[2014-10-08] ET: With the rise of virtual money ...

[polynesia]

With the rise of virtual money, core functions of a bank comes under pressure

http://economictimes.indiatimes.com/news/international/world-news/with-the-rise-of-virtual-money-core-functions-of-a-bank-comes-under-pressure/articleshow/44646266.cms

The other core functions of a bank -- borrowing and lending -- are also coming under technological pressure. New startups are matching borrowers and lenders in online marketplaces. It's the eBay approach to credit: Loans can be originated faster and at lower cost. Big data is being harnessed to make credit scoring cheaper and more accurate. Banks have been slow to seize this opportunity; the new technology is giving nimbler nonbank lenders a competitive edge.