FinTech

FinTech is a combination of the words “financial” and “technology”. FinTech refers to products or services that relate to technological innovations in the financial sector.

Examples

Examples of well-known FinTech are PayPal and Tikkie. Blockchain can also be used to innovate the financial sector.

PSD2

A lot of new FinTech was implemented in early 2018. Banks must then act in accordance with a new “Payment Services Directive (PSD)” in effect. The so-called PSD2. This new directive allows new parties – with the consent of the consumer – to initiate payments directly from banks and account information. This creates the situation that the bank is no longer the only party that has access to a consumer’s account information.

In addition to offering many opportunities for FinTech, it also raises legal questions regarding consumer privacy.

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