Backup plan: Stripe’s headquarters in San Francisco. Under the Trump administration, there will likely be a wave of applications from fintechs seeking to own their own infrastructure by either becoming a newly chartered bank, or industrial loan companies. — Bloomberg
NEW YORK: Some fintechs have a new strategy for navigating the risks and limitations associated with their partnerships with banks: Become a bank themselves.
Payments unicorn Stripe Inc and bank technology provider Fiserv Inc have pursued a narrow banking charter in the state of Georgia, a signal that financial-technology (fintech) companies are increasingly moving to gain more control over their businesses by reducing dependence on bank partners.
