INTRODUCTION-WHAT IS FINTECH?

Abstract

Marked by the speed of technological change and the range of new entrants in the financial sector, FinTech is the poster child that continues to grab the headlines. FinTech stands for ‘financial technologies’ and, in its broadest sense, that is exactly what it is: technologies used and applied in the financial services sector. But more and more, FinTech is coming to represent technologies that are disrupting traditional financial services, including mobile money, digital wallets, open banking and artificial intelligence. This chapter describes the development of FinTech, its key features, market players, products and trends. With its promise for innovation and growth, FinTech also brings new challenges, particularly for regulation and regulators. This chapter concludes by providing an overview of key issues that emerge on the regulatory landscape and a range of possible regulatory responses.