Galileo raises $77m for European expansion
Galileo Financial Technologies has announced its first institutional funding round - a $77 million investment led by venture capital firm Accel, with participation from Qualtrics co-founder and chief executive Ryan Smith. The company plans to use the funds to accelerate growth - including expansion into Latin America, the UK and Europe - and for continued product expansion.
Lemon Way seals €25m Toscafund investment
Pan-European payment processor Lemon Way has signed a €25 million investment from Toscafund Asset Management, the London-based specialist financial services investor. The transaction, which is subject to customary regulatory approvals, marks Toscafund’s first private equity investment in France.
EBA updates SCA deadline for payment firms
The European Banking Authority (EBA) has published an opinion on the deadline for the migration to Strong Customer Authentication (SCA), setting a deadline to 31 December 2020 and prescribing the expected actions to be taken during the migration period. This applies under the revised Payment Services Directive (PSD2) for e-commerce card-based payment transactions, recommending that national competent authorities (NCAs) take a consistent approach toward the SCA migration period across the EU, requiring their respective payment service providers (PSPs) to carry out the actions set out in the regulations.
Only 17% of banks ‘have digitally transformed at scale’
Only 17 per cent of banks have succeeded in digitally transforming at scale, according to new research from Infosys and Efma. More than 350 financial services companies globally took part in the report, which found legacy technology and system integration challenges were perceived as the biggest barriers to digital transformation, followed by the time and cost required to bring the concept to reality.
Ashurst launches FinTech accelerator
International law firm Ashurst has launched FinTech Legal Labs, an accelerator programme aimed at enabling FinTech businesses to gain insight into legal issues affecting their business – as well as accessing the firm's network of corporate clients, financial institutions, investors and potential joint venture partners. The multidisciplinary collaboration between 19 Ashurst partners and senior lawyers across different practice groups has been set up to address the demand from FinTech companies at various stages of development for legal support and access to investors.
TISA boosts Open Finance development
The Tax Incentivised Savings Association (TISA) has completed the first phase of its project to deliver an Open Savings and Investment infrastructure, building on the back of Open Banking reforms to create wider Open Finance data sharing. This supports the Financial Conduct Authority’s (FCA) strategic ambitions, which TISA is actively involved in.
Santander InnoVentures leads €35m CrossLend funding
Santander Group’s FinTech venture capital fund Santander InnoVentures is leading the Series B funding round in CrossLend, a Berlin-based pan-European digital debt marketplace. The round also included funding from existing investors Lakestar, ABN AMRO Ventures and Earlybird, with more institutions expected to join as equity investors over the next few months.
Legacy systems ‘key machine learning blocker’
A financial services survey from the UK’s regulators has revealed that legacy systems and data limitations are the biggest constraint in terms of machine learning (ML) innovation – especially so in banking and insurance. The Bank of England (BoE) and Financial Conduct Authority (FCA) conducted a joint survey this year to better understand the current use of ML in UK financial services.
FCA reveals regulatory fees for crypto firms
The Financial Conduct Authority (FCA) is proposing to charge the cryptoasset firms it is set to regulate registration fees of £5,000 and much higher annual periodic fees based on income. In a consultation paper published yesterday, the regulator explained that under the Economic Crime Plan 2019-22, it will be the anti-money laundering and counter terrorist financing supervisor for cryptoasset businesses, effective from 10 January 2020.
Yorkshire Building Society uses OutSystems for app upgrade
Yorkshire Building Society has selected OutSystems’ development platform to deliver its next-generation of mobile applications for retail banking and broker customers. The project will introduce a significant update to the building society’s back office systems, moving to a digital platform which will provide a more immersive customer experience, while vastly increasing security.
Brexit concerns have not ‘deterred IT investment’
Nearly half (49 per cent) of IT decision makers in the UK believe that uncertainty surrounding the outcome of Brexit has not impacted their company’s decision to invest in IT infrastructure. A survey of more than 2,450 global senior IT professionals for connectivity firm Equinix found that political uncertainty was not deterring companies from making longer-term decisions on digital transformation.