Meeting up with the International Monetary Fund is the French lawyer Christine Lagarde and the co-founder of Ripple, Chris Larsen. Together, with around twenty other leading individuals across the globe of finance, they will be talking about the latest solutions for financial services when it comes to emerging technologies.
More information has to be released in regards to the meeting and it is well known that the IMF has approached blockchain and crypto startups with a positive attitude similar to the Paris Fintech Forum that took place a few months ago. Lagarde noted out towards banks that for the best of their users, they should think about accepting new emerging technologies like blockchain.
“I think in the banking system at large in many, many countries, the difference will not be between those who are disrupted and those who survive. The difference will be between those who are cannibalised because they’re not seeing it coming, and they’re not embracing it, and those who self-induce that cannibalisation.”
For those that don’t know, in business terms, cannibalisation is a reference to a reduction in sales volumes, sales revenue, or market share of one product as a result of the introduction of a new product by the same producer.
“And I’m using cannibalisation on purpose because it’s a bit of a striking, horrible word. But it’s really what it means. You’re going to disrupt your business model. You’re going to change it. You’re going to reduce your costs. You’re going to expedite your transactions, and you’re going to inspire confidence because you will build out on the basis of an existing backbone, which is your bank and the confidence, relationship you’ve established with your customers.
So that’s where I see changes happening now.