European Commission to run public consultation on fintech innovations

The European Commission (EU) announced its plans to consider how to regulate the fintech sector in order to encourage the development of fintech, while protecting consumers from risks that emerge.

EU will be running a public consultation on fintech since it bids to shape its policy response to the nascent industry for new innovations in the financial services sector. The Commission has built a fintech task force that is working across issues underlying financial regulation, technology, data, access to finance, entrepreneurship, consumer protection and competition, Finextra reported.

“The goal is to create an enabling environment, where innovative fintech products and solutions take off at a brisk pace all over the EU, while ensuring financial stability, financial integrity and safety for consumers, firms and investors alike,” the Commission stated.

According to the EU Commission, the feedback from the public consultation will aid in gauging how fintech can make the single market for financial services more competitive, inclusive and efficient.

The EU has invited market participants to respond by giving their feedback to an online survey that addresses the upcoming aspects of fintech ecosystem that includes application of artificial intelligence and big data, blockchain technology and barricades to market entry for fintech firms.