The rise of digital banking is reshaping not just personal financial transactions but also revolutionizing how businesses cooperate and compete. This digital transformation acts as a powerful force, propelling strategic alliances and ecosystems forward. In this era of change, individuals such as Vid Hribar stand out as trailblazers, leading the way with innovative strategies in the realm of digital banking.

Vid’s venture into the realm of digital banking began during his college years when his interest in banking surpassed his legal studies. By exploring the fusion of law and finance, Vid delved into the dynamic world of fintech, eager to uncover its new horizons. His path took a significant turn during an internship at a regional bank, where he underwent a dynamic rotation across various departments monthly for a year. This immersive experience proved invaluable, providing Vid with a profound understanding of banking operations and fostering vital connections across diverse domains.

This diverse exposure forms the bedrock of Vid’s approach, recognizing the crucial significance of seamless customer experiences in the digital age. With customers increasingly likening banking services to those offered by tech giants like Amazon or Netflix, Vid understands the need to deliver end-to-end journeys that exceed expectations. This requires collaborative efforts with colleagues from different sectors within the bank, ensuring a unified and customer-centric approach to digital banking solutions.

As a member of the Blockchain Hub (Strategic Partnerships & Ecosystems department) at Raiffeisen Bank International AG, Vid epitomizes a commitment to innovation and collaboration in enhancing the digital banking landscape.

Embraced Insights

Upon joining the Blockchain Hub, Vid’s goal was clear – to drive change and make a meaningful impact. “ I aimed to introduce a variety of blockchain applications to transform the bank,” Vid recalls. However, the journey was not without challenges, imparting valuable lessons along the way.

One such lesson emerged during the NFT craze. “ Many advocated exploring NFTs without a clear vision of our potential actions,” Vid explains. Undeterred, they initiated a research project with tech-savvy students. “ While we identified potential areas, none demonstrated sustainable business viability upon closer examination.” This experience underscored the importance of a carefully planned approach amidst industry excitement.

Another lesson revolved around timing. “ Sometimes, one may be slightly ahead of the curve,” Vid reflects. Decentralized Finance (DeFi) holds great promise, yet it remains in its early stages concerning technology, regulation, and adoption. While DeFi could revolutionize traditional banking, recognizing the need for adequate time for full development is crucial. These lessons have not only influenced Vid’s approach but also the trajectory of blockchain initiatives within the bank.

Technological Trends

In his current role, driving innovation and digital transformation in the banking sector is paramount within the Group Strategy and Innovation department. “ Several years ago, we initiated a Tech Trend Radar to annually identify the most relevant technology trends for our banking group,” Vid explains. Amidst numerous trends, they prioritize and assess only the most significant ones. These selected trends serve as focal points for exploring experimental opportunities and establishing partnerships with startups.

Collaboration plays a pivotal role in this process, with experiments conducted alongside relevant stakeholders such as business lines, compliance, and IT colleagues. “ Our ultimate aim is to empower our colleagues to experiment in relevant domains,” Vid emphasizes. As products mature, the goal is to seamlessly integrate them into business lines, ensuring a smooth transition and implementation of innovative solutions. This systematic and collaborative approach aligns with the overarching strategy to remain at the forefront of technological innovation in the banking sector.

The Value of Knowledge Sharing

Vid advocates for nurturing a culture of continuous learning and innovation in the dynamic digital banking landscape. “ Personally, my curiosity and eagerness to delve deeper drive this culture,” Vid continues, emphasizing the importance of expanding interests beyond finance to recognize the interconnectedness of diverse domains.

To promote ongoing learning, it is essential to share this curiosity and innovative mindset. Recently, Vid took on the role of a coach in an Innovation School program for Raiffeisen Bank International’s employees. “ Throughout this experience, I had the opportunity to share my insights and motivation with my colleagues,” Vid proudly shares. He entrusts them to further propagate this mindset within their group, contributing to the development of an innovative culture that enables them to stay ahead in the rapidly evolving landscape of digital banking.

Collaborative Innovation

Vid highlights the early involvement of colleagues in new projects as crucial, allowing them to shape the direction and contribute to successful outcomes. Balancing innovation and digitalization with security and regulatory compliance is essential in banking. “ Each project undergoes rigorous scrutiny to ensure both security and compliance,” Vid emphasizes, underscoring the importance of these measures in fostering and maintaining customer trust, a key strength for banks compared to fintech entities.

Despite initial challenges, these requirements are indispensable for the long term. “ We invested significant time in assembling a team with the necessary expertise from diverse fields,” Vid explains. Initially, discussions focused on clarifying and dispelling misconceptions, but over time, the dialogue shifted from ‘ there is no way’ to a more collaborative approach like ‘ let’s find a way together,’ Vid elaborates.

Anticipating the Future

Utilizing emerging technologies like AI and blockchain to enhance the digital banking experience is a strategic journey that Vid and his team navigate with a deliberate approach. Typically, new technologies start with high expectations, often followed by a reality check leading to more practical applications and integration, as outlined by the Gartner hype cycle. “ It’s crucial for us to understand these dynamics, avoiding impulsive adoption and instead determining the right time for experimentation and implementation,” Vid emphasizes.

“Our exploration of blockchain began over five years ago, evolving from knowledge-sharing and experimentation to a more mature phase,” Vid recalls. “Currently, we have a well-defined blockchain strategy and concrete product concepts showing significant progress in our approach,” he adds.

Regarding AI, it has already found its place in numerous processes within the bank. However, the emergence of ChatGPT and generative AI provided a significant boost. Recognizing the heightened interest from stakeholders, they initiated a strategy analysis that received positive feedback. This sparked various projects implementing generative AI across the bank.

Importantly, Vid stresses that AI and blockchain are not adversaries—rather, they address distinct challenges and are poised to coexist in the future. Blockchain primarily focuses on data storage and management, while AI, especially generative AI, plays a crucial role in enhancing the overall user experience, exemplifying a harmonious integration of diverse technological solutions in the digital banking landscape.

Cultivating Ecosystems

For Vid, navigating the competitive landscape involves staying informed about industry developments and closely monitoring the strategies employed by other banks and competitors. However, the approach differs when it comes to blockchain. Given its decentralized nature, adding more participants, including other banks, enhances the overall value of the network. “ Therefore, we adopt a unique perspective, concentrating on building ecosystems, as reflected in the name of our department,” Vid concludes, highlighting the navigation through competition in the sector and the maintenance of lasting success.