Hello, FinTech fans! On Saturday morning, the first issue of The FinTech FinReg Report will be published.
Regular readers of our blog and our website know that we use a patented process to quantify policy risk. Then, using that quantification, we anticipate policy outcomes and broad trends.
When one aggregates data across a week, interesting trends emerge. It's kind of like watching a puzzle take form after enough pieces have been placed together. There is always an "a-ha!" moment, when suddenly you know where all the remaining pieces have to go.
This is the fun and intrigue of data science, particularly with new data sets: it's impossible to know what the outcome will be until you start assembling the data set. But once you have the data, you can start anticipating outcomes.
The FinTech RegTrends Report creates a new database of global policy activity specific to the FinTech sector.
Subscribers will watch with us as we see patterns emerge from the data. Together, we will see momentum building towards decisions. We will see whether -- and to what extent -- policymakers in different countries come to the same conclusion or diverge away from each other.
Convergence is not presumed. In many cases, it may not be desirable. Many credit markets are profoundly idiosyncratic. The more micro the market, the more likely it is that its functions may not be comparable across borders. Different national cultures have profoundly different priorities regarding how people acquire credit and capital for their companies.
At the same time, there are some universal human behaviors that can be found around the world within economic activity. This includes FinTech. Some universal public policy priorities consistent across borders include: (i) promoting access to savings and credit for previously under-served communities, (ii) safeguarding financial stability, and (iii) providing consumer protection. How these policy priorities are implemented can vary across borders, but the policy intent is the same.
Applying a rigorous approach to policy quantification in the FinTech sector will be particularly interesting since the policymakers are pivoting fast and hard towards this rapidly evolving sector, trying to balance their interest in fostering economic growth and innovation against the need to protect the financial system and the consumers in it. It's going to be quite a journey as we assemble the data base.
We think it is important also to have some fun with the data.
So we are starting a new tradition: the Friday FinTech Quiz!
Friday FinTech Quiz
Here are the ground rules:
On Friday mornings, based on preliminary data from Monday through Thursday, we will ask five questions on this blog to see how closely everyone else has been following policy developments. The questions will vary.
Answer our questions on Twitter, using the hashtags #FinTech #RegTrends.
We will publish the answers on Twitter on Saturday morning (East Coast time) under the hashtag #RegTrends.
We will also indicate whether the answer changed once Friday's data was taken into account.
If enough people participate, we will come up with some kind of award for people that answer correctly.
Here is the current issue list: Licensing, Sandboxing, Cyber/AML, Consumer Protection, Banking, Insurance, Crowdfunding, Online Trading, Robo-Advice, Regulatory Reporting, Payments, Distributed Ledger Technology, Digital Currency.
Here are the first official Friday FinTech Quiz Questions....
1. Which sovereign took the most action in FinTech policy this week?
2. Which issue attracted the most attention from policymakers around the world this week?
3. How many official sector entities around the world released data relevant to the FinTech sector?
4. Which issue attracted the least amount of attention globally this week?
5. Which two issues were tied for second place in aggregate global activity as of Thursday night?
Looking forward to your answers!
Are you looking for an answer to the question "What does it all mean?" Are you looking for more than just Friday FinTech fun with data? If the answer to these questions is "yes," then your next move is clear. You need to subscribe to the FinTech RegTrends Report. Subscribers will receive analysis as well as data. Subscribers will be ahead of the curve; they will not likely be surprised by policy developments because they will have watched them form over time. Join us.