BHB BaaS Association Rebukes Connectors and Misinformation
FOR IMMEDIATE RELEASE – December 5, 2022
AUSTIN, TEXAS –The BaaS Association has said it over and over, “We are NOT big fans of the connectors, nor the model.” It is well documented and was THE topic at The FedFis Roundup. Regulatory visibility, as a best practice, ensures the consumer remains close to the charter without an intermediary.
By acting early, the BaaS Association bankers had already began the risk mitigation process to limit exposure and minimize liability in the event that one of their partners experienced a disruption. As you know, the fallout from FTX has spread across other parties such as BlockFI. It is important to NOTE, that the hyperbolic response by those uninformed of the exact circumstances and liability have been repeatedly debunked.
The BaaS Association Banks are US Chartered Financial Institutions and backed by the FDIC, well capitalized, and are not foreign banks. They have publicly and repeatedly stated they are NOT exposed to Crypto custodial risk. The US Banking system ensures AND requires that these public statements be accurate.
A Free Press is as American as apple pie, but using incomplete facts and unconfirmed data to build a personal brand is not informative journalism and certainly not constructive. The Bankers Helping Bankers BaaS Association is always available to help clarify with hard data and the facts.
About The BHB BaaS Association:
The BHB BaaS Association was formed with the purpose of promoting, creating, and supporting Banking-as-a-Service (BaaS) in a safe and compliant way. Our goal is to teach and guide bankers through education, collaboration, and find new ways for community banks to make money. BaaS is a highly specialized niche and one that is seeing a tremendous increase in bank participants. Bankers are enabling financial services across the country, there simply aren’t enough BaaS Sponsor banks to meet the growing demand from hundreds of FinTech applicants. The BaaS Association aims to serve the unique needs of BaaS Sponsor banks. For more information, visit www.baasassociation.com
Source: FI FinTech Newsroom
Director of Marketing, FedFis