Abstract In recent years, new and technologically innovative financial products and services, generally subsumed under the fintech umbrella, have permeated all areas of capital markets at an exponential rate. Primarily driven by developments in Web3 and advancements in artificial intelligence (AI), fintech solutions offer valuable benefits to all existing markets and participants and are the basis for introducing wholly new segments to classic capital market ecosystems. However, this increasing fintech adaptation does not come without challenges. Due to the technologies' nascent nature and often unregulated status, many products are susceptible to manipulation and fraud. The result can be sizable investor losses and excessive regulatory and public scrutiny. This chapter highlights the most essential and prominent fintech solutions used in capital markets today, along with their features, value additiveness, and degree of adaptation.
Purpose:The purpose of this study is to investigate the adoption of financial technology on the green growth and sustainability of SMEs.The root issue is that despite the increasing attention of fintech exposure in business markets, Malaysian businesses are hesitant to fully adopt this emerging technology.This study aims to bridge the gap between the potential of fintech innovations and their practical implementation by adopting two theoretical approaches: 1) Research-based view model for green growth 2) Extended version of the technology acceptance model for the fintech dimension.Design/Methodology/Approach: The research adopts a quantitative method using a crosssectional survey design with a five-point Likert scale questionnaire.Data was collected from 247 decision-makers representing SMEs in Selangor, Malaysia, and the sampling technique uses stratified random sampling.The data were analyzed using SPSS and Smart-PLS.Findings: Fintech factors of green financing and green investment significantly influence the green growth sustainability, while cryptocurrency is not significant towards it.Interestingly, the finding on the moderator role of blockchain smart contracts does not play a role in moderating all the fintech factors toward green growth sustainability.Practical Implication: The direct relationship of green financing and green investment is driving the future innovation toward green growth sustainability, particularly for SMEs, but cryptocurrency gives a different insight on it.On the other hand, integrating blockchain smart contracts as the moderator for the fintech dimension does not allow the businesses to move toward green sustainability.It is essential for companies to provide platforms by offering knowledge and awareness about this technology.Aside from this, the study provides empirical implications for SMEs green growth sustainability using fintech platforms.Originality value: The research findings reveal that the moderating effect of blockchain smart contracts was insignificant in driving green sustainability outcomes for SMEs.This innovation did not support green growth sustainability to enhance transparency and increase the accountability into the environmental claims.It challenges the technology-centric view
Purpose: Aim of the study was to analyze the impact of cryptocurrency adoption on financial inclusion in Myanmar. Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries. Findings: Cryptocurrency adoption in Myanmar holds promise for enhancing financial inclusion by offering faster and cheaper remittance options, especially in underserved rural areas. However, challenges such as regulatory uncertainties and concerns over consumer protection must be addressed through clear and supportive regulatory frameworks. To maximize benefits, Myanmar should focus on improving financial literacy, developing user-friendly cryptocurrency platforms integrated with mobile money services, and establishing coherent regulatory guidelines in collaboration with international bodies. Unique Contribution to Theory, Practice and Policy: Diffusion of innovation theory, technology acceptance model (TAM) & institutional theory may be used to anchor future studies on impact of cryptocurrency adoption on financial inclusion in Myanmar. Practical initiatives should prioritize enhancing financial literacy and digital education programs tailored to Myanmar's population. Initiatives that promote understanding of blockchain technology and cryptocurrencies among consumers, businesses, and policymakers are crucial. Policymakers in Myanmar need to develop clear and supportive regulatory frameworks that balance innovation with consumer protection.
This study explores the landscape of motorcycle loans in the Philippines, emphasizing their pivotal role in transportation and livelihoods. It introduces Motorsiklo Trade, a blockchain-powered platform designed to revolutionize motorcycle loan management. The objectives include developing an intuitive web platform, implementing smart contracts, and assessing system usability. Results indicate efficient loan processes, high user satisfaction, and enhanced transparency. The integration of blockchain and smart contracts holds promise for transforming motorcycle finance, promoting efficiency, and driving technological innovation.
