Fin Tech: Regulatory Sand Box

Abstract

Arrival of a number of innovative technology-enabled business models, applications, process and products catering to the emerging needs and expectations of new breed of customers have intensified competition in the financial market. While arrival of innovations might pose disruptive threats to the existing business models, these generally open up vistas of business opportunities for tech savvy, agile, skilled and risk seeking Fin Tech firms creating added values for the customers. Regulators across the globe with a view to reaping the benefits of innovations to the optimal extent, are gearing up to play more proactive role in fostering germinating innovations brought in by new breed FinTech firms in the financial sector for public good while keeping alert to emerging risks and customer protection. Setting up of “Regulatory Sand Box†is a step in this direction.