Oct 2, 2020

New digital savings portal to revolutionise deposit market

Deposit Solutions
SaveBetter.com
PayPal
Greycroft
Joanna England
2 min
A new digital savings solution has launched in the US, offering flexible and fast savings options for customers who are building savings portfolios
A new digital savings solution has launched in the US, offering flexible and fast savings options for customers who are building savings portfolios...

A new digital savings solution has launched in the US, offering flexible and fast savings options for customers who are building savings portfolios.

Called SaveBetter.com, the platform connects savers with US banks digitally, boosting the deposit market in the process. SaveBetter.com was launched by Deposit Solutions and is backed by a wide investor base, including Greycroft and PayPal’s Cofounder, Peter Thiel. The service has already handled over US$30bn worth of deposits in Europe. 

Customers keen to save and have access to a growing selection of deposit products will benefit from the wider choice, safety and convenience offered by the platform. Deposits can also be made without the need to open new accounts with selected banks. The system also optimises their saving options through allowing deposits with multiple banks.

Speaking about the venture, Thiel said, “America has a huge deposit market and a mature deposit brokerage industry. The arrival of Deposit Solutions in the US brings an exciting innovation to this market. Deposit Solutions can do for the deposits business what PayPal did for the payments space.”

The platform will also provide US banks with a national reach, through which they can distribute their deposit products. It will ensure more convenience and better savings for customers, all from FDIC insured banks. 

Philipp von Girsewald, Deposit Solutions CEO, explained; “With SaveBetter.com, we offer American banks national reach off the shelf, helping them to fund themselves more effectively with retail deposits. We are the first in the US deposits business to bring savers and banks directly together through a digital platform, creating mutual benefits on both sides.”

He went on to say that a key funding source for US banks are retail deposits because they show positive “behavioural characteristics such as granularity and stability.”

The move will also continue the advance of the digital banking market in the US, which has increased in size massively since the global pandemic. 

CEO and Founder of Deposit Solutions, Dr Tim Sievers, said, “With the launch of our US platform, we are reaffirming our ambition to provide a new infrastructure for the global deposits business. We are proud to be the first company to operate a deposit platform both on the European and American continents. 

"Of course, today’s launch of SaveBetter.com is just the beginning: We now plan to expand the product offering on the platform, win additional partners and bring our vision – of an open deposit market that benefits both banks and savers – to life in the US.”

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Jun 20, 2021

Crypto strategies: Timing the market vs time in the market

Dacxi
Cryptocurrency
Blockchain
Investment
Katharine Wooller, MD, Dacxi U...
3 min
Wooller investigates the prevailing market trends in cryptocurrency and analyses the different strategies of big-time and small-time investors

There is a lot of surface noise in the cryptocurrency space and most of it is the psychobabble of investor sentiment. One week it is the sound of everybody rushing towards a feeding frenzy. The next the wailing and gnashing of teeth as those near the surface (the ones most exposed) get spooked and rush the other way, falling over each other in the race to escape. 

Watching crypto markets in the last few weeks has been brutal viewing; best done on a strong stomach and ideally through your fingers!  It’s impossible to know what drives lemmings off a cliff, when they run, they all run the same way at once. 

The speculative crypto investor is not always a logical beast, and there seems to be a lot of sentiment where the money is either ‘all in’ or ‘all out’.  Crypto is exquisitely volatile, and annoyingly can sometimes defy logic – no-one really knows what is going on.  Thankfully the blockchain data has some answers on what the smart money is doing.

Essentially scared sheep are trying to ‘time the market’, traders who are buying and selling short term on a hunch the market is running in their direction, going with the flow in a world where cash is king. Recently the sheep got spooked, their time was up. Unsurprisingly, when the market run is to sell ‘coin’, it turns the asset back into what it sees as the comparative safety of fiat.

Pictured: Katharine Wooller

There is another investment philosophy, one aimed not at spinning-off short term cash but on the principles of accumulating long-term wealth. A far less noisy space where deeper strategic thinkers are quietly building crypto portfolios of significant size, this is where the ‘whales’ (a crypto industry term for those who hold at least 1,000 BTC) hang-out.

Whales have no interest in timing the market, rather their focus is ‘time in the market’. Not driven by market sentiment, their focus is buy-and-hold. 

So where does this leave the minnows, the small investor who might be wondering if now is the time to think about cryptocurrency as an asset class to add to a pension or an ISA. Somebody looking to diversify out of equities. A prudent saver who thinks structured saving in a digital wallet is something that would add value to a retirement strategy. Where does the minnow look?

Currently if the minnow looks below the surface, at what the whales are doing, he or she would see something very interesting. Since 19 May's price crash, the bottom feeding whales have been hoovering up BTC. Quite simply, they are ‘buying the dip’ – as the sardines rushed to sell, the whales were happy to hunt in the bargain basement. They have been accumulating wealth.

To my mind, the smart, forward thinking retail investor, with a buy-and-hold mentality, might consider this a buying signal. In which case the question becomes how to dip a toe in the water. 

This article was contributed by Katharine Wooller, Managing Director, Dacxi UK and Ireland

Dacxi has established one of the UK’s leading cryptocurrency wealth platforms, where small to medium investors can buy individual coins or ‘bundles’ of Blue Chip or selected altcoins to build a diversified cryptocurrency wallet.

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