The Fintech Blueprint
18 Jan 23
Gm Fintech Architects — We are going to take a break from the *Build It* series for this week, and parse a weird but important topic. Summary: Today we are going cover JP Morgan spending $175MM on Frank, the … frankly fraudulent … financial aid fintech. We look at the topics of student lending, the cost of acquiring customers, and explore why JPM would want to own this asset. The interesting bit, however, is trying to figure out how Frank faked 4 million accounts. This connects to the current trends in generative AI, and in particular the attempts of building out synthetic humans at scale — people who seem real, but aren’t. Those may populate video games and the metaverse, but also fraudulent sales of neobanks.