The incumbent FinTech infrastructure (banking) seeks to control the flow of value through transaction fees, rather than add value to consumers.
SWIFT foreign exchange transfer system has the capacity for instant flow of value, yet is designed to charge more fees for speed and degrade the speed if lower fees are paid.
The banking system can make the flow of value immediate, but instead CAUSES delays and profits from the artificial delay.
This profiteering mindset is never more clear than in the recent massive increase in bitcoin exchange fees, making the transfer of bitcoin for regular everyday transactions, nearly impossible.
Just yesterday, I was charged a US$5 fee for sending US$60 to from one account at WIREX to another at COINJAR.
12 months ago that transaction was free.
As banking executives take over the direction of advisory organisations like (insert name of any self-appointed regulatory advisory authority here) that regulate digital currency, we will see more restrictions placed on consumers to the detriment of the consumer.
All this AML (Anti Money Laundering) and KYC (Know Your Customer) regulation is a smoke screen for creating the burden of cost on infrastructure and does not really protect the consumer. My life was just made that much more miserable by these laws, not because I am an outlaw, in fact I am a law abiding citizen, but because I am a consumer who believes that I should be able to control the value I worked hard to earn.
Banks have also recently hedged against bitcoin by closing the door on their APIs, which is ANTI COMPETITIVE BEHAVIOUR. They call this 'de-risking'. Mitigating the risk of LOSS OF TRANSACTION FEES on Fiat currency transfers, by making it as difficult as possible to buy bitcoin.
I would like to see Governments start to regulate the Fintech industry on behalf of HUMAN POPULATIONS to the advantage of those populations, as opposed to assisting regulations that serve the banking industry to profiteer.
I'm not anti banks per-say.
In fact a leading Australian banking tech company sat in on my workshop at APAC Blockchain 2017, agreeing the need for INNOVATION and wanting to program in a reasonable scale of transaction fees through micro transactions.
This is the real issue that we face.
INNOVATION IS BEING STIFLED by the CONSERVATISM of REGULATORY AUTHORITIES by organisations that have a CONFLICT OF (SELF) INTEREST in regulations that serve their ability to clip the ticket on consumers of bitcoin.
To me, this conflict of interest is as clear as night or day.
It's the same conflict of interest that I saw in Music Industry, where a major record label would 'exploit' a music artist so badly, they ended up destitute. Yet, because the record label has lots of money (the artists money), the government then appoints a former head of a record label to regulate the music industry IN THE FAVOUR OF record labels.
We the people, need to become wise to the fact that our Government representatives have no real sense of ethics or morality in favour of the people.
Until this approach changes, we will continue to be subject to the underlying selfish corruption of the kinds of innovation that serves humanity.