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Core Issues of FinTech Regulation

25 September 2021, 14:00 UTC

In this seminar, we explore a number of tools and mechanisms I have developed grapple with questions pertaining to FinTech policy and regulation. These tools and mechanisms are designed to compensate for the confusion created by the market language, which is a mix of
– marketing, tech and policy talk,
– rarely focussed on problem-solving, and
– often based on assumption and driven by subjective expectations.

However, it is important to get things straight, i.e., identify
– what is going on in the market and what the future may bring,
– what the opportunities or potential advantages of this development are for the different stakeholders,
– what the risks or cost of this development are for the different stakeholders.

Fintech Symbol

In this seminar, we are creating the aggregate of the different tools and strategies I use to overcome the smokescreen, notably

First – we need to take a functional view on the effects products and services are designed to achieve (store value, transfer value, protect against a risk, etc.).

Second – we need to separate the interaction between technology and market practice into four areas: (a) business model, (b) products/services, (c) use case, (d) technology. Whereas many enthusiasts think about the technology first (in particular: blockchain), in reality it matters more in terms of policy and regulation what one does with the technology.

Third – we use a ‘Key Map to FinTech’ shaped to support, combining all relevant information into a simple diagram. By working through its logical flow it becomes very easy to identify the opportunities and risks that arise with a specific market activity.

Fourth – we link the outcome of the above analysis to a grid of regulatory goals, or ‘rationales’. These are helping us to develop relevant policy lines and conceive appropriate regulatory tools.

At the end of this seminar, participants will find it considerably easier to address any type of FinTech-related question and identify, and overcome, the relevant policy and regulatory challenges linked to that question.

Prof Philipp Paech Foounder of Fintech Foundation

PHILIPP PAECH

navigatingfintech.com

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