I’m a fintech girl in a fintech world

[Re: A recession will end the era of free money and tip the scales back to the Big Banks, yesterday]

Nick Parminter in your newspaper yesterday said “the power has shifted back to big banks... (with) big problems as well as big problems.”

It may be true that many fintech firms will go to the wall during the recession as a result of not having an abundance of investors flocking to their next venture, but that is the natural life cycle of the business world.

There will also be a handful of fintech firms who survive and having weathered the storm of a recession will be all the stronger for it and - this is the important bit - this will make them even more challenging rivals for the traditional banks.

It’s true, the confidence of youth is often at the expense of experience. But if those firms whose culture epitomises the confidence of the fintech bubble then gain the experience of difficult economic waters, and if they are able to keep their confidence in the face of that, they will be more able to challenge the hesitance of the banks whose hesitence means they don’t spent on innovation in the good times.

Elizabeth Terrance