Nonbanks in the Payments System: Innovation, Competition, and Risk - A Conference Summary
نویسندگان
چکیده
From the early days of automated card sorting to the more recent times of the Internet and check imaging, payments and payments processing have continually embraced new technology. At the same time, the industry has been shaped by its share of entry and exit, through startups, mergers, and the reorganization of businesses seeking the proper scope of horizontal and vertical integration. Many of these changes have introduced new risks to payments. In response, public policy has evolved to help manage these risks. These changes have enabled nonbank organizations to play a larger role in the payments system. Nonbanks have followed a number of pathways to more prominence: purchasing bank payment processing subsidiaries, carving out niches in the payments market through innovation, and taking advantage of economies of scale made possible by shifting to electronic forms of payment. The contributions of nonbanks are undeniable. They have introduced some of the most far-reaching innovations to the payments system in recent years, leading to greater efficiencies in payments processing. At the same time, nonbanks have changed the dynamics of competition in payments, leading to a significant change in the system’s risk profile.
منابع مشابه
NONBANKS IN THE PAYMENTS SYSTEM : INNOVATION , COMPETITION , AND RISK — A Conference
A Conference Summary By Richard J. Sullivan and Zhu Wang From the early days of automated card sorting to the more recent times of the Internet and check imaging, payments and payments processing have continually embraced new technology. At the same time, the industry has been shaped by its share of entry and exit, through startups, mergers, and the reorganization of businesses seeking the prop...
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