Neterium’s Post

If there is one webinar you cannot miss it is this one, next week! 💡 What you’ll learn: ✅ Current trends shaping the instant payments landscape ✅ What to expect as the EU Instant Payments Regulation takes effect ✅ Actionable insights for meeting compliance deadlines and scaling your business ✅ How data and technology can create a seamless customer experience while managing risks Registration link in the attached link.

The fintech sector has witnessed unprecedented growth, with digital banks leading the charge in redefining financial services. However, this rapid expansion has brought to light significant compliance challenges, prompting regulatory bodies to take decisive action. In May 2024, the U.S. Consumer Financial Protection Bureau (CFPB) assessed a $3.25 million penalty against Chime Financial for illegally delaying consumer refunds. The company failed to return deposits from closed accounts in a timely manner, with thousands of customers waiting 90 days or longer. Similarly, in July 2024, DBS Bank (Hong Kong) Limited was fined HK$10 million ($1.73 million) by the Hong Kong Monetary Authority (HKMA) for lapses in adhering to AML and counter-terrorist financing regulations. The bank failed to continuously monitor business relationships and conduct enhanced due diligence in high-risk situations, and also failed to keep records on some of its customers. These incidents highlight a broader trend: as digital banks scale, they must ensure that their compliance frameworks evolve in tandem. The agility that characterizes fintech firms can be leveraged to implement advanced compliance technologies, such as AI-driven monitoring systems and automated risk management tools. By doing so, digital banks can not only meet regulatory expectations but also set new standards in compliance and operational resilience. In conclusion, while digital banks have transformed the financial industry through innovation, they must now focus on strengthening their compliance frameworks to sustain growth and maintain trust. The recent regulatory actions serve as a stark reminder that robust compliance is not just a regulatory requirement but a cornerstone of sustainable business practices in the fintech sector. At JOSE PAREJO & ASSOCIATES, we specialize in guiding financial institutions through the complexities of regulatory compliance while fostering innovation. Our expertise empowers you to build resilient compliance frameworks that support sustainable growth. 📧 Contact us today: info@joseparejo-asociadosai.com 🔗 Follow us for critical insights: LinkedIn 🌍 Learn more: https://lnkd.in/dYpB7CuR #DigitalBanking #ComplianceInnovation #AMLStandards #NeobankGrowth #JoseParejoAndAssociates #AML #KYC #UBO #PEP

Here's my 2024 LinkedIn Rewind, by Coauthor.studio: 2024: Where Regulatory Evolution Meets Technological Innovation The AML Package and MICAR regulations didn't just change banking rules - they redefined how financial institutions must approach digital transformation and compliance. My journey from retail banking specialist to Expert at Banca d'Italia - Eurosistema reflects this broader industry shift towards sophisticated regulatory understanding and technological adaptation. Key Professional Milestones: • Appointed Expert at Banca d'Italia, focusing on emerging financial technologies and regulatory frameworks • Developed deep expertise in EU regulatory implementations, including detailed analysis of MICAR and AML Package • Generated significant professional network engagement through targeted regulatory insights Three Posts That Defined My Professional Perspective: 1. "Activation of Systemic Risk Capital Reserve for Italian Banks" Analysis of Banca d'Italia's strategic capital buffer implementation https://lnkd.in/dMKEhRy8 2. "AML Package Publication in EU Official Journal" Comprehensive breakdown of new anti-money laundering regulatory framework https://lnkd.in/dFbJ_jjn 3. "Digital Euro: Central Bank Progress Report" Critical examination of digital currency technological and regulatory challenges https://lnkd.in/duf9d9FE Looking ahead to 2025, I'm committed to advancing our understanding of how emerging technologies intersect with robust regulatory frameworks. My focus remains on contributing to the Eurosystem's strategic vision of maintaining financial stability while embracing digital innovation. The most powerful insights emerge not from resisting change, but from understanding its complex regulatory implications. #BankingRegulation #EURegulation #FinancialTechnology #CentralBanking #LinkedInRewind #Coauthor #2024wrapped

