Publications

During these trying times we have not been idle. Quite the opposite, we found an opportunity in the pandemic. Read our unique view on implementing Scaled Agile.

Central Banks are assessing the possibility to release National Digital Currencies that could potentially substitute cash. This idea will allow Central Banks to have absolute control of all the money supplies. On top of that, they will compete with Commercial Banks for deposit accounts. An important technology that can contribute to this development is Blockchain. The distributed ledger technology makes it possible for anyone to open a deposit account directly at the Central Bank. This feature alone will remove direct intermediation as it also opens the possibility to create a full reserve banking system. However, there is a catch. The theoretical benefit of a full reserve banking system does not consider the natural hierarchy of money. If a Central Bank controls a fixed amount of money in the economy than additional “cash” products will be developed, which will lead to an expansion of the overall quantity of money. A Digital National Currency can also prevent financial crime and support the overall monetary policies but it also represents a threat in consumers privacy finances. Currently the European Central Bank, the Bank of England and Sweden Central Bank are assessing the possibility of adopting a digital currency as an alternative form of payment. Essential characteristics are yet to be defined. In line with the above, FiSer has written a paper that provides recommendations for the adoption of Digital Euro where we discuss desirable characteristics, the implementation approach and adoption challenges.

The U.S. government has fined Rabobank National Association, a California-based subsidiary of Coöperatieve Rabobank U.A. (Rabobank) with EUR 298 million after admitting deficiencies with the Anti-Money Laundering (AML) compliance program. Money Laundering is a threat to the long-term sustainability of businesses. In the eyes of the regulators, AML is critical because it compromises a company’s image and reputation. From 2010 to 2017, 21 of the most significant banks in Europe had to pay a fine of approximately EUR 4,198 million for violating AML compliance rules. In the Positioning Paper ‘AML Management: Challenges and Opportunities’ we analyse the operational issues that cause such high fines and we also take the time to discuss the current challenges that Financial Institutions are facing. Finally, the Paper explains how innovative technologies are supporting the Compliance function and how FiSer Consulting can help in the transformation process.

The implementation of PSD2 will enable Third Party Payment Providers in executing payments on behalf of their customers, thus heightening the risk of fraudulent transactions. This is the main reason why the European Banking Authority (EBA) has developed Guidelines in cooperation with the European Central Bank (ECB) to ensure implementation of high-level fraud reporting requirements under Article 96(6) of the regulative law PSD2. The fraud reporting component under PSD2 expects Payment Service Providers to provide high-level data on a quarterly basis and more detailed data on a yearly basis. In the Positioning Paper ‘Fraud reporting under PSD2’ we outline the data requirements per Payment Service under the fraud reporting component as well as data management principles and how FiSer can help in the transformation process.