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Re: Consumer crypto payments: this is novel but what pain-point does it solve? The only entity incentivised is the exchange; it’s not sustainable in the long run. And to cross the chasm into the mainstream we need an external shock to change behaviour. e.g. COVID or de- monetisation.

Re: Pix recurring payments: right-on, this is extremely sticky especially for insurance, utility payments. If I was a bank product manager I would be concerned because I may see a dip in my card-renewal rates. The schemes do have tool-kits to keep these strategic merchants on card rails; rebates, lower interchange for merchant category codes, strategic deals. My question is whether the card schemes are positioned or interested to defend this use case?

Re: Bud on financial transaction data: “Banks sit on mountains of raw data”. Lots of opportunity here because it’s unstructured and misleading without context. Fundamentally, card transaction data is stripped to the bare bones to support real time processing at scale. Cloud-native core banking providers can build side cores to store the meta-data that can be used for other purposes like loyalty, expense claims, ESG reporting etc. The hinderance is that it’s (still) cumbersome & expensive to stand-up a side core. I believe we need to solve some of these fundamental issues before AI can have real utility on financial transactions/ workflows. Case in point, in SE Asia a lot of large merchants are mis-labeled because acquirers would list the owner of the business entity rather than the brand name. And for a large franchise biz like McDonalds that is owned by different franchises coupled with multiple acquirers…the card product manager doesn’t really know that Justin likes McDonalds. (Ramp is so-so well positioned to do some R&D on level 3 card data. Unfortunately, VC dollars doesn’t incentivise long-term sustainable differentiated advantages so it goes to Super Bowl commercials).

Want to sit down to see how to solve this with me?

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