🌍 You’re in the banking, FinTech, or broadly speaking anti-financial crime community in Luxembourg – Let's Connect! 🇱🇺 This week, Gabrielius, my co-founder, and I will be in Luxembourg (Wednesday to Friday) to visit one of our dearest clients and partner. We’re also taking this opportunity to dive deeper into the Luxembourg banking ecosystem and meet local stakeholders. 🚀 Over the past year, with AMLYZE, we’ve been working on business cases for this dynamic market and have noticed that, while local players often demonstrate steady growth and financial strength, there’s still significant potential for process optimization and efficiency gains, especially in AML/CFT operations. Some of our main goals during this visit are to: #Understand the key challenges and priorities for local banks and financial institutions. #Explore opportunities to optimize AML/CFT operations, leveraging technology to enhance efficiency while mitigating regulatory risks. So, if you’re in banking, FinTech, or more broadly speaking dealing with anti-financial crime within your organization, and interested in having a chat about innovation, efficiency, or all things AML/CFT, let’s connect and grab a coffee! ☕💬 📅 When: Wednesday to Friday 📍 Where: Luxembourg Feel free to drop us a message or comment below if you’d like to meet. We’re always eager to learn from and exchange with our peers! #Luxembourg #RegTech #AML #CFT #BankingInnovation #ComplianceTech #Networking -

Anubhuti David of the LSEG (London Stock Exchange Group) and the Top five payments industry trends to watch in 2024 ✔Increasing Risk Levels ✔The importance of speed in payment transactions will be heightened. ✔Regulatory frameworks governing the industry will become more stringent. ✔Technology will play an increasingly vital role in identifying and mitigating risks. ✔Effective risk management strategies will become a crucial factor in setting companies apart from competitors. For further information as to how Corlytics assists its payments clients in efficiently managing their regulatory burden and risk and navigate complex regulations, with solutions including horizon scanning and automated workflows, please reach out via email to 📩insights@corlytics.com for further details and a demo. #payments #psp #regulation #risk Read the full article here 👉🏼https://lnkd.in/evPeaBDA

Bank for International Settlements – BIS for International Settlements (BIS), “Digitalisation of finance” Technological innovation is transforming the provision of banking services through three broad channels: (i) an expansion in the set of financial services and products, as well as the distribution channels through which they are offered; (ii) the arrival of new technological suppliers of these services (eg big techs, fintechs and third-party service providers); and (iii) the increasing use of digital innovations for managing, mitigating and overseeing risks. This report builds on the Committee’s 2018 paper, Sound practices: implications of fintech developments for banks and bank supervisors, and takes stock of recent developments in the digitalisation of finance. This report also highlights the implications of digitalisation for capacity building and coordination. It is important for both banks and supervisors to have sufficient resources and staff with the necessary capabilities, knowledge and skills to assess and mitigate risks from new technologies and business models. Digitalisation raises issues that go beyond the scope of prudential supervision. Accordingly, communication and coordination among bank supervisors and other relevant authorities, within and across jurisdictions, is important to address these considerations. ——— #dataaccess #datainteroperability #FMI #globalsupplychain #crossboarderpayments #securefinancing #fraudprevention #tradefinance #openbanking #fintechdataplatform #tradematters #sustainability #digitaltrade #globaltrade #FinancialMarketInfrastructure #technology #LEI #digitalidentity #C4DTI #paperless #digitalidentities   #innovation  #digitalisation #paperlesstrade #digitaltransformation   #digitaltradechampion #digitaltradeevangelist #openfinance #internationaltrade #digital #crossbordertrade #smartdata #cbdc #regtech #suptech #payments #innovation #banks #digitalrevenueimpact #risk #regulations #digital #m2mi #cybersecurity #risk #banking #embeddedfinance #openbanking #sustainablefinance #iot #money #bankofengland #digitaleconomy #fintech #multicurrency #privacy #artificialintelligence

