The Latest in Fintech and Digital Health

Last week in Fintech

Fintech entrepreneurs like you need to constantly stay on top of what is happening in the financial technology space. That’s why we have put together the recent highlights from fintech:

1. IBM and BNY Mellon Collaborate on the Blockchain Drive

The interest in blockchain technology shows no sign of subsiding. On April 29, 2016, IBM announced a new framework to create secure financial blockchain networks.

“Clients tell us that one of the inhibitors of the adoption of blockchain is the concern about security. While there is a sense of urgency to pioneer blockchain for business, most organizations need help to define the ideal cloud environment that enables blockchain networks to run securely in the cloud,” said Jerry Cuomo, vice-president, Blockchain, IBM.

The world’s largest deposit bank, BNY Mellon will be working with IBM to develop applications that will enable financial blockchain networks to operate more securely on the cloud. This collaboration will speed up the development of an app for securities lending, using a blockchain network to trade and transfer assets.

2. Venmo is Facing Federal Investigation

Who doesn’t know fintech star, Venmo? PayPal’s popular peer-to-peer payment service has been grabbing headlines for a different reason this week. The Federal Trade Commission is investigating whether or not Venmo engages in “deceptive or unfair practices.”

In a regulatory filing, PayPal said the investigation “may result in substantial costs, including legal fees, fines, penalties, remediation expenses and actions, and require us to change aspects of the manner in which we operate Venmo.”

While PayPal has not disclosed which aspects of Venmo are being investigated by FTC, the company says that it is fully cooperating with the investigation.

3. Startup BlueVine Scores Investment from Citi Ventures

Citi Ventures is well known as an active investor in the fintech space. The most recent fintech startup to grab this VC firm’s attention is BlueVine, an online provider of working capital financing to small businesses. In a statement issued on April 27, 2016, BlueVine announced that it has secured a strategic investment from Citi Ventures.

“Citi’s industry expertise and large customer base make them an ideal partner as we accelerate our efforts to make working capital more accessible for small business owners,” said Eyal Lifshitz, founder and CEO of BlueVine.

Arvind Purushotham, MD, co-head of venture capital at Citi Ventures, said,  “We’re excited to champion and accelerate the growth of a company that is setting the industry standard in providing expanded access to capital on an easy-to-use digital platform.”

Citi Ventures is one of the many active investors in fintech. You can find the full list of the [content_upgrade]Content Upgrade Error: You don't have any lists.[/content_upgrade]

Last week in Digital Health

Health tech is another space that is evolving rapidly. Last week, we witnessed a few big developments in the digital health industry. Out of these, we have hand-picked three key updates for digital health entrepreneurs like you:

1. Apple CareKit Kicks-off with Four Healthcare Apps

Tech giants like Apple have long been making inroads into digital health. Most recently, Apple launched the mobile software CareKit, with four health care applications. These apps were developed by three startups that Apple has been working with.

CareKit helps people understand and manage their own medical conditions. Here’s a lowdown of Apple’s four debut CareKit apps: Iodine to help people find the right medicines; One Drop for diabetes management; Glow Nurture to help women track their health during pregnancies; and Glow Baby that helps track all facets of baby care.

2. Nokia Acquires Withings to Speed Up Entry in Digital Health

The other big digital health news last week confirmed the increasing stakes of tech companies in health care. On April 26, 2016, Nokia announced its acquisition of French digital health company Withings, for an impressive $193 million (170 million euros).

This company makes health care tracking tools, including Wi-Fi scales, wireless blood-pressure monitors and fitness trackers. As expected, Nokia plans to integrate Withings into its digital health platform, WellCare.

This move is seen as Nokia’s attempt to take on Apple’s Healthkit. Both these platforms collate health data and provide it to health care professionals. Nokia has its eyes set on expanding into the digital health market, with a focus on Internet of Things.

3. Google Glass Startup Rakes in $17 million

Digital health startup Augmedix recently announced it closed a $17 million strategic round of funding from five leading health care systems, including Sutter Health, Dignity Health, Catholic Health Initiatives and TriHealth Inc.

In the words of Ian Shakil, co-founder and CEO of Augmedix, “It’s not every day that you see five health systems come together and invest in a disruptor like Augmedix. I think that signals that something pretty awesome is going on.”

Currently, about 5,000 patients are seen by doctors using Augmedix-powered Google Glass devices every day. This funding will help Augmedix to further expand its systems to more hospitals and health care professionals.

As you can see, the digital health landscape is being altered constantly, especially by startups. However, many health tech ventures fail to take off as planned. That’s why we’ve put together a checklist of 5 common ailments that plague digital health startups. [content_upgrade]Content Upgrade Error: Bad upgrade ID[/content_upgrade] and make sure your startup remains healthy!

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