London FinTech Feels Pressure Post-Brexit, While Many Still Consider It a Leader
Following the Brexit vote in June, there has been a significant drop in venture capital funding in London, prompting some to think that the city could lose its position as the FinTech capital. According to a report from the Financial Times, new figures released show that funding in the FinTech sector dropped in 2016. Innovate Finance, the U.K.’s financial technology trade body, found that since Brexit venture capital funding dropped as FinTech companies in the U.K. deal with the Brexit effects. Innovate Finance reported that, globally, venture capital funding for FinTech companies grew....
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UK's bustling fintech sector may soon be a history if the country doesn't introduce an alternative to EU passporting regulations. Britain’s digital currency ecosystem is in peril. The impending collapse of Britain’s fintech ecosystem has already been covered on multiple occasions. A recent report published by the House of Lords committee reinforces the industry’s perilous position post-Brexit vote. The report addresses the threat to over 7 percent of UK’s GDP as the UK fintech sector, headquartered in London currently employs over 1.1 million people from across the world. The report titled....
Sweden has emerged as a favorable alternative to fintech companies planning to set up base in EU following Brexit. With Brexit around the corner, Sweden could present itself as one of the alternative destinations for the European financial industry. The upcoming Brexit has turned into a speculator’s game. Britain’s exit from the European Union is expected to have a divisive effect on the country’s thriving finance and financial technology sector. All the efforts put in by the City of London to foster a healthy fintech ecosystem may go to waste as companies risk losing free access to the EU....
UK fintech businesses should prepare for a more “intense regulatory focus” in the future, the Bank of England has said sharing its vision of post-Brexit London. The Bank’s governor, Mark Carney, also stated in a speech Wednesday that despite Brexit negotiations, London was to become the “world’s leading fintech center.” Fintech could ‘exacerbate financial volatility’. The somewhat contradictory remarks from Carney were made in his capacity as chairman of the Financial Stability Board, a Swiss-based group which makes recommendations to G20 countries. He said that fintech companies en masse....
Despite the Brexit, London still holds a lot of merit for the Fintech and blockchain industry moving forward. Blockchain institutions will continue to focus their attention on London, as it remains the financial capital of the world for the time being. Agentic Group, one of the more respected blockchain consortia, has opened its London Office yesterday. This is an interesting decision, as the company hopes to boost FIntech in the UK in the wake of the Brexit. Most people active in the world of blockchain and cryptocurrency have come across the name Agentic Group at some point. The New....
The German fintech sector expected to outperform other countries in the coming years. The European financial sector is witnessing a tectonic shift resulting in the relocation of continent’s fintech hub. Until now, London has been the financial hub of the entire continent. The United Kingdom boasted of housing some of the best fintech companies developing cutting edge products. However, Brexit has poured water over the country’s big plans. With Britain’s eventual exit from the European Union, the focus of fintech market has shifted from London to Berlin. The change is evident in the German....