The FinTech Opportunity

• Published in: NBER Working Paper Series p. 22476
• Main Author: Philippon, Thomas
• Format: Paper
• Language: English
• Published: Cambridge National Bureau of Economic Research, Inc 01.08.2016
• Subjects: Bank technology; Compensation; Costs; Economic models; Economic statistics; Economic theory; Financial services; GDP; Gross Domestic Product; Mobile commerce; Payment systems; Regulation of financial institutions; Technological change; Value added

This paper assesses the potential impact of FinTech on the finance industry, focusing on financial stability and access to services. I document first that financial services remain surprisingly expensive, which explains the emergence of new entrants. I then argue that the current regulatory approach...