Financial Domain Names - How the Internet Can Help the International Financial Industry Overcome Shortcomings in Trust and Transparency While Improving Speed and Efficiency

Abstract:     
It is a coincidence that major reforms are now under way in both financial infrastructure and the Internet. Governments are in the process of overhauling the regulatory framework in response to the 2008 economic crisis. The Internet itself is at a crucial stage of development with the introduction of new top level domains and internationalized domain names that facilitate the use of a wide variety of scripts. The interface between the Internet and the global financial system requires urgent attention. Legacy systems, both on the Internet side and on the financial side, are unable to cope with the task of protecting customers while meeting the current requirements of speed and low transaction costs. They are poorly adapted to the international scope and volume of today’s financial transactions. A fundamental reform of the Internet naming system is well under way. Industries such as the financial services sector can link into Internet governance initiatives, increase security and productivity and integrate industry processes with the operation of a global Internet. As is the case in financial industry reforms, the Internet reforms are subject to political lobbying and economic interests. For this reason, it is important that the financial industry takes a proactive attitude to developing its own systems, rather than having them imposed by governments.

Number of Pages in PDF File: 10

Keywords: ICANN, Financial Systems, Internet, Namespace, Domains. gTLDs

JEL Classification: G20, G28, G38, F42, Z1

working papers series