Fintech, Regtech, Suptech : Three Dimensional approach to Digital Finance

Every institution is now doing business transactions through digital financing system. Digital financing solutions offer great potential to overcome challenges and contribute toward achieving universal access to financial services. But, it is noticed that insufficiency of technological up-gradation and various issues created by hackers like fraudulent online transactions, hampers people who are not aware of the other side of technology. There are three stages in implementation of digital finance viz., Fintech, Regtech and Suptech. Whereas, ‘Fintech’ is an application of Technology for financial services, for instance: digital payments and e-money, international remittances, personal and business loans, peer-to-peer lending platforms, crowd funding platforms, Robo-advisors, Crypto currencies like Bitcoin, Altcoin, etc. The word ‘Regtech’ is a contraction of the terms ‘regulatory' and 'technology' and describes the context of regulatory monitoring, reporting, and compliance. The word ‘Suptech’ is derived from ‘Supervision’ and ‘Technology’, which monitors ‘Fintech' and ‘Regtech’. The rise of Fintech will undermine the widespread assumption that the primary source of systemic risk in the financial sector is the domination of large, “systemically important” banks and other financial institutions. In this context, this paper aimed to understand the importance of Fintech, Regtech, and Suptech as three stage approach to digital finance