“Mobile and social will rip apart financial services. Together they create a lot of data and that data will lead to more innovation,” added Stewart. Add real-time and the move to modular components in finance (see my upcoming story on Currency Cloud) and the combination will lead to a proliferation of innovation,” he added.
“We release software every day. To deliver a good mobile app that is integrated with social, you kind of need to. The screen space is so small that you have to be optimized for the way people use your app.. The consumer expectation is rapid innovation, but banks release software every six months or even every two years.”
Investors are eager to find new opportunities to lend, as the success of Lending Club and Prosper have shown.
“We get approached every 10 days by investors seeking to put capital to work in lending,” said Stewart. “Just yesterday we talked to a hedge fund who said that 10 days into every month they get cut off by Lending Club. There is a lot of money out there trying to find yield.”