Publication Type

Working Paper

Year

4-2020

Abstract

The rise of new technologies has changed the operation, regulation and supervision of financial markets, bringing new challenges and opportunities for consumers, regulators, and financial institutions. This Article seeks to explore the most common regulatory strategies used by financial regulators around the world to address the challenges associated with the rise of fintech. These strategies include the imposition of bans, regulatory passivity, adoption of new legislation, permission on a case by case basis, and more interactive approaches such as innovation offices, accelerators and sandboxes. This Article argues that the adoption and desirability of each regulatory approach will depend on a variety of country-specific factors, including the goals and priorities of the regulator and the particular features of a country. Thefore, there are no one-size-fits-all solutions that can be suggested to promote financial innovation and effectively address the challenges generated by the rise of new technologies in the financial services industry.

Keywords

fintech, financial regulation, financial innovation, sandbox, capital markets, banking, cryptoassets, crowdfunding, artificial intelligence, digital payments

Disciplines

Banking and Finance Law | Finance and Financial Management | Internet Law

Publisher

SMU Centre for AI & Data Governance Research Paper No. 2020/01

DOI

10.2139/ssrn.3576506

Version

publishedVersion

Language

eng

Copyright Holder

Authors

Format

application/PDF

Comments

Forthcoming in Banking & Finance Law Review (2020, Issue 36.1)

Research Area

Innovation, Technology and the Law

Additional URL

https://dx.doi.org/10.2139/ssrn.3576506

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