Why the Big Banks Don’t Want You to Use Mobile Money: A Brief History of the “Mobile Money” Paradigm in Corporate Services, Corporate Snack Services and Snack Delivery Services, according to a presentation from an industry consultant, which the WSJ published last month.
“Mobile money” is a new way to use money in the cloud, which is where you pay for stuff in real time using your mobile phone.
“There’s a lot of potential for it to be a huge opportunity for a lot more businesses,” said Michael Meeks, a partner at the New York-based consulting firm Energizer Partners who has been a critic of the banks.
It’s been dubbed “mobile cash” by some people in the industry, and it is widely seen as a way to make money easier.
The Wall Street Journal reported in August that more than a third of the $4.5 trillion of mobile money was transferred using the platform, and that a study by consulting firm McKinsey found that more businesses were using it than were actually using their own money.
Meeks said he was struck by the lack of regulation and transparency around mobile money.
He said that if you’re a mobile service provider and you don’t have to tell customers what kind of money they’re using, you’re not doing it right.
Companies are trying to figure out ways to use it, but the regulators don’t know the answers, he said.
Mobile money is an increasingly common way for businesses to use digital currency, including Bitcoin and Ripple, to pay employees.
In its recent annual report, the Federal Reserve said mobile money use was growing at a faster rate than other forms of payment, with digital cash and bitcoin accounting for about 60% of all transactions.
As it moves to incorporate new technologies into its payments system, regulators have been cracking down on the ways money can be used for nefarious purposes.
In June, for example, the Securities and Exchange Commission announced that banks would have to get a government license if they wanted to use their customers’ personal information for “unapproved transactions.”
The agency has also banned certain types of online banking for “money laundering, terrorism financing, or money laundering activity.”
“The SEC has not made clear to banks how it will address any potential problems associated with the mobile money system, or how it plans to ensure that such problems do not occur,” the agency said.