Major US banking regulator, Michael Hsu, acting Comptroller of the Currency, warned that the proliferation and rise of fintechs and digital banking services could spur unforeseen financial risks, and destabilization to the financial system over the long term. In a conference speech in New York, Hsu said, “I believe fintechs and big techs are having a large impact and warrant much more of our attention.” He added that the encroachment of fintech firms into the traditional financial sector, including through partnerships with banks, has increased complexity and “de-integration” across the banking sector.
U.S. Bank Regulator Warns of Crisis Risk From Fintech Proliferation
