Interesting article about the bank fuelling lending focussed fintechs.
They have been writing $1bn of new loans per month all sourced from 15 or so VC backed fintech start-ups.
They effectively provide the regulatory infrastructure. Most loans are then sold off with a portion retained.
Some choice quotes – “Our strategy is to be the only financial services provider to the fintech ecosystem globally,” Gade says excitedly. “Changing people’s lives is why we do this, before anything else.”… “The talk about a recession or a credit cycle that’s going to start going the other way is much ado about nothing.”
