FinAi Podcast

A growing number of community banks are considering adding cryptocurrency services, and it could give them an edge in the battle for digital customers. 

Thirty percent of community banks expect to add crypto to their offerings over during the next 18 months, according to a report by financial consultancy Wipfli. Crypto gives community banks an edge in the battle for digital customers, but implementation hinges on regulatory guidance, Anna Kooi, national financial services leader at Wipfli, tells Bank Automation News in this episode of “The Buzz” podcast.  

“I think in 2022, it's not going to be a trickle effect,” Kooi says. “We're going to see a windfall, particularly if the Federal Reserve and the OCC [Office of the Comptroller of the Currency] come out with regulation to clarify where and how they are looking at crypto, or if the Federal Reserve is looking at offering CBDC [Central Bank Digital Currency].” 

“If that were to come out, you will see even more jumping into this space,” she adds. 

Listen as Kooi talks crypto at community banks, along with the outlook of financial institutions that fail to adapt to an increasingly digital banking environment.  

University Credit Union saved nearly $2 million in expenses and revenue gains in the first 12 months after launching its artificial intelligence (AI)-powered virtual assistant Royce in August 2020. 

The savings easily amounted to more than the cost of the technology and allocations made to support the bot, says David Tuyo, president and CEO of the $1.1 billion Los Angeles-based credit union, in this episode of “The Buzz” podcast.  

Tuyo now encourages other banks and credit unions to embrace AI-powered bots. 

CHARLOTTE, N.C. — In this Weekly Wrap episode of “The Buzz” podcast, the Bank Automation News team pivots to an excerpt from the Bank Automation Summit 2022 held in Charlotte, N.C., March 1-2. 

Learn how blockchain is being deployed at TIAA and other banks to both automate and solve unique business problems. This episode features Russell Schwartz, senior director of payments product management at TIAA, and Ananth Subramanya, senior vice president of digital business at HCL Technologies, each of whom shares his perspectives on how blockchain can innovate in the financial services sector. 

This week’s podcast is from the BAS panel discussion on “Leveraging Smart Contracts and Blockchain for Smarter Banking.” 

Tune in next week for more insights from the Bank Automation Summit. 

While big banks mobilize billions in tech development, community banks are continuing their own technology journeys through fintech investment. 

Fintechs provide community banks with unique opportunities to digitize the customer experience, Boyce Adams, senior vice president at payments fintech AvidXchange, tells Bank Automation News in this episode of “The Buzz” podcast.  

“Your community or regional bank is going to be investing into different type of fintech applications that help power their solution set,” Adams says. “There's good reason for that. At the end of the day, the core business is still writing loans, managing people's money and moving money.” 

Listen as Adams discusses the potential for bank and fintech investments, along with the impact of FedNow on payment data flows and the revenue potential of real-time payments for banks.  

Citizens Commercial Banking surveyed 260 corporate decision makers and found that 85% are looking to banks to provide real-time payment solutions — ranking it higher than other banking priorities such as lowest-cost financing. 

It’s a seismic shift resulting from the pandemic, Matthew Richardson, head of product solutions at Citizens Commercial Banking, tells Bank Automation News in this episode of “The Buzz” podcast. 

“Post-pandemic, there's even a higher demand to want to digitize and automate processes,” Richardson says. “They’re looking for a bank that is participating in and offering real-time payments. It’s a signal that the bank is serious about enabling digital transformation and is ready for the future of payments.” 

The Biden administration plans to increase anti-corruption efforts in financial services with new anti-money laundering (AML) regulations in corporate banking and cryptocurrency.  

The threat of government action against banks and cybercriminals is significant, Daniel Hazel, head of customer lifecycle management  at intelligent automation fintech WorkFusion, tells Bank Automation News in this episode of “The Buzz” podcast.  

The “United States Strategy on Countering Corruption,” released by the White House in December, outlined newly expanded tools for prosecuting money laundering offenses. The Department of Justice can now subpoena select overseas financial records and will also utilize the newly created National Cryptocurrency Enforcement Team to investigate misuse of digital exchanges and assets. 

