The growing popularity of smartphones and the proliferation of technology have accelerated the development of the digital payment industry. Fintech enables customers to access financial services more efficiently and faster than traditional business, especially during the COVID-19 pandemic due to...

Examining and comparing the FinTech investment environments of major economies has untapped potential when it comes to comparing their innovativeness in the financial sector. Therefore, this paper examines the development of FinTech companies from Germany and Russia by investigating funding...

We provide new evidence on the effects of competition on incumbents' innovative behavior by examining the rise of FinTech start-ups over the period 2000-2016. We employ machine learning techniques to classify a large global sample of patent applications into five FinTech categories. We exploit...

The contribution of financial and non-financial risks to the overall level of risk in the system depends on the current state of the EU banking system (which, in the aggregate and compared with banking sectors in other major advanced economies, cannot be characterised as strong) and how...

The financial-technology industry has recently attracted the attention of many sectors. The financial-technology industry designs new and unusual technological financial services in many areas. It combines technology with finance and provides an alternative to the traditional financial system....

We build a model with a traditional banking system, endogenous entry of firms and fintech intermediaries, and firm heterogeneity in credit access and usage to study the credit-market, macroeconomic, and business cycle implications of the recent sizable growth in the number of fintech...

We show that FinTech lending affects credit markets and real economic activity using a unique data set of a Peer-to-Business platform for which we have the universe of loan applications. We find that FinTech serves high quality and creditworthy small businesses who already have access to bank...

Financial inclusion, defined as the adequate access and usage of formal financial services to improve people’s lives, is a crucial area for the economic development of a country through its various angles. This paper analyzes the impact of selected FinTech companies on financial inclusion in...

Chen et al. (2021) show that almost one-third of First Nations band offices in Canada are within 1 kilometre (km) of an automated banking machine (ABM) or financial institution (FI) branch and more than half are within 5 km. Further, over three-quarters of band offices are within 20 km of an ABM...

Recent literature has addressed initial coin offering (ICO) projects, which are an innovative form of venture financing through cryptocurrencies using blockchain technology. Many features of ICOs remain unexplored, leaving much room for additional research, including the success factors of ICO...

We ask whether epidemic exposure leads to a shift in financial technology usage and who participates in this shift. We exploit a dataset combining Gallup World Polls and Global Findex surveys for some 250,000 individuals in 140 countries, merging them with information on the incidence of...

This note examines the implications of digital innovation for market structure and attendant policies, including financial and competition regulation. There have been several surveys of regulatory responses. This note takes a step back, to look at what the economic theory of banking and...

Fintech is transforming the global financial landscape. It is creating new opportunities to advance financial inclusion and development in Emerging Markets and Developing Economies (EMDEs), but also presents risks that require updated supervision policy frameworks. Fintech encompasses new...

This note provides: (1) an overview of new manifestations of consumer risks that are significant and cross-cutting across four key fintech products: digital microcredit, P2PL, investment-based crowdfunding, and e-money; and (2) examples of emerging regulatory approaches to target such risks....

This technical note is structured in the following manner. Section two provides an overview of the main barriers and frictions that SMEs face to access finance. Section three explores how digitization is an enabler for SME finance and how different fintech solutions address these barriers. The...

FinTech is said to have promising effects. The consideration that arises is whether this new form is a special kind of technology that affects an entire economy and has the potential to change societies through its impact on existing economic and social structures. Thus, the question arises...

The years following the 2008 financial crisis have been characterized by the emergence of new financial service providers, so-called fintech. The term is defined and understood differently in the literature. There is an agreement that fintech is composed of the words "financial" and...

Die Künstliche Intelligenz (KI) gilt als Basistechnologie des 21. Jahrhunderts und führt, wenn auch in unterschiedlichen Geschwindigkeiten, zu drastischen Veränderungen in praktisch allen Industrien. Die Finanzbranche gehört dabei zu den Industrien, welche bereits heute mit am stärksten von...

Over the past 150 years, finance has evolved into one of the world’s most globalized, digitized and regulated industries. Digitalization has transformed finance but also enabled new entrants over the past decade in the form of technology companies, especially FinTechs and BigTechs. As a highly...

Regulatory technology, or RegTech, helps financial institutions around the world comply with a myriad of data-driven financial regulations. RegTech’s algorithms make thousands of decisions every day: they identify and block suspicious clients and transactions, monitor third party exposures,...

