If you missed FinovateSpring last week, what did you really miss?

The conference was alight with new ideas and new connections, and if you were registered for the show, there is still time to see any sessions you may have missed; just check out the On Demand content section of the event platform. For everyone else, here are some of my biggest takeaways.

1. The focus is still on the customer, but with a 2021 twist

I was slightly disappointed when I realized that the mantra of this year’s show would once again be, “it’s all about the customer.” It became clear, however, that the conversation around the customer today is much different from the customer centricity we were talking about in 2017.

That’s because the way we think of community has changed. Consumers no longer align solely with those in their same geographical location. Instead, their community now encompasses others who share their identity. Or, as young millennials would say, their community is comprised of others in their tribe.

This shift is key for financial services organizations to understand. The “personalization” game is no longer about targeting consumers based on their geography and assets. Instead, it is about focusing on the unique needs of each tribe or identity segment.

This is something that digital banks do quite well. And as we move into a post-COVID economy in which individuals and businesses are struggling to get back on their feet, incumbent players can no longer look at personalization the same way by simply personalizing messaging.

Instead, incumbents need to look at the moves of digital banks over the past few years. Many of these smaller players have brought consumers what they’ve been craving: truly personalized solutions and tools that fit their needs. This identity-based banking is something we’ve seen crop up in the past few years and is getting even more specific: from banks that market to gig workers or specific ethic groups to women-specific banks.

2. Security is getting scary

Online data security concerns have been escalated since the onset of the COVID crisis. Since more of our daily business is taking place online, there are more opportunities for fraudsters to take advantage of the data by selling or misusing it.

In his discussion on quantum computing, Cambridge Quantum Computing Head of Quantum Cybersecurity Duncan Jones highlighted the reality that quantum computing is getting close to the point of breaking encryption. In effect, quantum computers can find patterns that no human eye can detect.

When we get to this point in quantum computing, Jones noted, bad actors will be able to hack encrypted material both in the past and present. This means that hackers will soon be able to listen in on and view any messages that were sent encrypted in the past– from personal identifiable information, to financial data, to pharmacy patents.

Fortunately, Jones estimates that we are still five-to-ten years out from running into issues with broken encryption. However, he urged banks to start acting now by switching to new encryption algorithms.

3. Our CBDC future is real, but we’re not there yet

Central bank digital currencies (CBDCs) peppered discussions throughout the four-day event.

Most panels and experts agreed that the U.S. is on-track to launch its own CBDC, even though it is likely still years in the future. Top on the mind of many is how a CBDC will impact banks, fintechs, and existing cryptocurrencies.

While there is some disagreement, most agree that a CBDC won’t completely obliterate banks or fintechs as we know them today. In fact, it may even enhance some aspects of the user experience. And as for cryptocurrencies, I heard general consensus that cryptocurrencies can and will co-exist alongside a CBDC (so don’t sell your bitcoin yet).

Photo by Julia M Cameron from Pexels