What you need to know: The Office of the Comptroller of the Currency (OCC) proposed a bank charter for fintechs that would allow challenger banks to offer more products and services without the need to collaborate with established banks. Yet, it is difficult what will happen to the fintech industry because the charter is still incomplete. Experts believe that it will take time before fintech can outperform traditional banks.
Why this is important: The proposed fintech charter is a great step towards making regulation simpler in the US. Expect to see new challenger banks popping up in the US.
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