Inside this Topic Guide
Fintech, or the use of technology to deliver, enhance or "disrupt" the delivery of financial services, has had a significant impact on the provision of financial services in recent years. Unsurprisingly given the broad definition, fintech encompasses a vast range of financial services and products, from crowdfunding and peer to peer lending, regtech, payments and foreign exchange services, digital wallets and e-money , and robo-advice to cryptocurrencies and blockchain technology. Advances in technology have resulted in financial services being provided in new ways which are typically more cost-effective and improve the consumer experience, and have facilitated the expansion of the financial sector with a large number of new services and service providers.
The financial services industry is heavily regulated and the vast majority of legislation and regulatory standards predate the advances in technology, and the related consumer appetite for innovation, on which fintech is thriving. The regulatory challenge is twofold; first, considering how innovations to products or new technologies such as blockchain can work within the existing regulatory framework for the benefit of consumers and market participants, and second, keeping on top of new developments in these areas. Regulators in a number of jurisdictions globally, including the FCA in the UK, ASIC in Australia and MAS in Singapore, have publicly announced their support for, and new regulatory initiatives for further developing, burgeoning fintech industries.