Finance Minister Felipe Larraín, within the framework of Chile Day in New York, announced that he will present a bill to regulate and supervise FinTech and cryptocurrencies. This is great news.
Fintech + tech
FinTech is the abbreviation of Financial Technology, and the International Organization of Securities Commissions says that they are a diversity of innovative business models and emerging technologies that have the potential to transform the financial industry. Between the FinTech they emphasize the platforms of online trading, the crowdfunding, the platforms of payments and transfers of money, and the cryptocurrencies.
Why is it important that this sector be regulated?
Because the introduction of technology in the financial market represents an opportunity to incorporate people who are out of this world, helping to minimize the gap that exists between those who have access to the traditional financial system and those who do not. The World Bank estimates that some two billion adults worldwide have not been included in the financial system, simply because they do not have access to a bank account. The entity is advocating for universal access to financial services by 2020, confident that this is a key factor in reducing poverty.
On the road to financial inclusion, governments have relied on FinTech
In China, between Alipay, Union Pay and Wechat Pay they already have 70% of the online payment market and even street vendors use them. In India, the government implemented a policy of demonetization, which is translating into technological payment companies bursting into the market.
Also published on Medium.