Friday, 22 May 2020

As we emerge from the coronavirus-induced economic lockdown, it is vital to consider what comes next for business. Written by Bundeep Singh Rangar for The Global Investor.

In the UK, the Office for Budget Responsibility estimates that government’s life-saving interventions to prop up the country through the crisis could cost over £100bn. Meanwhile, the European Union has predicted that a recession of “historic proportions” will happen this year.
What this means is that fiat currencies linked to sovereign governments are going to become very expensive. Someone has to pay for the mountain of debt being racked up by governments, and that will potentially mean higher taxes, or higher inflation which erodes the value of wages and savings.
Larger companies may be able to raise capital through traditional measures, but it is going to become more expensive. And what about pubs, independent restaurants, and local football clubs? These places are often cornerstones for communities, and they are likely to be hammered by a recession. They cannot issue equity on the stock market — it is prohibitively expensive.
As the economy reopens, what role could crypto play in helping these businesses access capital and get back on their feet? Perhaps now is the time to normalise a practice called tokenisation.
Many will already be aware of cryptocurrencies like Bitcoin and Ethereum. These digital coins are gradually becoming more accepted around the world, and the current crisis is likely to accelerate their wider adoption — especially as many may fear physical coins and paper money could transmit the coronavirus.
Politicians from the US to China are discussing creating digital equivalents to their currencies, as they are easier and cheaper to distribute, and prevent fraud. Meanwhile, regulators are becoming more understanding and accepting of crypto, as technology provides more robust protection and oversight. Even leading financial institutions, from Fidelity to Goldman Sachs, are taking cryptocurrency seriously.
Cryptocurrencies are effectively tokens that represent a store of value and can be exchanged. But while a cryptocurrency is traded publicly, crypto tokens can be created privately, and for specific purposes. 
Tokenisation is the process of taking an asset, and dividing ownership of the asset into several cryptographic tokens. Much like a share certificate or loan note represents that the holder owns equity in a company or a stake of a debt, so too can tokens represent fractional ownership of an asset.
The difference is that it is a much cheaper and more efficient process than traditional share ownership. Selling shares in a business often requires dealing with an investment bank and financial institutions, as well as paying for a registrar to handle and distribute share certificates. It is a high-cost and complex process. 
In contrast, because crypto token exchanges are recorded onto a blockchain, it is more decentralised, democratised, and low-cost. After the Covid-19 crisis, private institutions looking to liquidate their assets should consider issuing tokens as a cheaper and more direct approach to raising capital.
This is not uncharted territory. The beer chain BrewDog has raised millions of pounds by selling shares directly to customers through its “Equity for Punks” scheme, while crowdfunding websites like Crowdcube and Seedrs have transformed how businesses can raise capital from everyday investors, by largely digitising the process of issuing shares.
Tokenisation offers similar benefits, enabling that local pub or restaurant to sell token-based fractional ownership to loyal customers. These tokens can offer other bonuses, such as a discount or a share of profits. And unlike crowdfunding-based equity, these tokens are inherently tradeable, thanks to being recorded on a blockchain; they don’t need to be listed on a stock market, the tokens are tradeable in and of themselves.
Of course, if you’re a small business owner, the idea of becoming a blockchain expert in order to issue tokens will seem daunting. But you won’t have to. In addition to liquidity (i.e. the ability to buy and sell) being offered via crypto-issuing platforms, big tech is also limbering up to offer infrastructure solutions for the rapid issuance of tokens via a recognised currency that is automatically incorruptible. 

Wednesday, 21 February 2018

BlockChain Innovation: The Key to Financial Inclusion

Innovation Agenda - BlockChain Innovation: the Key to Financial Inclusion

Watch Bundeep Singh Rangar, CEO of PremFina, talk at 2017 FinTech InsurTech Digital Congress about:

- What is financial inclusion;
- Digitalisation transforming how people transact;
- Taking premium out of finance;
- What is blockchain;
- Blockchain: potential economic impact;
- How banks are using blockchain to foster financial inclusion;
- Cryptocurrencies replacing fiat currencies;
- Financial inclusion for entrepreneurs;
- Widespread adoption in organisations;

Thursday, 19 October 2017

Innovation in Fintech

PremFina CEO, Bundeep Singh Rangar, had the opportunity to speak at the "Innovation in Fintech" panel at the 2017 Rakuten Fintech Conference in Tokyo. Each year, Rakuten invites leaders in the fintech sector from Japan and overseas to share the latest trends and explore the future directions for fintech.

"Innovation in Fintech" Q&A Highlights

"Innovation can supersede innovation" - Bundeep Singh Rangar

"You have political consequences due to AI" - Bundeep Singh Rangar

"When you see new technologies you don't fully understand, it's easy to dismiss them" - Bundeep Singh Rangar on Blockchain

"The universe rewards risk" - Bundeep Singh Rangar's closing remarks at the conference

Bundeep Singh Rangar on how to stay ahead of your competitors.

Friday, 14 April 2017

Bundeep Singh Rangar talks to the BBC about the UK Trade Visit to India

At present, the UK is the largest exporter of financial services and the leading centre of FinTech. The FinTech sector is estimated to be valued at £6.6 billion in revenue annually - based on market size, investment and workforce. 

Watch Bundeep Singh Rangar, CEO of IndusView, talk to the BBC about:

-The reason for the UK focus on financial services in India
-Why is India an opportunity in this arena
-Other potential targets for the UK in the financial services space
-What other opportunities are available in the post-Brexit world 
-What other industires and areas could the UK target in India

Wednesday, 5 April 2017

BBC Radio Wake Up to Money

In his radio interview with BBC Radio 5, Indusview Chairman Bundeep Singh Rangar talks about UK and India bilateral relations, strengthening fintech ties and the relationship between the countries in a post-brexit world. 

Monday, 20 February 2017

BBC World News: Bundeep Singh Rangar on India Budget

Bundeep Singh Rangar, CEO of IndusView and Fineqia, commenting on India Budget 2017:
-Modi to focus on redeeming the damage caused by demonetisation
-Spending boost promised for rural areas &infrastructure
-Finance Minister to focus on increasing spending and easing back on cutting deficit

Monday, 6 February 2017

BBC World News: Bundeep Singh Rangar on India Demonetisation


Bundeep Singh Rangar commenting on the government ban of 500 and 1,000 rupee bank notes.