News Briefing - Crowdfunding, SME And Alternative Finance

two angels unfurling a scroll

1.UK – AltFi

 

The Mail Online looks at savings rates. Marcus and Atom Bank from altfi feature.

2. UK – AltFi

Global Capital asks why the Neil Woodford income fund and LCF were deemed suitable for the retail market, but bank bonds were not. 

The suspension of the Woodford Equity Income Fund and the collapse of London Capital & Finance show how retail investors lack regulatory protection.


3. UK – P2P

 

AltFi runs an opinion piece defending the overall quality of the sector.

 

“The absurdity of Lendy's behaviour and business model shouldn't put canny investors off the returns to be made from the good operators in the sector," writes CapitalStackers' Simon Sinclair.

There's still money to be made in P2P, you just need to know where to look - AltFi Opinion

4. UK – P2P

 

Peer2Peer Finance News reports the latest chapter in the sorry tale of Funding Circle’s investment trust.

5. US – FinTech

 

Crowdfund Insider on a long-running battle between one major player and the SEC.

 

“It has been widely known that Kik was engaged in a cage match with the Securities and Exchange Commission (SEC) ever since Kik went public regarding a Wells Noticesubmitted by the SEC. A Wells Notice informs an entity they may be the target of an SEC enforcement action.

In late 2017, Kik sold “Kin” tokens to both accredited and non-accredited investors. The first round was completed as a SAFT to accredited investors and once Kik could claim the network was viable, Kin sold additional tokens to anyone.

In total, Kik raised a huge amount of money, approximately $100 million. The Kin ICO remains one of the largest digital asset offerings ever.

Kik responded to the Wells Notice defending its position in an extended outline of why the ICO should not be considered an unregistered security offering.

While support across the crypto industry was initially strong, questions started to percolate when a video surfaced showing a Kik representative pitching the ICO as an investment.”


6. International – FinTech

Crowdfund Insider ona crypto-friendly bank launch from Puerto Rico.

“Digital challenger bank Arival is now accepting reservations for preferred stock on SeedInvest.

Arival will be a crypto-friendly bank – unlike most traditional banks in the United States which tend to be crypto-averse.

The bank was founded on the notion that banks in many places around the world are closing accounts of crypto-related businesses as they are fearful of any collateral ramifications to holding these types of accounts. Arival says they surveyed “hundreds” of Fintech and blockchain startups in their network and 90% indicated they have encountered problems in some capacity.

But it is not only the crypto-sector that Arival wants to service. The digital-only bank wants to provide banking services to all SMEs and GIG economy companies seeking an alternative to the high cost, low service, experience of traditional brick and mortar banks.

Based in Puerto Rico, Arival has applied for banking license under the International Financial Services Act (IFE Act) and expects approval soon.”