What kind of conference it was? And what is Fintech? Let’s look at it.
On August 28, at the Slavia Hotel in Brno, was more less in silence held an event that I call revolutionary. The event was a Fintech conference, organized by the CTIT Technology platform, and I was one of the lecturers. But let’s start step by step.
What is Fintech?
Fintech is quite young discipline. It involves companies which combine finance and technology. It’s definitely an interesting field, although there are often companies that should not be there, at least from my point of view, like peer-to-peer loan portals. Personally, I include here companies that are revolutionary in some way, companies that are bringing something new or are doing something classical in a different way, with a revolutionary approach. For example, at StrategyQuant we are trying to bring technologies that are completely new. For example, the backtest core of the new version of StrategyQuant is built in the way that can backtest anything you can imagine. Simple strategies, multi pairs, multi timeframe, stock-picking, adaptive-asset-allocation, correlation, cointegration, can work with different types of volume … In this platform we can do practically everything. There’s more in it but enough about ourselves, but let us go further.
How was the Fintech conference?
Several lectures were held at the conference. I presented my point of view on fintech and startup scene (fintech is from my point of view one of the startup categories), as well as the news from the fintech world we could witness with my colleague at the Silicon Valley conference that we have attended at the beginning of August. Other topics were covering mobile platforms, very interesting lecture about robotization of work was held by Lukáš Kovanda, personally I would mark it as a top one. The last two topics focused on the Internet of Things and the law connected to Fintech.
The conference was unquestionably revolutionary as a door opening to such conferences in the Czech Republic. It was the first kick off and a certain risk for association for sure, but it was paid off and thanks to them. Several tens of persons arrived, which is a solid number in this field! For comparison in Silicon Valley, where one of the largest events in the world was held, hundreds of attendees have arrived. And we talk about the USA, a much larger country with much longer tradition.
What is my point of view on startups and fintech?
I think my lecture had to trigger the discussion because my point was quite unusual. Personally, I am used to apply critical thinking. Before I set on a strategy, I’m looking for a million reasons why it should not work. And just in case all are negligible, I’ll set it on. I am applying it also in business and it was always well paid off. But it’s something I’m missing from startups. Let’s take a look at UBER for example, which 90% of you will know what it is. This company is in the market for 8 years and it is in a cumulative loss of $ 7 billion. In 2016, sales were $ 6.5 billion and the loss was $ 2.8 billion. If I would be CEO of such companies I would be ashamed. To do not manage to bring a company within 8 years to a profit is just a fail. However, the value of the company is growing. Why? We follow predominantly growth among startups. Then it’s a way of hoping, whether it will be ever profitable. It reminds me trader who opens the position and holds it until it is profitable. You can do this, but you can also blow up your account in this way.
I know I’m in this a bit negative, but it’s my point of view on startups. It does not have much logic, but I rather manage my business with my heart, my common sense and I do things with passion and enthusiasm, I connect myself with experts and I am looking for better ways how to do it. This is what leads to success!
At the end, look at how they work in Tesla.