The Economics Of Payment Systems

the success of (and competition to) the "4-corner-model" in payments

17th December 3pm SGT | 8am CET


The success of (and competition to) the ‘4-corner-model’ in payments

17 December 3pm SGT / 8am CET

From theory to strategy and what next?




Is the old world of four-corner models and transaction fees to be replaced by platforms and everything-for-free ? Will the model that has served us well for decades and made many companies rich, be replaced by a model that makes the platforms rich by harvesting our data?


Banking and payments has been based on the 4-corner model for decades. Now we see the emergence of platforms (instead of 4-corner, we have any-to-any). This is not only an architectural reorg, it is also a commercial revolution. The “old” 4-corner model is based on fees (interchange. merchant fees, chargeback fees, terminal fees, …) – the new platforms are offering payments for free ! Terminals are provided for free, payments cost nothing …

Platforms start with a huge customer base and so can just “add on” payments as an extra feature – like adding video messaging to a text platform. Will this disrupt banks and acquirers and issuers and all payment service providers? Will all payments through platforms intermediating banks ? The platforms only offer the free devices and service in exchange for the customers’ data – is this what we want ? Will the regulators break the monopoly of platforms ?

Hear our panel with international top experts will discuss the strategic consequences, the new business models, the transformation of the industry.


Essential points for debate are:

– The economics of multi-sided platforms /network effects

– Impact of next-gen infra

– Towards a more collaborative and inclusive environment?

– Will platforms disrupt 4-corner models?

Wilko Bolt

Senior Economist at De Nederlandsche Bank

Piet Mallekoote

CEO Dutch Payments Association Currence (iDEAL), Amsterdam

Alex Cheng HSBC

Alex Cheng

Regional Sector Head TMT Sector, Asia Pacific, Global Liquidity and Cash Management, HSBC, Hong Kong

Steve Wiggins headshot

Steve Wiggins

Chief Executive, Payments NZ, Wellington

Milan ID photo

Milan Gauder

Executive Vice President, Product & Innovation Europe, Mastercard, London

Interested to host a webinar?

Get in touch with us. We would be happy to discuss speaker and hosting options.