Consumer Payment Innovation in the Connected Age

The "Consumer Payment Innovation in the Connected Age" conference took place March 29-30, 2012, in Kansas City, Mo.

New ways of making payments have emerged as technological advances such as smartphones enable consumers, businesses and financial institutions to exchange information more freely and quickly. The conference brought together top industry participants, policymakers and academics for an in-depth look at consumer payment innovation and the role of public policy in an age of increasing connectedness. Among the questions addressed included: 

  • Is increasing connectedness likely to revolutionize consumer payments?
  • Will insufficient competition or a lack of market standards hold back innovation?
  • What new risks and privacy concerns are created by payment innovation?
  • Will new products such as mobile payments increase access of the underbanked to the payment system?
  • What changes in the clearing and settlement of consumer payments would facilitate innovation?

2012 Conference Proceedings

Foreword Esther L. George
Opening Remarks  President and Chief Executive Officer, Federal Reserve Bank of Kansas City
Conference Summary Barbara S. Pacheco
  Senior Vice President, Federal Reserve Bank of Kansas City
Session 1: Increasing Connectedness and Consumer Payments: An Overview
Paper | Commentary Kingsborough | Commentary Varian | General Discussion

Moderator: Kathy Walker
  Managing Director, OpenAir Equity Partners
Author: Michael L. Katz
  Professor of Economics, University of California, Berkeley
Discussants: Don Kingsborough
  Vice President of Retail and Prepaid, PayPal
  Hal R. Varian 
  Chief Economist, Google
Session 2: Market Obstacles to Consumer Payment Innovation and Public Policy Responses
Panel Discussion | General Discussion

Moderator: Chris Bierbaum
  General Manager, Mobile Commerce, Sprint Nextel Corporation
Panelists: Nicholas Economides
  Professor of Economics, Stern School of Business, New York University
  David S. Evans
  Founder, Market Platform Dynamics
  Alan Frankel
  Founder, Coherent Economics
  Bob Lee
  Chief Technology Officer, Square
Keynote Address
Keynote | General Discussion

Keynote Address Joseph Farrell
  Director, Bureau of Economics, Federal Trade Commission
Session 3: Risk and Privacy Implications of Consumer Payment Innovation in the Connected Age
PaperCommentary Acquisti | Commentary Hughes | General Discussion

Moderator: Gary Fish
  President and Chief Executive Officer, FishNet Security
  Ross Anderson
  Professor of Security Engineering, University of Cambridge
Discussants:  Alessandro Acquisti
  Associate Professor of Information Technology and Public Policy,
  Heinz College at Carnegie Mellon University
  Sarah Jane Hughes
  University Scholar and Fellow in Commercial Law,
  Indiana University Maurer School of Law
Session 4: Ensuring Consumer Access to the Payments System in the Connected Age
Panel Discussion | General Discussion

Moderator: Rachel Schneider
  Vice President, Innovation and Research, Center for Financial Services Innovation
Panelists: Paul Breloff
  Managing Director, Venture Lab, ACCION International
  Kevin Morrison
  Senior Vice President, Prepaid, U.S. Bank
  Louisa M. Quittman
  Director, Office of Financial Education, U.S. Department of the Treasury
  Steve Streit
  Chairman and Chief Executive Officer, Green Dot Corporation
Session 5: Facilitating Consumer Payment Innovation through Changes in Clearing and Settlement
Paper | Commentary Mabott | Commentary Platt | General Discussion

Moderator: Michael Brown
  Chairman and Chief Executive Officer, Euronet Worldwide
Author:  Bruce J. Summers
  Former Director, Federal Reserve Information Technology
Discussants:  Richard Mabbott
  Director, Major Projects, Faster Payments Scheme Limited
  Neil Platt
  Senior Vice President and General Manager, Payments, Fiserv/CashEdge
Session 6: Perspectives on the Role of Public Policy in Facilitating Payment Innovation
Panel Discussion | General Discussion

Moderator: Sean O'Connor
  Adviser, Payments System Development Group, World Bank
Panelists:  Malcolm Edey
  Assistant Governor, Reserve Bank of Australia
  Gerard B.J. Hartsink
  Chairman, European Payments Council
  Ricardo Medina
  Director of Payment Systems, Bank of Mexico
  M.J. Moltenbrey
  Partner, Dewey & LeBoeuf LLP
Conference Attendees