Syed also emphasizes the need for financial institutions to proactively monitor transactions and adapt to new threats. He highlights the potential of AI and machine learning in understanding consumer behavior and patterns, and the use of blockchain-based tokens to monitor an individual's financial activities across various platforms. He concludes by urging fintech companies to take responsibility for safeguarding the financial ecosystem while improving their offerings.
Key takeaways:
- There is a need to bridge the gap between speed and security in fintech, as quick and seamless payment systems have outpaced regulatory measures, creating loopholes for illegal activities like money laundering.
- Financial companies should integrate regulatory aspects into their offerings from the start and work closely with regtech firms to ensure transactions are secure and compliant with regulations.
- Financial institutions should embrace advanced technologies like AI, machine learning, and blockchain to monitor transactions and customers' behavior, and adapt to new threats.
- Fintech companies need to stay abreast of the rapidly changing financial ecosystem and take responsibility for safeguarding it, rather than leaving it to banks and regulators.