Regulating Fintech: Objectives, Principles, and Practices
Publication | October 2019
Technology can only enhance the way we deal with money and will never change the nature of money.
We provide an overview and key elements on the ongoing debate of whether and how to regulate fintech. We review three objectives of financial regulation (investor protection, market integrity, safeguarding financial stability) in the context of recent fintech developments, cover three guiding principles many regulators follow (legal certainty, technology neutrality, and proportionality), and end with a suggested synopsis of current fintech regulatory practices: “wait-and-see”, “same risk, same rules” (“duck typing”), or “new functionality, new rules” (“coding”).
WORKING PAPER NO: 1016