Sergey Savastiouk's Avatar
Sergey Savastiouk
published in Blogs
Sep 21, 2018
The Future of Fintech Regulation

The Future of Fintech Regulation

Fintech companies received some good news at the end of July, when the US Department of the Treasury’s Office of the Comptroller of Currency (OCC) announced it would accept applications for special bank charters that, if approved, would allow fintech businesses to operate nationally.

This was great news on the surface, but fintech’s regulatory climate has never been straightforward – news welcomed by the companies themselves was met with strong opposition from states and inter-state organizations.

The OCC is responsible for ensuring the safety of the national banking system, for fostering competition by allowing banks to offer new products, and for efficiently overseeing banks without creating an undue regulatory burden, among other duties. While their mission is straightforward, fintech has presented unique challenges, in part because there is no single type of fintech company.

Cryptocurrency exchanges, for example, are viewed as money service bureaus (MSBs) because they transfer funds; but initial coin offerings (ICOs) are considered securities, and subject to Securities and Exchange Commission (SEC) rules. A digital payments firm is categorized as an MSB under the Banking Security Act, meaning they need to register on a federal level with the Financial Crime Enforcement Network at the Department of the Treasury and receive a state license.

Despite common goals, state and federal regulatory bodies remain in conflict as to who should lead the charge. There have been positive developments, as states have developed initiatives to streamline non-bank financial activity, including CSBS’s ‘Vision 2020,’ which aims to create an integrated state licensing and supervisory system across all 50 states by 2020. Meanwhile, the federal government has expressed a desire for fintech innovation to continue within a more consistent set of regulations – a stance not entirely at odds with the states, though they have been reluctant to cede decision-making control.

While a single regulatory framework has yet to emerge, there is room for hybridization between the two approaches – a unified approach that is ultimately necessary to limit the possibility of financial crimes. Variations in regulation on a state level can create loopholes for money launderers and other criminals, eager to exploit less-demanding requirements if they present themselves. More demanding standardization applied with great consistency will help mitigate overall financial crime risks, creating a safer environment for all.

Until that time arrives, fintech firms will need to continue to manage risks independently. By integrating best practices now – risk assessment, building systems in response to identified risks, and leveraging data in pursuit of both of these goals – fintech companies can ease the future conversations with regulators while setting themselves up for immediate success with their customers.

Sergey Savastiouk's Avatar
Sergey Savastiouk
published in Blogs
Mar 07, 2021
4 Tricks Hedge Funds Use to Get Ahead

4 Tricks Hedge Funds Use to Get Ahead

If the stock market were Major League Baseball, hedge funds and institutional investors would be the pros on championship teams while everyday self-directed investors (SDIs) are the benchwarmers in the minors.It’s how they get ahead, and it’s why 90% of SDIs lose money trying to play (invest and trade) in the major leagues. The 4 tricks we discuss below are rooted in one common theme: they all use Artificial Intelligence and algorithms to generate data and ideas.
John Jacques's Avatar
John Jacques
published in Blogs
Mar 22, 2018
A.I. Stock Market Predictions: Head & Shoulders

A.I. Stock Market Predictions: Head & Shoulders

Statistics for the Head-and-Shoulders Bottom Pattern The days where only hedge funds used algorithms to trade stocks are officially over. Now retail investors can use Artificial Intelligence (A.I.  Here’s an example of the algorithm in action: Late last year, Tickeron’s A.I.
Sergey Savastiouk's Avatar
Sergey Savastiouk
published in Blogs
Jul 10, 2020
3 Stocks to Buy if Coronavirus Second Wave Hits

3 Stocks to Buy if Coronavirus Second Wave Hits

By analyzing market trends from the first wave, you can predict behavior for the second. Technology stocks have performed at historic levels this year, but the market is severely overbought.To compensate for that, look at performance during Q1 and Q2, the height of global Covid shutdowns.
Edward Flores's Avatar
Edward Flores
published in Blogs
Feb 06, 2021
How to Become the Millionaire Next Door

How to Become the Millionaire Next Door

The Golden Gate Bridge is always a fixture of these walks too, one of man's most beautiful creations.  As we were walking, at one point she turned to me and said, "Man, I'll never have a million dollars."" My girlfriend is 27 years old and works as a graphic designer, making about $75,000 a year.
Alla Petriaieva's Avatar
Alla Petriaieva
published in Blogs
Feb 23, 2021
Is Ethereum’s Bomb about to Explode?

Is Ethereum’s Bomb about to Explode?

Ethereum’s software is set for an update in October.Until it is finished, participants in the Ethereum blockchain must determine how to delay the difficulty bomb – code that necessitates a steadily increasing amount of computer power to mine blocks and unlock rewards – that is already in place.
Sergey Savastiouk's Avatar
Sergey Savastiouk
published in Blogs
Aug 07, 2018
When Is the Next Recession Coming?

When Is the Next Recession Coming?

However, we also know that economists predicted 22 recessions out of 11 that took place since 1945. Are there real recession signs we should watch for?Indeed, the answer is yes, and here are a few very important ones: The first one is almost obvious and known to everyone – it is the Fed.
Abhoy Sarkar's Avatar
Abhoy Sarkar
published in Blogs
May 22, 2020
Central banks have been buying $2.4 billion in assets every hour for the past two months

Central banks have been buying $2.4 billion in assets every hour for the past two months

Some $17.8 billion has been poured into  bond markets over the past week, the biggest move in more than three months.Around $3.5 billion has been invested into gold, the second largest on record. 
Rick Pendergraft's Avatar
Rick Pendergraft
published in Blogs
Feb 07, 2021
Mid-January Short Interest Report Shows 8 Stocks with Good Fundamentals and High Short Interest
Sergey Savastiouk's Avatar
Sergey Savastiouk
published in Blogs
Mar 10, 2021
How to Start Trading Penny Stocks

How to Start Trading Penny Stocks

Penny stocks have long been marginalized within the professional investment community, oftentimes being painted with a broad brush of simply being “too risky.” Leonardo DiCaprio’s depiction of the penny stock peddling conman, Jordan Belfort, in the Wolf of Wall Street certainly didn’t help.Here are four reasons to start trading them now. Reason #1: Let’s State the Obvious -- Penny Stocks are Cheap A single share of Apple Inc. costs over $350.
Abhoy Sarkar's Avatar
Abhoy Sarkar
published in Blogs
May 08, 2020
US unemployment rate jumps to 14.7%, the highest in series history

US unemployment rate jumps to 14.7%, the highest in series history

The U.S. economy’s employment fell by -20.5 million in April. The coronavirus crisis led to unemployment rate soaring to 14.7% in the U.S, the highest rate in the Bureau of Labor Statistics-tracked series history that goes back to 1948. However, the figures were better compared to several economists'/analysts' forecasts of 22 million job losses and 16% unemployment rate.  Another unemployment measure that includes those who have stopped looking for work as well as those holding part-time jobs for economic reasons also touched an all-time high of 22.8%.