Weekly Harvest Recap: A Banking Sandbox, a ‘Wise-r’ GCC, and the World’s Strongest Stablecoin?
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This episode of the harvest takes a broader perspective on the global fintech industry. Igor Tomych and Dumitru Condrea first reflect on the potential for FCA-backed open banking development and what it could mean for the UK, and by proxy, a competition to the GCC. Speaking of the GCC, highlighting the future of a payment giant receiving licenses in the UAE, Igor and Dumitru shed light on how it shifts the narrative of global payment processes that connect the global banking system.
Last, but most certainly not least, more than a handful of the biggest banks in the world, including Bank of America, Deutsche Bank, Goldman Sachs (GS.N), and UBS (UBSG.S), started discussing establishing a new stablecoin, pegged to G7 currencies.
A Financial Watchdog Turned Accelerator #
The UK’s Financial Conduct Authority (FCA) launched its own open finance accelerator. The roadmap, in conjunction with KPMG and Europe Economics, boasts a strategic report and the establishment of a Smart Data Accelerator.
According to the FCA, “The Smart Data Accelerator was launched in September and will serve as an extension of the FCA’s sandbox, enabling it to test real uses of open finance in practice.”
Igor and Dumitru view the potential of such an accelerator not only in the UK, not also in Europe, but also within the scope of the reverberations it may cause to competing finance powerhouses such as the GCC.
UAE and Wise Widen the Fintech Playing Field #
The global money mover Wise has secured final approval from the Central Bank of the UAE to operate under Stored Value Facilities and Retail Payment Services, Category 2 licenses. In plain English, Wise can now fully bring its product suite to the Emirates, from personal accounts to business payments.
Home to over 200 nationalities and around $40 billion in annual cross-border transfers, the UAE is an ideal testing ground for the company’s mission to make global money movement faster and cheaper. “These regulatory approvals mark a significant milestone for Wise in the UAE,” said Joyce Lau, Wise’s Country Manager. “We’ll be able to provide people and businesses with all the tools that make international money management faster, cheaper, and more transparent.”
Igor and Dumitru saw this as more than just a win for Wise; it’s a signal of how open the UAE has become to fintech entrants. In their view, the move cements the country’s position as a serious fintech hub bridging Europe, Asia, and Africa, while also applying quiet pressure on regional players to modernize their own cross-border payment frameworks.
When Wall Street Meets Web3 #
Ten of the world’s biggest banks, including Bank of America, Deutsche Bank, Goldman Sachs, and UBS, are joining forces to explore a stablecoin pegged to G7 currencies. The initiative signals a rare moment of collective curiosity from traditional finance toward blockchain-based assets, as institutions scramble to stay relevant in a digital money era that’s outpacing regulation.
The project aims to test whether issuing assets on public blockchains, fully pegged to real-world currencies, can combine the stability of fiat with the flexibility of crypto. “The objective,” the banks said, “is to explore whether a new industry-wide offering could bring the benefits of digital assets and enhance competition across the market, while ensuring full compliance.”
Igor and Dumitru couldn’t resist a laugh at how far we’ve come, from banks dismissing crypto as a fad to now co-developing one of its most regulated forms. While Igor viewed the collaboration as a sign of cautious evolution, Dumitru pointed out that the move may have less to do with innovation and more with control. In his words, “If you can’t beat them, regulate them.” Either way, the duo agreed this could be the start of a tug-of-war between decentralization and the world’s most centralized financial players.
Igor and Dumitru will continue to explore the consequences of macro news from the perspectives of different stakeholders, so stay tuned to know how it all may affect you.