Fintech
Financial Technology Company
Definition
A company that uses technology to deliver financial services in innovative ways, including digital payments, peer-to-peer lending, robo-advice, insurtech, and blockchain-based services. Fintechs may be subject to various regulatory frameworks depending on the activities they perform, and many operate under specific fintech licences or regulatory sandbox arrangements.
Regulatory Context
Regulators have sought to balance innovation promotion with consumer protection and financial stability. Many jurisdictions have established innovation offices, sandboxes, and proportionate licensing regimes for fintechs. The growth of fintechs has also driven discussion about 'same activity, same regulation' principles.