This study presents an innovative approach using the Ethereum blockchain to democratize access to tutoring services, advancing educational technology by bridging the affordability gap for learners with limited financial resources. This solution enables low-income learners to access tutoring services without significant expenses by eliminating intermediaries through smart contracts. Learners can directly book tutoring services based on fees and evaluations, ensuring a fair and accessible experience. The findings show that this approach reduces tutoring expenses and improves trust and accountability through transparent transactions and feedback mechanisms. The proposed system demonstrates how blockchain technology can foster a more equitable and efficient educational landscape, offering personalized
The financial services industry is experiencing a transformative shift driven by the rapid growth and adoption of financial technology, or fintech. Fintech represents the integration of innovative digital technologies into financial services, revolutionizing how money is managed, transferred, invested, and regulated globally. This paper examines the pivotal role of fintech in transforming the global financial landscape by exploring its origins, key technological enablers, and the wide-ranging impacts on traditional financial institutions, consumers, and regulators.Fintech innovations have democratized access to financial services, enhanced operational efficiency, reduced costs, and improved customer experiences. Technologies such as mobile payments, blockchain, artificial intelligence, and peer-to-peer lending platforms have reshaped sectors including banking, insurance, wealth management, and regulatory compliance. Moreover, fintech has played a significant role in promoting financial inclusion, particularly in developing economies where traditional banking infrastructure is limited. The adoption of mobile money services has empowered millions to participate in the financial system for the first time.This paper also discusses the challenges associated with fintech adoption, such as data privacy concerns, cybersecurity risks, regulatory complexities, and the digital divide. It highlights the importance of balanced regulation and collaboration between fintech startups and traditional financial institutions to ensure sustainable growth. Additionally, the emergence of decentralized finance and green fintech exemplifies how the sector continues to innovate, addressing evolving economic and environmental priorities. In conclusion, fintech is not merely a technological advancement but a fundamental reimagining of global finance, creating opportunities for efficiency, inclusivity, and sustainability. By addressing its challenges responsibly, fintech can pave the way for a more equitable and resilient financial ecosystem that benefits individuals, businesses, and governments worldwide.
The role of Web3 technologies was examined specifically regarding SmartCharity and their effect on the financing and delivery of public goods in developing countries. The research focused on the case of SmartCharity, its role in making fund distribution more transparent and efficient, and the role of NFTs and smart contracts’ efficacy in changing. For primary data, the cross-sectional study used interviews and questionnaires administered to the critical actors in or close to SmartCharity initiatives; secondary data came from project reports and publicly accessible sources. Quantitative analysis uses statistics to identify trends and correlations in data, whereas qualitative data analysis identifies such trends and patterns. This paper aimed to establish an appreciation of the strengths and weaknesses of Web3 innovation in public good management and make future suggestions for improvement.
Digital innovations are emerging to solve known problems using new digital tools or technologies. Digital innovations also have wide application for financial inclusion. Private sector agents are using digital innovations to increase financial inclusion in remarkable ways. This chapter explores the recent digital innovations that are changing the financial inclusion landscape toward digital financial inclusion. The study used the discourse analysis methodology. It was found that digital innovations, such as central bank digital currency (CBDC), cryptocurrency, embedded finance, artificial intelligence, wallet as a service (WaaS), Fintech, BigTech, and decentralized finance (DeFi), are helping to accelerate digital financial inclusion in many parts of the world. Each of these digital innovations serve a specific purpose, and they contribute to accelerating digital financial inclusion in unique ways, even though they all pose some risks that can be mitigated with careful and purposeful regulation.
Sanjeev Kumar, Hadiya Begum, Hindu Preethi, G Yasashwini
Access to higher education is severely limited in poor nations due to a lack of financial resources. Due to their parents' unemployment and their nations' failing economy, brilliant but financially struggling youngsters are unable to finish their education. Consequently, the pupils' abilities are underutilized. Student loans are a financial aid program that governments provide to college students so that they may finance their education and realize their academic potential. Student loans are made available by the government via the government of education. When the students enter the workforce, they are required to repay the loan plus interest. Student loans have historically only ever been funded by governments. The worldwide economic catastrophe is a direct consequence of the Russia-Ukraine conflict and the COVID-19 pandemic. Government expenditure has grown in response to the worldwide economic downturn. We want to use blockchain technology and crowdsourcing to completely revamp the student loan program, which will help the government save costs. This paper introduces a crowdsourced decentralized loan platform that uses blockchain technology to enable investors to contribute to the funding of higher education. Investors via the platform's network of regulated financial institutions will be able to lend money to students. When the students join the employment, they will repay the debts, along with interest. Students will be able to pay for their own education via the proposed platform, investors will earn interest, and governments will be able to reallocate funds now allocated to college loan programs to other uses. We support the efficacy of our endeavors with numerical findings and do a comprehensive security study.
