FinTech and the Four Horsemen of the Apocalypse

This is a copy-edited version of the contribution accepted for publication in the Banking and Finance Law Review: (2022) 39.1 B.F.L.R. Forthcoming

University of Hong Kong Faculty of Law Research Paper No. 2022/49

UNSW Law Research Paper No. 22-30

27 Pages Posted: 16 Sep 2022

See all articles by Douglas W. Arner

Douglas W. Arner

The University of Hong Kong; The University of Hong Kong - Faculty of Law

Ross P. Buckley

University of New South Wales (UNSW) - UNSW Law & Justice

Dirk A. Zetzsche

Universite du Luxembourg - Faculty of Law, Economics and Finance; European Banking Institute

Date Written: September 2022

Abstract

Plague, war, famine and death: the 2020s have so far been marked by the four horsemen of the apocalypse. Unlike in 1997 or 2008, finance has been not the cause of, but part of the effective response to, these crises. The decade of reforms following the 2008 global financial crisis have proven effective: finance has been largely resilient in the face of the crises of this decade, and played important roles in responding to the pandemic, war in Ukraine, and disasters in a wide range of developed and developing countries. The digitization of finance has been central to this positive role. To continue as a force for good, finance must continue to be resilient and provide systems for effective responses to the four horsemen, and to do this it needs to support financial stability, inclusion, innovation and wider sustainable development. The combination of resilience, inclusion, innovation and sustainable development is central to the transformation of the global economy and societies, so as to achieve the United Nations Sustainable Development Goals and respond to the existential threat of climate change. Digital finance, well regulated, has a central role to play in keeping the four horsemen at bay, and will be essential to respond to the increasing range of crises likely in coming decades. To realise this potential, FinTech and digital finance require a readjustment of approaches to the regulation of finance and technology.

Keywords: financial stability, resilience, financial inclusion, sustainable development, UN Sustainable Development Goals, RegTech, SupTech, central bank digital currencies, digital identity, financial regulation, central banks

Suggested Citation

Arner, Douglas W. and Buckley, Ross P. and Zetzsche, Dirk Andreas, FinTech and the Four Horsemen of the Apocalypse (September 2022). This is a copy-edited version of the contribution accepted for publication in the Banking and Finance Law Review: (2022) 39.1 B.F.L.R. Forthcoming, University of Hong Kong Faculty of Law Research Paper No. 2022/49, UNSW Law Research Paper No. 22-30, Available at SSRN: https://ssrn.com/abstract=4211974

Douglas W. Arner (Contact Author)

The University of Hong Kong ( email )

Pokfulam Road
Hong Kong, Pokfulam HK
China

The University of Hong Kong - Faculty of Law ( email )

Pokfulam Road
Hong Kong, Hong Kong
China

HOME PAGE: http://hub.hku.hk/rp/rp01237

Ross P. Buckley

University of New South Wales (UNSW) - UNSW Law & Justice ( email )

Sydney, New South Wales 2052
Australia

Dirk Andreas Zetzsche

Universite du Luxembourg - Faculty of Law, Economics and Finance ( email )

Luxembourg, L-1511
Luxembourg

HOME PAGE: http://wwwen.uni.lu/recherche/fdef/research_unit_in_law/equipe/dirk_andreas_zetzsche

European Banking Institute ( email )

Frankfurt
Germany

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
742
Abstract Views
2,385
Rank
66,001
PlumX Metrics