The application by Rakuten—a major Japanese e-commerce company—for deposit insurance for its prospective U.S. bank subsidiary does not meet requirements imposed by the Federal Deposit Insurance Act, ABA and the Bank Policy Institute told the FDIC in a letter today.
Rakuten, the largest e-commerce company in Japan, today filed an application for an industrial loan company charter in the state of Utah.
Issues of capital and profitability are key themes in the FDIC’s interactions with fintech companies seeking banking charters, FDIC Chairman Jelena McWilliams said today.
With banks engaged in advanced technological innovation and fintech firms pursuing a wide variety of strategic paths, ABA President and CEO Rob Nichols today laid out his views on competition in the financial industry in a speech at a fintech conference hosted by the Federal Reserve Bank of Philadelphia.