Investment

Codat, a software startup that connects small businesses with financial institutions, raised $100 million in an equity funding round led by JPMorgan Chase’s growth-equity arm.

A recent campaign targeting Quickbooks users claimed customers had their accounts suspended because of problems verifying their business information. It’s the latest example of scams that slither through multiple lines of defense.

Banks and fintechs wonder if regulators are getting more comfortable with machine learning-based ways of assessing credit, or if agency oversight will mean a crackdown. 

The credit union’s members are disproportionately targeted by cybercrime. Password managers are critical to helping them protect themselves, said data security chief Mike Newborn.

To create sensible rules around decentralized finance, regulators have to have an open discussion with businesses in the industry. To do that, they must create a path for collaboration.

Widespread sharing of financial and other data creates enormous privacy risks for consumers, many of whom have no real understanding of the danger.

The agency recently updated a policy document to include technological innovation as a top priority and said it was considering creating a safe harbor for those who develop new products to fight financial crimes.

Researchers may now have more leeway in helping banks uncover vulnerabilities to their systems, but legal gray areas remain.

Banks need to come together to create interoperable tokenized deposits, as part of an effort to bridge the gap between traditional finance and blockchain.

Several federal agencies have recently stepped up requirements on banks to notify regulators and the public when they fall victim to cybersecurity incidents.