Rationally justifying Bitcoin's immense price fluctuations has remained a persistent challenge for both investors and researchers in this field. A primary reason is our potential weakness toward robustly quantifying unquantifiable risks or ambiguity in Bitcoin returns. This paper introduces a...

We ask whether epidemic exposure leads to a shift in financial technology usage within and across countries and if so who participates in this shift. We exploit a dataset combining Gallup World Polls and Global Findex surveys for some 250,000 individuals in 140 countries, merging them with...

Fintech promises improvements in access to credit for small businesses through more efficient search and better pricing. Using novel data from a marketplace platform of 115,000 loan offers from 46 online lenders I show that the primary contribution of fintech is not in precisely measuring and...

This paper investigates the impacts of the COVID-19 pandemic and the large-scale social distancing (PSBB) policy on Indonesia’s financial technology (fintech) markets. It also elaborates the roles that fintech companies can play in the national economic recovery.This paper finds that...

We ask whether epidemic exposure leads to a shift in financial technology usage within and across countries and if so who participates in this shift. We exploit a dataset combining Gallup World Polls and Global Findex surveys for some 250,000 individuals in 140 countries, merging them with...

We ask whether epidemic exposure leads to a shift in financial technology usage within and across countries and if so who participates in this shift. We exploit a dataset combining Gallup World Polls and Global Findex surveys for some 250,000 individuals in 140 countries, merging them with...

Fintech (financial technology) is currently a vibrant sector with a total global investment of $46.7 billion in 2015 and 24.7 billion in 2016 (KPMG, 2016). Global year-on-year venture capital deals amounted to $140.6 billion in 2015 and $127.4 billion in 2016 (KPMG Enterprise, 2016). Despite the...

The 2020 COVID-19 pandemic and the social distancing measures implemented to stop its spread will leave its mark on people, industries, and government policies long after the disease's health risk recede. One of the industries that has been transformed is financial services. As the pandemic...

This paper studies the role of trust in incumbent lenders (banks) as an entry barrier to emerging FinTech lenders in the credit markets. The empirical setting exploits the outburst of the Wells Fargo scandal as a negative shock to the trust in banks. Using a difference-in-differences framework,...

Problem Definition: Instant return credit (in short, return-credit) is a new FinTech service that offers a store credit immediately upon a return claim, without requiring the return to be received. Improving consumers’ budget, this helps convert online returns into new sales, but it also...

This paper explores default in the FinTech marketplace lending market using a dataset of both extensive credit and soft information for borrowers from the largest marketplace lender in the United States. I find that both macro and regional economic conditions play a role in consumer default and...

The recent evolution of corporate whistleblowing has demonstrated the capacity of effective internal corporate whistleblowing systems to support regulatory aims. Further, theoretical support for the role of internal corporate whistleblowers can be found in the smart regulation paradigm, which...

This global study seeks to assess how financial technology firms (FinTechs) have been impacted by COVID-19, and how they are responding to the resultant challenges and opportunities. The study is a joint initiative of the Cambridge Centre for Alternative Finance (CCAF) at the University of...

Innovation and technology have led to the redefinition of business models and development of new ones in many bricks and mortar sectors. Similarly, blockchain and fintech have impacted the finance and banking industries and are expected to further affect them in the future, leading some media to...

The purpose of this study is to examine the impact of the financial technology (fintech) services provided by banks on their performance. We also investigate the influence of fintech firms' growth (as competitor firms) on banks' financial performance. We extend our analysis to investigate the...

Financial institutions play a pivotal role in the efficient allocation of capital resources. However, some households and firms may be excluded from formal financial markets due to asymmetric information and market imperfections, thereby adversely affecting equitable income distribution. On the...

We study the evolution of US mortgage credit supply during the COVID-19 pandemic. Although the mortgage market experienced a historic boom in 2020, we show there was also a large and sustained increase in intermediation markups that limited the pass-through of low rates to borrowers. Markups...

Constructing a novel micro-geographic individual-level data set, we study the relevance of shoe-leather costs on cash withdrawals. An unexplored issue in the literature is the consistent estimation of the marginal effect of travel distance on withdrawals when a fraction of unobserved withdrawals...

The years following the 2008 financial crisis have been characterized by the emergence of new financial service providers, so-called fintech. The term is defined and understood differently in the literature. There is an agreement that fintech is composed of the words "financial" and...