For years Banks have been the center of financial activity. With the rise of FinTech, we are now seeing a process where the power is being shifted in different directions, which at first glance seems as a definite move in the right direction. BUT - What if the power is shifting to another centralized entity? The exploration of the decentralization process of the financial eco-system has surprising twists and turns, which we'll be discussing at the d10e confrence.

1. Meirav Harel
Twists and Turns
In the Decentralization of the
Financial Eco-Systems-
D10e Conference TLV, 6.2017

2. Traditionally Financial organizations were the Middle-Man for
most financial transactions
PaymentsTransactions Lending InvestmentsWealth ManagementFinancing

3. The Beginning of the change: The subprime crisis

4. http://www.forbes.com/sites/jeanbaptiste/ 2016/09/28eht/-labolg-hcetnfi-epacsdnal-sehcaer-revo-
1000-seinapmoc-105 b-in-funding-867b-in-value-report/#1a418cd44e86
The constantly evolving FinTech landscape
Today there are more than 12,000 estimated FinTech startups worldwide, 400 in Israel

5. This is what banks are dealing with:
Wells Fargo maps the competition for each service on its home page

6. BUT-
Does this mean that we are seeing decentralization in the
Financial Eco-System?
Lets take a look at 4 sectors:

7. 1. Developments in Payments
New alternatives to bank transfers and payments
https://www.youtube.com/watch?v=D0OS6WVe0xw&hd=1
https://www.ispot.tv/ad/7Uwm/citi-apple-pay-new-powers-song-by-vita-bergen
https://www.youtube.com/wa
tch?v=NrmMk1Myrxc

8. 2. Lending & Financing
New alternatives to bank loans
Crowdfunding P2P Loans
ICO

9. 3. Retail Banking
New alternatives to bank interfaces
https://www.youtube.com/watch
?v=fxLhhM8RU-o
PSD2 - Revised Payment Service Directive –
App Markets for Financial Tools and Interfaces
Voice access to Bank account

10. 4. Wealth Management & Trading
New alternatives to Bank Investment Advisors and trading
Wisdom of the Crowds Algo Trading
Robo Advisors

11. So are we seeing a decentralized financial eco-systems?

12. Reason 1 why not: Deep Pockets & new allegiances -
While the initial reaction to Fintechs was negative
https://www.google.co.il/amp/www.recode.net/platform/amp/ 2016/5/25/11768854asiv/-oec-lapyap-sm=tneilc?taerht-diordna-gnusmas

13. After rethinking, Financial companies
understood that cooperation is better

14. To the point where banks are the investors & partners of Fintechs

15. Reason number 2 why we’re not necessarily in the
direction of decentralization of the financial eco-system:
What names keep popping up?

16. Yes, GAFA. All of them. As investors and as
creators of financial services
73% of Millennials are more interested in new financial services offering
from the likes of Google, Amazon & Apple than from their own nationwide bank.

17. The Bigger Picture is:
So are we seeing
Decentralization or Recentralization of the financial eco-systems ?

18. To learn more, Book a Lecture, find solutions, or
To place bets where the financial eco-system is heading to ;) :
Meirav Harel: (972)52.45.89.228
MHfintechs@gmail.com
Thank You!