Bloomberg Markets - 10.2019

Fintech innovation is no longer
dominated by scrappy startups—big tech
companies are getting involved. Take
Facebook Inc.’s plan to launch a digital
currency called Libra in 2020. The social
network’s gigantic reach—more than
2.4 billion active monthly users—could

draw a much wider audience to Libra

than has used previous cryptocurrencies.

For instance, global remittances by

migrants reached a record $689 billion

last year, according to the World Bank. If

Libra tapped into even a portion of that,

the potential would be huge. So far,

policymakers in the U.S. and other major

economies are resisting the tech giant’s

plan, which could undermine their

monetary authority. In August, Bank of

England Governor Mark Carney

suggested that central bankers could

create a digital currency themselves.

Facebook’s Plan to Bring Cryptocurrency to the Masses

Where Libra Could Shine

Top nations by remittance inflows, 2017

Facebook users* Facebook users*

218m None (banned) 53m 58m 28m 169m 6m 15m No data 27m

Few industry combinations are as alluring to investors as finance and

technology. For the past decade fintech startups have offered new ways to

help people handle money. As startups face more competition from tech

giants and deep-pocketed banks, investors are turning their attention to

fintech in new markets. Here’s a look at some of the developments and

trends that are driving the industry today. ——Julie Verhage

Top nations by remittance outflows, 2017

India

$69b

China

$64b

Philippines

$33b

Mexico

$32b

France

$25b

Switzer-

land

$27b

Germany

$22b

Saudi

Arabia

$36b

United

Arab

Emirates

$44b

U.S.

$68b

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