Financial Digitalization, FinTech, and the Collaborative Economy

Abstract

AbstractThe value chains of Switzerland’s incumbent market players, such as banks and insurance companies, will be increasingly challenged by new technologies and competitors like FinTech, InsurTech, and RegTech firms. Digitalization, artificial intelligence, big data, machine learning, smart contracts, data analytics, distributed ledger technologies, robotics, biometrics, and gamification are just a few ingredients spurring the FinTech revolution and breaking up existing value chains. These developments will fuel the consolidation of processes and collaborations with third parties and shift the boundaries between financial services providers. To support new business models in banking and insurance, the Swiss finance sector has invested in its infrastructure to trade digital assets. It has also been one of the very few early movers globally in providing a comprehensive and solid DLT regulation.