Bank of England governor Mark Carney has said that institutions will be integral to the success of FinTech.
He said that central banks will not be at the “cutting edge” when it comes to innovation.
This is because finance is so highly regulated, so as Carney states, “there are lots of ways it can go wrong”.
Carney spoke at an IMF panel in Washington on Wednesday.
What does this mean?
Banks have moved over the past couple of years from seeing FinTech as a threat to acknowledging it’s vital to collaborate. The next step is working with disruptors in a safe and secure way, alongside government and regulators.