking sector. The approved digital banks will go through a “restricted phase” during their first years of operation. This is part of a broader effort to regulate the digital banking industry and prevent potential…

Singapore has seen an influx of startups and venture capital in recent years. Several factors have contributed to this – from the city’s pro-business environment to its highly educated workforce. Another factor contributing to the success of startups in Singapore is the availability of capital, with several active investors willing to invest in early-stage startups. The city-state is home to several unicorns, such as Grab and Sea Limited, and is a popular destination for startup founders and investors alike. Fintech startups inked 127 deals worth US$2.06 billion in combined proceeds, equivalent to a quarter of the total deal volume in…

With the rise of fintech, traditional banks are being disrupted by nimbler, more customer-centric digital banks; it seems that the future of banking lies in the digital world. The traditional brick-and-mortar banking model’s role has been reduced in the digital age.  It is evident that Southeast Asia is moving towards a digital future and digital banking is at the forefront of this change. With the many benefits of digital banking, it is not surprising that this trend is taking off in the region. Malaysia has already awarded five digital banking licenses comprising Boost Holdings, RHB Bank Berhad, Sea Limited, and…

The growth of internet usage, online banking, and digitalization of financial services has increased cybercrime and cyber criminals’ attack surface. Financial institutions are a prime target for cyber-attacks due to the large amounts of data and money they hold.  In the past few years, there has been a rise in cybercrime in financial institutions, with the Singaporean bank breach being one of the most prominent.  The cost of any breach can be pretty staggering, considering the cost of litigation and the reputational damage the banks might face. During Fintech Fireside Asia’s latest panel discussion, high-powered executives representing SC Ventures, Bank…

With a burgeoning population and a young, tech-savvy workforce, Islamic Fintech in Indonesia is ripe for growth. In recent years, the country has seen a boom in fintech startups, and the industry is now one of the most promising in the country. The bustling economy in Indonesia has carved a clear path to leverage fintech startups and ride the wave of digitalisation. Fintech in Indonesia became one of the most promising industries, with a total investment of US$1.8 billion reported across 51 deals in 2022. Islamic fintech in Indonesia ripe for growth Approximately 231 million Muslims reside in Indonesia; the archipelago is…

Cryptocurrencies have been in the news lately due to the volatile prices of Bitcoin and other coins, along with numerous high-profile collapses such as FTX and Voyager. However, another story has been brewing beneath the surface – the massive layoffs in the cryptocurrency industry. The result is a rapidly shrinking industry, with major exchanges and startups shutting down or laying off employees. Approximately 23,600 employees lost jobs in the crypto sector as of December 9 last year. This figure represents the industry’s highest number of layoffs ever recorded within a year. The latest casualty is Singapore-based Crypto.com which has announced…

As we move into a new year, it’s time to start looking ahead to the next big thing in fintech. And there’s no better place to start than Indonesia. The country’s Ministry of Finance predicts that Indonesia’s economy could grow as much as US$2.8 trillion by 2040 through technology adoption, contributing 0.55 percentage points to annual GDP growth between 2020 and 2040.  According to a report, the overall digital economy of Indonesia is expected to reach between US$ 130 billion GMV by 2025, with e-commerce accounting for US$95 billion, US$11 billion for online media, US$ 15 billion for transport and food, and…

BNPL has become a popular payment option in Indonesia due to its convenience and flexibility. With relatively low financial inclusion and even lower credit card penetration, BNPL offers the Indonesian public an alternative to pay a lower upfront amount for instant gratifications at lower or sometimes zero interest.  The findings of a report showed that BNPL’s consumer search interest grew 16 times in the ASEAN market, predominantly driven by Indonesia. The country’s BNPL gross merchandise value (GMV) is expected to reach US$25.3 billion by 2028, according to the Q3 2022 update by Indonesia BNPL Business and Investment Opportunities. This trend…

It is no secret that the fintech industry in Singapore has been flourishing in recent years. This can be attributed to the city-state’s supportive ecosystem, which includes a pro-business government, a highly educated workforce, and a conducive environment for innovation and risk-taking. The sector has also benefited from the strong presence of leading financial institutions and multinational corporations, as well as the city’s status as a regional hub for banking and finance. All of these factors have contributed to the growth of the fintech landscape in Singapore, as evidenced by the flurry of exciting announcements we have witnessed this year.…

This year has been a tough one for the crypto industry. From Bitcoin’s wild price swings to the implosion of major exchanges, it’s been a rollercoaster ride for investors and enthusiasts alike.  And while there have been some bright spots, such as the launch of Ethereum 2.0 and the rise of DeFi, there have also been plenty of failures.  In the world of cryptocurrencies, there are always winners and losers, with several high-profile failures making headlines. Here, we look at ten of the biggest crypto failures of 2022. The Terra Luna/TerraUSD Crash On March 12, 2022, the crypto industry was…

Insurtech startups in the Southeast Asian region are capitalising on the heightened need that consumers now have for travel coverage, even as the majority of countries globally relax travelling restrictions in earnest. In the recent past, this sort of travel coverage would be viewed as an optional product that people purchase when they may be traveling somewhere with a dubious safety record. But following the recent global health crisis, adequate travel insurance is now viewed as an absolute essential before travelling. Travellers often lament the protection afforded to them by their insurance providers, not to mention the troublesome and lengthy…

Buy now pay later (BNPL) has been picking up steam among curious consumers in Thailand. This type of financing has grown in popularity because it is seen as a more flexible and consumer-friendly alternative to traditional credit products. It is reported that BNPL fintechs have already diverted US$8 to US$10 billion (THB280 billion to THB350 billion) of annual revenue away from banks globally. Thai banks would need to adapt fast and be more progressive to regain and retain consumers, as 70 percent of BNPL users would be willing to use BNPL offerings from their banks if they were available. The COVID-19…