The Founder of Challenger Bank Kyash Talks about “The Future of Money” (2/2)
In its quest for a cashless society the fintech sector is booming, with new payment services appearing one after another.
Today we had the honor to interview Shinichi Takatori, CEO of Kyash Co., Ltd., the company behind the wallet app “Kyash”. In 2019, Kyash also released “Kyash Direct”, a business that allows partner companies to issue Visa cards quickly and inexpensively through API access. Shinichi Takatori might best be described as an entrepreneur who creates innovative services rooted deeply in his mission to “create a value transfer infrastructure”.
In part 1, we talked about Kyash's view of the world and how Shinichi Takatori’s background led him to become an entrepreneur. In part 2, we’ll focus on his vision for the future and his most rewarding moments.
Shinichi Takatori
CEO of Kyash Co., Ltd.
-- Have you ever hit a wall with Kyash?
Actually, I never felt like I did. Maybe it’s because of my mindset. I always think “if this way is difficult, let’s find another way”.
I’ve come a long way. On day 1 it was only me. From that point, highly specialized and really motivated people began to share my vision and join me. Compared to day 1, it’s much better now.
The important thing is not to start a business by extending existing services. You should imagine how it should be instead, then create a roadmap about how to get there and steadily embody it. And by doing so, you get the trust and support of your team and external stakeholders. I feel that this has become the driving force of our business.
-- When I look at Kyash's employee interviews, it seems like your team has a strong sense of unity.
As of August 2019 there are 49 members and I'm grateful that everyone shares Kyash's vision and product view. All of us work together to create a future lifestyle and the infrastructure that supports it. Going forward, I would like to spend more time not only to develop and grow the business, but also to spread my vision within the company in order to increase everyone’s passion.
-- As the CEO of Kyash, what were the moments when you felt the most rewarded and fulfilled?
I felt most rewarded when I realized that I was creating a product that actually helps society. For example, when our real card was issued in June 2018 I was deeply moved that we were able to provide products that are used not only in apps but also in the real world. This led to a further increase in awareness and usage of “Kyash”.
Also, I feel happy whenever I see that our services are being used in everyday life, or when people from outside the company talk about our products. Our aim is to build an infrastructure that everyone will be using like water or electricity.
In order to achieve this, we have to continuously exceed our customer’s expectations while also keeping a healthy balance. If the product becomes too innovative a lot of people wouldn’t use it because it is not made for everyday use. But on the other hand, if we adjust it too much to the current situation, our excitement for changing the future won’t be transferred.
For this reason, we are establishing a new world view within society by creating a future that it just one step ahead so that everyone can imagine it.
-- Tell us about the trends that you are paying attention to within Japanese finance and FinTech.
Nowadays, more and more industries are undergoing a digitalization process and real time data gets common. For example, you can order clothes online whenever you feel like it. I think the same thing will happen in the area of finance and FinTech. You can borrow money whenever you want, or you can get insurance whenever you want, even for a very short period of time.
A particularly noteworthy movement is the diversification of salary payments. In addition to transferring cash to a bank account, it will be possible to transfer salaries as electronic money to accounts provided by fintech startups.
Furthermore, we are paying attention to the cashless and consumer return businesses promoted by the Ministry of Economy, Trade and Industry in line with the increase in the consumption tax rate on October 1, 2019. At this point, I am looking at what kind of FinTech players will move to the mainstream and will be ready for this change.
Inbound growth and immigration growth are also notable trends. When creating a Japanese bank account, the question about how to transfer funds from a foreign country to Japan has come up more frequently. The number of foreign workers is increasing, and how we connect with global institutions and information sources to secure funds across countries is becoming a problem that can not be ignored. A cooperative system of financial institutions that transcends individual countries will be required.
We also expect big changes in the creative world. In the last couple of years, we started to directly support creative projects or creators we like in form of P2P (Peer to Peer) transfers and this established a new mechanism for creators to receive funds directly from consumers. This leads to a new form of a value cycle that we also aim for here at Kyash.
-- Please tell us about your future vision.
My vision is to create an ideal financial system where the user is in the centre of it. To do that, we need to establish a value transfer infrastructure that can freely deliver “money = value”.
First, we need to realize the “Challenger Bank” concept. A Challenger Bank is not a business that obtains a bank license, but a business model where fintech companies provide banking functions on mobile apps. You have to acquire different licenses to provide different services like cash withdrawals, remittance, deposits, salary receipts, lending etc. It is easier to understand if you imagine you have all the bank functions on your smart phone in the palm of your hand.
I want to change society by bringing more freedom to our monetary system where money can be moved seamlessly. At the same time, I want to contribute to a stronger economy by dramatically increasing the speed of our economic activities.
