Sandboxes and Bridges - The Impact of Fintech on Regulatory Convergence and Coordination in Asia

Abstract

The rise in financial technology (Fintech) has accelerated rapidly since the global financial crisis (GFC). Fintech provides both economic benefits (via increased competition, efficiency and innovation) and increasing levels of financial inclusion. However, it also comes with potential risks to consumers, investors and financial systems. Mitigating these risks while encouraging innovation is a significant challenge for financial regulators in an environment of rapidly evolving, technologically complex and disintermediated financial services markets. The balancing act for governments and regulators in developing appropriate regulatory responses to Fintech innovation involves the weighing-up o..