“The ability to subpoena banks who have a correspondent banking relationship in the U.S., and to have that threat hanging over their banking institution, is important,” Hazel tells BAN. “No matter what you say and no matter what any bank would say, the threat of a subpoena by a U.S. court is immense.” 

Listen as Hazel discusses the impact of the announcement in this episode of “The Buzz” podcast.  

In this Weekly Wrap episode of “The Buzz” podcast, the Bank Automation News editors drill down on what Russia’s threats to retaliate against U.S. sanctions could mean for the banking industry.  

BAN spoke with experts who agree: Financial services companies, particularly regional banks, in the U.S. should be on heightened alert as cyberattacks are likely as the war on Ukraine escalates. To prepare, check out BAN’s list of 33 questions every banker should ask ahead of potential cyberwarfare. 

Other news this week comes from the bank technology space, with SoFi’s acquisition of core banking platform Technisys for $1.1B in stock. The BAN team also discusses the Biden administration’s plans to increase anti-corruption regulations in financial services. 

Tune in for a discussion of these topics and what’s ahead in today’s episode of the Weekly Wrap with BAN Deputy Editor Loraine Lawson and Associate Editor Alijah Poindexter for the week ended Feb. 25, 2022. 

That led to volatility in the system that became even more pronounced when the “Great Resignation” hit, Sam Bobley, founder and CEO of intelligent document automation company Ocrolus, tells Bank Automation News in this episode of “The Buzz.” “The Great Resignation” is what pundits are calling the high resignation rates and labor shortages that businesses have been facing since 2021.

“Lenders had more difficulty determining how many applications might come in the next month. When you couple that with the problem of people working from home, people resigning or leaving their job security issues, all these other issues that came about, it became really clear to lenders that they don't want to be in the supply-and-demand game,” Bobley tells BAN. “If there's a better way for them [lenders] to manage their workforce by using automation to more effectively flex up and flex down resources, they are interested in doing that.” 

In this podcast, Bobley discusses the factors behind the Great Resignation and how automation can take over more mundane tasks to provide employees at lenders and other financial institutions with more time for meaningful work. 

In this Weekly Wrap episode of “The Buzz” podcast, the Bank Automation News team dives into the latest round of core provider earnings along with a look at a new acquisition for workflow automation vendor Nintex.  

Temenos and FIS released their Q4 2021 earnings this week, revealing tech revenue growth and new expansion efforts. Temenos touted its U.S. expansion, mentioning partnerships with banking fintech Green Dot and $37 billion Commerce Bank, while FIS announced its acquisition of embedded finance fintech Payrix.  

Workflow automation vendor Nintex announced its acquisition of robotic process automation (RPA) vendor Kryon, leveraging Kryon as its next-generation RPA capability. The move will also integrate Kryon’s process mining and discovery technology into Nintex’s Process Platform. 

Listen as BAN Deputy Editor Loraine Lawson and Associate Editor Alijah Poindexter discuss these topics, along with Jack Henry’s modernized banking strategy, in today’s episode of the Weekly Wrap.  

Core provider Jack Henry’s open banking strategy will facilitate a fintech-enabled digital ecosystem for community banks as a response to a widespread shift in the financial services landscape.  

The fintech disruptions and digital innovation that have caused sweeping changes in financial services have pushed local and regional banks to adjust. As community banks manage the shifting landscape, they must also take notice of the consumer push for open banking, Jack Henry Chief Executive David Foss says in this episode of “The Buzz” podcast. 

“There's been this real groundswell of open banking demand in the United States,” Foss tells Bank Automation News. “People are telling their financial institution that if they can't get data out of their financial institution to share with whoever they need to share it with, they'll find a different financial institution.” 

Listen as Foss shares the details of Jack Henry’s open banking roadmap, along with observations on the implementation of digital banking innovations.