The panel discussion highlighted the challenges and advantages of data use in compliance for banks and fintechs. Key points included the importance of data protection, the risks of organized crime, and the competitive advantage of automating compliance processes. Both sectors can learn from each other to improve technology integration and regulatory practices.

1. COMPLIANCE:
Banks vs. FinTechs
A Revolut ClauseMatch Event

2. PANEL
DISCUSSION
Nikolay Storonsky
Founder and CEO
Revolut
Moderator:
Oscar Williams Grut
Senior City Correspondent
Yahoo Finance
Sandra Quinn
Co-founder and Director
The Compliance Foundation
Ian Hollowbread
Director - Ecosystem UK
ING
Evgeny Likhoded
Founder and CEO
ClauseMatch

3. *Source: Shilakes, Christopher C.; Tylman, Julie (16 Nov 1998). “Enterprise Information Portals” (PDF). Merrill Lynch.
*Around 80-90%
of all potentially usable
business information
may originate in
unstructured form.
What are some of the downsides that data
can pose to businesses when it comes to
compliance?
“One of the big challenges in relation to data is that it’s not just getting our hands on it but
thinking about how we’re using it and also being able to present that to people”
Sandra Quinn - Co-founder and Director - The Compliance Foundation
“Having data is a huge advantage, but it’s also dangerous. FinTechs need to be very careful
with how they use and show data.”
Nikolay Storonsky - Founder and CEO - Revolut

4. *Source: https://www.accenture.com/t00010101T000000Z__w__/gb-en/_acnmedia/PDF-75/Accenture-2018-Compliance-Risk-Study-Infographic-Financial-Services.pdf#zoom=50
Cyber Risk is fast
becoming a top challenge
In 3 years’ time, the role
of Compliance is to act
as a Risk Assessor,
Regulatory Advisor and
Surveillance Agent
49% are looking to deploy
surveillance tools in the
next year
What is the right way to use data? What are the
right metrics to look at?
“Data is crucial, but it’s the protection of data and consumers that we’re fundamentally first
and foremost looking at.”
Ian Hollowbread - Director - Ecosystem UK - ING
“I want to start off by saying that without data, we wouldn’t have the breakthroughs we have
today in machine learning and artificial intelligence. However, following the ‘whoops’ moment
for banks in 2008, regulators massively increased the amount of regulations and oversight
on banks. I think data companies like Facebook had their ‘whoops’ moment last year, so data
protection will become a massive focus for regulators in Europe and the rest of the world as
already evidenced by GDPR and new California Data Laws.”
Evgeny Likhoded - Founder and CEO - ClauseMatch

5. We’ve heard a lot about the automation of
compliance. How do we avoid organized crime?
“Companies who don’t invest in technology will be vulnerable to cyber attacks.”
Nikolay Storonsky - Founder and CEO - Revolut
“One of the key things I’ve learned is that the people who are prepared to invest the most and
who are the most clever people in the room are often the criminals. Because of this, you have
to assume that organized crime will always be out there. Don’t design for a utopia, but rather
for the people that are going to attack you.”
Sandra Quinn - Co-founder and Director - The Compliance Foundation
“You don’t need to be the fastest guy in the forest trying to outrun a bear. You just need to
make sure you’re not the slowest.”
Sandra Quinn - Co-founder and Director - The Compliance Foundation
*Source: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/702074/Cyber_Security_Breaches_Survey_2018_-_Main_Report.pdf
% reporting any breaches or
attacks in the last 12 months43%
% where cyber security is a
high priority for directors,
trustees or senior managers
75%
% with formal policy or policies
covering cyber security risks27%

6. Is the setup of traditional banks preventing
them from engaging with innovative
businesses?
“Banks have thousands of policies and procedures and all knowledge distributed across
multiple regions, handled by countless people. Because of this, it’s challenging to implement
RegTech solutions that centralise processes and knowledge purely because there are so
many people involved, which makes innovation encounter hurdles from every side.”
Evgeny Likhoded - Founder and CEO - ClauseMatch
“We need a regulatory operating environment that works for everyone”
Ian Hollowbread - Director - Ecosystem UK - ING

7. *Source: https://www.accenture.com/t00010101T000000Z__w__/gb-en/_acnmedia/PDF-75/Accenture-2018-Compliance-Risk-Study-Infographic-Financial-Services.pdf#zoom=50
Is getting compliance right increasingly
a competitive advantage as we see more
regulation emerge around banking?
“80% of transaction is cost of compliance. Automating compliance is a competitive advantage”
Nikolay Storonsky - Founder and CEO - Revolut
“10 to 20 percent of global operating costs in banks goes to compliance. If you can streamline
and speed up compliance, it’s a massive advantage.”
Evgeny Likhoded - Founder and CEO - ClauseMatch
*89%of respondents
indicated that investment
in Compliance will rise over
the next two years

8. KEY
TAKEAWAYS
Banks and FinTechs have more access to data than ever
before. The question is no longer how to capture data, but
rather how to structure, assess and present it.
Organisations that don’t invest in technology will be more
susceptible to cyber attacks.
FinTechs and banks must learn from each other. Banks can
learn from FinTechs on using the power of technology to
streamline processes; while FinTechs can learn from banks
on dealing with the pressures that come with being a global
organisation.
Compliance is a massive competitive advantage, as it speeds
up processes and reduces costs.
evolve@clausematch.com | Level 42, One Canada Square, Canary Wharf, London E14 5AB

9. evolve@clausematch.com | Level 42, One Canada Square, Canary Wharf, London E14 5AB
ClauseMatch. Evolve with compliance.