Financial Technology Today is taking a look at the top financial technology that hit the market in 2018 including cyber insurance and anti-money laundering technology.
Cyber Threats Are Increasing With No Set Solution – Is Cyberattack Insurance The Answer?
Cyberattack insurance may be the next trend in insurance technology. In fact, following a study by Grange Insurance and Research of America, the company announced the launch of Home Cyber Protection, a policy that covers computer or home system attacks from cyber fraud, data breaches, and extortion. The study showcased some interesting device trends. For example, 23 percent of respondents have experienced a cyberattack even though three-quarters had taken safety and security measures. The more devices you have, the more susceptible you are to a cyberattack. The average household has six connected devices and the majority plan to add more in the future. Stolen personal information is the most frequently cited concern for participants, but there are many other risks that devices are exposed to. Learn more about it here.
Combating Money Laundering And Financial Fraud With Data-Driven Tools
Money laundering, fraud and other types of financial crime are an entrenched fixture of the global banking system. In fact, the United Nations Office on Drugs and Crime and the Financial Action Task Force estimates that between two and five percent of global GDP — between $800 billion USD and $2 trillion USD — is laundered on an annual basis. According to Richard Stocks, Managing Director of Financial Crimes and Compliance Solutions at Pitney Bowes, financial institutions are fighting back against these crimes with sophisticated technology. “In the last five years global AML spend has risen from $5.9 billion to over $8.2 billion,” said Stocks. However, he also noted that 25 percent of financial institutions still do not conduct any AML and anti-fraud activities across their global footprint. Read more here.
Congressional Blockchain Caucus Established To Explore Cryptocurrency
Bitcoin, Litecoin, and petro all play into the changing landscape of cryptocurrency. While digital currency isn’t booming in price like it was at its introduction, it is still gaining traction as an alternate currency vehicle to perform many transactions across the globe. With the number of currencies and the number of transactions increasing, the risks also increase, especially when it comes to cybercrime. To help prepare for this, the U.S. House of Representatives has established the Congressional Blockchain Caucus. Financial Technology Today has compiled the top stories surrounding cryptocurrency and how it may impact the future of banking. Read the roundup here.