Bank for International Settlements – BIS, Rodney Garratt, Priscilla Koo Wilkens and Hyun Song Shin, "Next generation correspondent banking” Key takeaways Existing correspondent banking processes have struggled to adapt to new regulatory and supervisory requirements, posing questions on the future of the correspondent banking model. The tokenisation of correspondent banking, as embodied in Project Agorá (BIS (2024b)), could unlock streamlined pre-screening and atomic settlement, and pave the way for superior customer verification and anti-money laundering (AML) procedures. Tokenisation could substantially reduce duplication and miscoordination, thereby revitalising cross- border payments by fostering a robust network of correspondents and corridors. ——— #dataaccess #datainteroperability #FMI #globalsupplychain #crossboarderpayments #securefinancing #fraudprevention #tradefinance #openbanking #fintechdataplatform #tradematters #sustainability #digitaltrade #globaltrade #FinancialMarketInfrastructure #technology #LEI #digitalidentity #C4DTI #paperless #digitalidentities   #innovation  #digitalisation #paperlesstrade #digitaltransformation   #digitaltradechampion #digitaltradeevangelist #openfinance #internationaltrade #digital #crossbordertrade #smartdata #cbdc #regtech #suptech #payments #innovation #banks #digitalrevenueimpact #risk #regulations #digital #m2mi #cybersecurity #risk #banking #embeddedfinance #openbanking #sustainablefinance #iot #money #bankofengland #digitaleconomy #fintech #multicurrency #privacy #artificialintelligence

With the upcoming implementation of the Instant Payments Regulation, banks will soon be required to ensure customers receive instant euro payments starting from January 9, 2025, and enable instant credit transfers by October 9, 2025. The EU aims to make Instant Payments (IP) widely available at no extra cost. This is great news for individuals and businesses but presents new challenges for banks: the speed of transactions may increase fraud risk, especially since instant payments are irreversible. Nicola Vecchio, Managing Principal of Capco Italy, shared insights with @DigitalWorld and DigitalManager Italia on how to best prepare for this transition. https://okt.to/gw3sfF

LSEG Risk Intelligence executives at Money20/20 USA have highlighted the critical balance between digital transformation and security in financial services. Dalbir Sahota, Head of Trusted Payments, warns that while digitalisation has modernised finance, it has intensified fraud risks, particularly in push payments. In response, LSEG has launched a new account verification solution across 22 markets. Daniel Flowe, Head of Digital Identity, emphasises that while digital finance could democratise financial access, approximately one-eighth of the global population lacks digitally verifiable identification. Both executives stress the importance of developing privacy-centric solutions that give users control over their personal data, addressing current challenges around indefinite data retention and verification biases. The announcements come as LSEG positions itself at the forefront of secure, inclusive digital identity solutions in the US$7.3tn digital payments sector. #DigitalIdentity #FinancialInclusion #PaymentsSecurity

Financial Stability Board (FSB), “Recommendations to Promote Alignment and Interoperability Across Data Frameworks Related to Cross-border Payments” In October 2020, the FSB published the Roadmap for Enhancing Cross-border Payments, developed in coordination with the Bank for International Settlements’ Committee on Payments and Market Infrastructures (CPMI) and other relevant international organisations (IOs) and standard-setting bodies (SSBs) to address the four challenges faced by cross-border payments of high costs, low speed, limited access and insufficient transparency and the frictions in existing processes that contribute to these challenges. The Roadmap was endorsed by G20 Leaders. The FSB, the CPMI and partner bodies subsequently identified priority themes to take the Roadmap forward. These included enhancing interaction between the laws, rules, and regulatory requirements for collecting, storing, and managing data (referred to as “data frameworks” in the Roadmap) related to cross-border payments. This consultation report presents the outcome of the FSB’s analysis. Comments are requested on 12 policy recommendations to promote alignment and interoperability in data frameworks related to cross-border payments. H/T : Maha Al-Saadi ——— #dataaccess #datainteroperability #FMI #globalsupplychain #crossboarderpayments #securefinancing #fraudprevention #tradefinance #openbanking #fintechdataplatform #tradematters #sustainability #digitaltrade #globaltrade #FinancialMarketInfrastructure #technology #LEI #digitalidentity #C4DTI #paperless #digitalidentities   #innovation  #digitalisation #paperlesstrade #digitaltransformation   #digitaltradechampion #digitaltradeevangelist #openfinance #internationaltrade #digital #crossbordertrade #smartdata #cbdc #regtech #suptech #payments #innovation #banks #digitalrevenueimpact #risk #regulations #digital #m2mi #cybersecurity #risk #banking #embeddedfinance #openbanking #sustainablefinance #iot #money #bankofengland #digitaleconomy #fintech #multicurrency #privacy #artificialintelligence