2.27.19 Your morning briefing

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The information you need to start your day, from PaymentsSource and around the Web:

AI map
IBM Watson AI, which is already supporting voice transactions, internet of things-enabled payments and consumer financial services, is taking a spot at the intersection of smart cities and connected cars.

IBM is co-developing a transportation planning product with SEAT, a Spanish subsidiary of Volkswagen Group. Called Mobility Advisor, it uses a voice interface to help city residents make decisions about what mode of transportation to use. It incorporates past transportation usage and transactions, combined with traffic reports, to map out a path for the user.

The partnership also includes a potential integration with Justmoove, SEAT's payment app.
Almost two years after calling bitcoin a "fraud," JPMorgan Chase CEO Jamie Dimon has predicted consumers could use his bank's own cryptocurrency, originally developed for B2B use.

Dimon, who also lamented JPMorgan Chase lagging Square's innovation during the bank's investor day on Tuesday, said the bank's JPM Coin could be applied to consumer use cases including payments, reports CNBC.

The comments aren't a full "softening," since JPMorgan Chase has not publicly announced any consumer use for JPM Coin, which is being tested within a closed group of corporate clients. Bitcoin, by comparison, is an open public cryptocurrency.

Crypto regs
Bahrain's central bank has issued rules governing a range of cryptocurrency activities, such as licensing, security and governance.

The government is making the move to attract new financial and technology business as Bahrain tries to regain its status as a financial services power in the Middle East, reports GulfNews.

The news site also reports Bahrain is one of the few local countries to have a formal regulatory structure in place for bitcoin and other virtual currencies.

Jumping the turnstile
Visa is expanding its transit payments strategy through a partnership with Planeta Informatica that will push technology designed to ease migration to contactless payments.

Transit operators can install Visa SAM (Secure Access Module), which is based on EMV contactless technology, directly into ticketing and turnstile systems. This is designed to to avoid rip and replace projects at transit operators.

Visa is also partnering with Ingenico for an initial deployment with Metro Rio in Brazil in April, according to a release.

Cut creator
Facebook's new fan subscriptions feature will take as much as 30 percent of the subscription revenue minus fees.

That compares to Patreon, which charges 5 percent; and possibly less than YouTube, which charges 30 percent but covers ancillary fees, reports TechCrunch, adding Facebook also reserves the right to offer free trials to subscriptions.

Fees are often controversial for crowdsourced artist subscription payment sites. Patreon walked back some fees after site users pushed back, and squabbles over YouTube's fees for content creators go back years.

From the Web

China drove fintech funding globally in 2018 despite rising tensions with US, report says
South China Morning Post | Tue February 26, 2019 - Despite escalating tensions between the US and China over trade and technology, Chinese companies accounted for nearly half of all fintech investments globally last year, according to a new report by the consulting firm Accenture.

Mash Checks Out As The Third Way To Pay At Stores
Forbes | Tue February 26, 2019 - In Europe, and especially the UK and Sweden, customers are increasingly looking for faster ways to check out when they pay for goods. Mash, a Finnish-based payments company is offering a ‘third way to pay’ at check-outs aside from credit cards and cash.

74% Of Data Breaches Start With Privileged Credential Abuse
Forbes | Tue February 26, 2019 - Enterprises who are prioritizing privileged credential security are creating a formidable competitive advantage over their peers, ensuring operations won’t be interrupted by a breach. However, there’s a widening gap between those businesses protected from a breach and the many who aren’t.

More from PaymentsSource

Walmart teams with Affirm to offer point-of-sale loans
Walmart will offer its customers point-of-sale loans for the first time — both on its website and in nearly 4,000 U.S. stores — under a partnership with Silicon Valley lender Affirm.

Amazon, Accenture and Mastercard take digital ID to supply chains
Amazon, Accenture and Mastercard are using digital identity, blockchain and mobile payments to crack a window into sustainability and inclusion, but they’re also gaining potential retail benefits by capturing consumers who crave information about the origin of products.

Acquisitive German fintech heidelpay adds digital pay hardware
German payments company heidelpay has made a series of recent deals to diversify its merchant appeal, including this week's agreement to buy digital point of sale terminal seller Alpha-Cash Payment GmbH.

Mobile wallets drive social media buzz in India, U.S.
Mobile payments adoption is patchy, but it's getting a higher profile in social media.

JPMorgan's Dimon: Square innovated where we should have
Jamie Dimon confessed on Tuesday to having a little bit of Square envy.

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