Delusions of unbanking

by. Ron Shevlin

In a TechCringe (cuz that’s what most articles on that site make me do) titled Startups And The Un-Banking Of America, a VC writes:

“While critical to our economy, banks are generally inefficient, have high fixed costs and don’t exactly elicit happy thoughts from the average consumer. It’s for these reasons, among others, that the biggest opportunities in the financial world revolve around the disintermediation of these banks and core financial services.”

My take: The same could be said of dentists, yet the world of dentistry doesn’t seem to garner even .001% of the disruptive-related attention that banks do.

There are some assertions in the TC article that make me wonder if VC really means “very confused” instead of “venture capitalist.” Let’s look at some of these statements, and my take on them.

VC: “It’s not hard to imagine that a majority of the people in the U.S. could be “banking” with startups, in one form or another, in the next three to five years.”

My take: For this sentence to be true, we need to make one of a couple of edits:

1) If you’re tripping on some groovy LSD, it’s not hard to imagine that a majority of the people in the U.S. could be “banking” with startups, in one form or another, in the next three to five years.

or…

 

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