It's not just the startups giving the banks headaches...
Regulators have (rightly in some cases) been trying to one-up each other continuously since the millennium, and the consequences for global banks have been enormous. The ideal from an operational perspective would be some sort of global standard for tech that mandates a minimum base level of security, but that's never going to happen - it would be out of date as soon as it was written and impossible to keep up to date.
Regulations by their nature are reactive and typically only change in response to an issue, consequently the organisations affected by them are always playing catch-up. All of this has significant impact even before any commercial demands are placed on the bank - incorporate the challenge of trying to keep up with startups not bogged down by legacy technology and less burdened by the regulatory regime, and you end up with a workforce whose job is a constant never-ending race to balance regulatory compliance, customer satisfaction and an effective return to shareholders, and rarely managing to achieve all three to high standards.
Biting the hand that feeds IT
