February 20, 2018
With technology companies opening new opportunities in the banking and insurance industries, it’s never been more important to understand the risks they carry along. Innovative use of data – sources and analytical capabilities – bring up the question of ownership and privacy, the changing underlying technology, the entrance of new types of players with unconventional business models, and introductions of new products and services.
The development and adoption of advanced data analytics capabilities made it possible to explore new revenue avenues. Toronto Centre characterizes the data-intensive era through three V’s: high velocity, large variety, and big volumes of data. With that, it also brings raising concerns for data protection and privacy, bank secrecy, cybersecurity, and data management.
For instance, how to enforce customer consent requirements when any type of data can be used, even if its original collection had nothing to do with financial services (e.g., likes on Facebook, Google maps locations), or when financial transactions are seamless and automatized in the IoT? Are regulations on cross-border data flows adequate for the IoT and cloud computing? What constitutes personal data in this context, and who should own it: customers or the entities collecting the data? – FinTech, RegTech, and SupTech: What They Mean for ...