Whether you know it or not, the worlds of cryptocurrency and digital banking are moving closer and closer together. And at long last, the crypto industry is coming out from under the once-large shadow of neobanking, otherwise known as challenger banks.
If you haven’t yet heard of Chime, Current, Monzo, Revolut, Starling or Varo, I suspect you will soon. These digital banks are raising eyebrows based on their steep rise in the world of neobanks, with growth abetted by their ability to work outside the standard banking system.
Just as neobanks have grown, so have their innovative financial cousins in the cryptocurrency and blockchain sector. They are more connected than many realize, particularly when it comes to venture capital, decentralized operations and remote teams spread across the globe. This year offers more opportunity for working together, as cryto players begin to expand further into the neobanking space.
Interestingly, 2020 has not been a banner year for neobanks thus far, in part due to the global pandemic and challenging conditions in the United States. To that end, they may be better off if they pivot more services toward cryptocurrency.
If traditional banks aren’t already paying attention, will likely end up paying a price for their inattention sooner than later as neobanks and cryptocurrency operations continue to blend their services and work together rather than apart. Read more.