NEWS
NEWS
Chime submits comment to joint banking regulators ’ request for information on bank-FinTech partnerships
Chime , a global FinTech company , has recently submitted a comment letter in response to a Request for Information from federal banking regulators in the US on the topic of bank-FinTech partnerships . Sharing more about the business and how it is working on behalf of Chime members across the country to keep their funds safe and continue unlocking their financial progress .
As the letter states , Chime ’ s direct relationship with its two longstanding partner banks has served to benefit millions of consumers . It states that its model is based on direct relationships with partner banks , not middleware ; customer funds that are held in FDIC-insured accounts ; and strong ledgering and daily reconciliation practices .
The letter states : “ Chime is a FinTech that operates through direct , longstanding partnerships with two national banks – The Bancorp Bank , NA , and Stride Bank , NA , Chime ’ s banking partners provide services to consumers , Chime ’ s members , who access those services through technology solutions developed by Chime . Through this model , Chime , as a service provider to its partner banks , enables the banks to provide banking products that provide clear benefits to Chime ’ s members . Chime members are predominantly everyday Americans earning less than US $ 100,000 per year , many working in critical sectors of the economy and living paycheck-to-paycheck . Chime ’ s relationships with its partner banks are structured to emphasise effective risk management , compliance and consumer protection .”
Goldman Sachs digital assets to spin-out technology platform , GS DAP
Goldman Sachs intends to explore strategic opportunities to spin-out its wholly owned technology platform , GS DAP from its Digital Assets business , to ultimately become an industry-owned distributed technology solution , subject to regulatory approvals . In tandem with the announcement , Goldman Sachs has also introduced a collaboration with strategic industry partners to underscore a shared commitment to and vision for using distributed ledger technology across financial markets .
GS DAP , an award-winning technology platform which leverages solutions developed by Digital Asset , is designed to meet the sophisticated needs of market participants in digital capital markets .
Developed as a part of Goldman Sachs ’ Digital Assets business , the potential spin-out of GS DAP advances a broader vision to create a distributed ecosystem that allows participants to interoperate seamlessly , efficiently and at scale . Establishing a new , standalone company independent of Goldman Sachs and its Digital Assets business will help to provide the future runway for digital financial services by ensuring a fit-for-purpose , long-term solution .
“ We view permissioned distributed technologies as the next structural change to financial markets and are already demonstrating the meaningfulness of the technology ’ s perceived benefits ”, said Mathew McDermott , Global Head of Digital Assets at Goldman Sachs . “ Delivering a distributed technology solution to a wide cross-section of financial market participants has the potential to redefine market connectivity , infrastructure composability and to deliver a new suite of commercial opportunities for the buy- and sell-side . We view this as an important next step for our industry as we continue to build-out our digital asset offerings for our clients .” www . intelligentfin . tech
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