In a new and surprising digital bank offering, South Korean tech and consumer goods giant Samsung has launched its newest product – Samsung Money. The account is intended as a cash management account and is accompanied by a MasterCard issued debit card. The account is available through the Samsung Pay app, which already existed and has a $1.5 million USD deposit insurance guarantee scheme attached to it, as well as being fee free and interest issuing. According to Samsung, the feature will roll out later this summer and users will be able to earn higher than average interest rates on their deposits. Samsung Money is the result of a partnership between Samsung and Fintech company SoFi. With more and more tech players entering in the market, the race for ecosystem control is heating up, and we see the role of traditional banks shifting – with 11:FS head of ventures Simon Taylor even going so far as to say “If the big banks want to be the provider of balance sheet, lending or tech behind the scenes, they will need more modern, digital capabilities and the talent to deliver it to market.”
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