We think that Self Sovereign Digital Identity is one of the key elements in the shift towards a distributed decentralized financial system (see also FINthinker’s Predictions for 2018). Below are examples of organizations which engage on this topic each with a different approach:
There are more … comments with links welcome.
2017 was an interesting year where many developments started to get real traction. Just think about blockchain, bitcoin and artificial intellgence.
2018 will be even more interesting and substantially more challenging. A few predictions for 2018 are as follows:
There will be three core changes for financial services:
All three aspects levitates a shift towards a distributed decentralized financial system. This affects the core and challenges legacy status quo and its existence in the future.
In addition fueled by the increasing tokenization and availability of blockchain based systems there will be a shift towards
- Mobile Payments
- Holistic mobile wallets
- Global Solutions
There will be no other options for incumbents to integrate into the evolving mesh than to provide API’s to access information and services and to start to rely on others to provide crucial information. Self contained and closed financial services companies as well as local solutions will increasingly face headwinds.
- Open Banking / API’s
- Global solutions
Last but not least – user interfaces will become much more natural and transparent. The users will be amplified with new sense and access to information supported by intelligent agents.
Regulators will start to come up to speed with the changes. They will find ways to agree with business changes but also ethical standards across borders acknowledging the global nature of digital eco systems. A big challenge will be on the very old tax systems which are not ready yet for the shaping economy.
These changes are fundamental – there is a ongoing paradigm change where inherent distributed digital approaches start to outperform the automated legacy processes. There are two big dangers out there
Many of the current developments seem to turn time back and bring up systems again which were used in the past but difficult to apply as physical distance was a limiting factor. Digital changes this – the world becomes some sort of a global village. Have a look at Yap, The Island Of Stone Money – the first productive blockchain system.