The fintech industry in India has undergone a significant transformation over the past two decades, driven by technological advancements, regulatory support, and increasing digital adoption. This study explores the evolution and growth of fintech industries in India, highlighting key milestones, emerging trends, and challenges in the sector. The fintech revolution in India began with digital banking and core banking solutions (CBS) in the early 2000s. However, the industry gained momentum in the 2010s with the introduction of Immediate Payment Service (IMPS), Aadhaar-based authentication, and mobile banking solutions. A major turning point was the demonetization drive of 2016, which accelerated the adoption of digital payments and wallets. The Unified Payments Interface (UPI), launched by the National Payments Corporation of India (NPCI), became a game-changer in peer-to-peer (P2P) and merchant transactions, further boosting financial inclusion.The fintech industry in India has expanded across multiple segments, including digital payments, lending, wealth management (WealthTech), insurance technology (InsurTech), and regulatory technology (RegTech). Companies like Paytm, PhonePe, Zerodha, Lendingkart, and PolicyBazaar have played a crucial role in reshaping financial services. Additionally, emerging trends such as open banking, decentralized finance (DeFi), embedded finance, and AI-driven financial solutions continue to shape the industry’s future. Despite rapid growth, challenges such as cybersecurity threats, regulatory uncertainties, and financial literacy gaps remain. However, continued government initiatives, technological innovations, and digital penetration are expected to drive the sector's expansion. This study concludes that fintech in India has revolutionized financial services, significantly improving accessibility, efficiency, and inclusivity, with immense potential for future growth.
This paper investigates contemporary issues in financial technology (fintech). These are classified into six broad areas covering (1) disruption, (2) digital payments, (3) decentralization, (4) artificial intelligence, (5) open finance, and (6) financial inclusion. They are then critiqued in the context of the role of the Internet in financial services. The development and ontology of fintech is discussed alongside the migration of financial services to the Internet. The discourse is supported by reference to the literature, as relates to the philosophical, academic, practical, and legal aspects of the issues. The papers contribution is in providing thoughtful insight into current events and trends, and six key questions which can help to deepen our understanding of fintech and the issues that surrounding it.
One of the goals of international policy is financial inclusion, which may be attained by individuals who possess financial literacy and are able to make wise financial decisions. The use of financial technology and decentralized finance is one of the key factors shaping the inclusive space. This chapter aims to conduct an inclusive analysis of the role of financial literacy in maximizing the impact of decentralized finance on financial inclusion. The discussion in this chapter contributes to the emerging studies that examine the role of decentralized finance in boosting financial inclusion. Insights from this chapter can improve our understanding of the importance of financial innovation for unprivileged people and can also help regulators appreciate the nexus between fintech and financial inclusion. The chapter also provides a discussion on some difficulties that persist with implementing decentralized finance at a larger scale and how financial literacy plays a primordial role in meeting these challenges and improving how well DeFi works for people, businesses, and governments.
As of 2021, 1.4 billion persons remain financially excluded. Paradoxically, in recent years, the financial industry has experienced deep digitization, allowing for faster, more secure, and cheaper financial products as well as new organizations, such as fintech and digital banks capable of providing financial services to millions. Additionally, the surge of cryptocurrencies supported by decentralized ledger technologies gave way to a new financial paradigm, namely decentralized finance, with powerful characteristics to leapfrog the unbanked and insert them into open financial systems. This research adds to the study of decentralized finance as a gateway for financial inclusion in the developing world providing a comparative analysis of historic cases in which financial innovations had different results depending on institutional and socioeconomic considerations that shape behavior and influence the impact of financial inclusion.
Driven by technology innovation and digital change, the US financial environment is going through a significant transition. The exceptional accessibility and simplicity of digital finance—which encompasses fintech, bitcoin, and mobile banking—benefits both consumers and businesses. However, regulatory frameworks, consumer behavior, and cybersecurity risks come along with this paradigm shift. Through the integration of contemporary literature studies and empirical data, this study aims to present a comprehensive picture of the digital financial landscape in the United States. We evaluate the revolutionary impact of digital technologies on financial services, client preferences, emerging risks like decentralized finance (DeFi) and cybersecurity vulnerabilities, and regulatory innovations and limits using a systematic evaluation approach. Our findings underscore the multifaceted nature of digital banking and point to important trends, drivers, and stakeholder implications. We suggest enhancing regulatory coordination, fostering financial education and awareness, putting robust cybersecurity measures in place, supporting regulatory innovation, fortifying consumer protection measures, and keeping an eye on and responding to emerging risks to address the opportunities and challenges that have been identified. By putting these suggestions into practice, regulators, legislators, and business stakeholders will be able to handle the complexities of the digital banking ecosystem and fully utilize its potential to promote innovation, financial inclusion, and economic growth.
This study examined the money transfer service, mobile loan service, remittance service and how they contribute to the financial inclusion in Musanze district. The study used a descriptive research design to investigate the relationship between digital financial services and financial inclusion Musanze district, Rwanda. This study adopted a mixed approach, as both quantitative and qualitative techniques were used. The population of the study were adult inhabitants of Musanze District, i.e., those with a national identity card, which is a prerequisite for opening a mobile money account. The primary data were collected using questionnaire and interview guides. The questionnaire findings on the first specific objective gave a mean score was 4.04 (std = 1.069) indicating that the respondents highly agreed that money transfer services contribute to financial inclusion and with very low divergence. On the second objective, the overall mean was 3.94 (std=1.00) showing that there was general agreement among respondents on the fact that mobile loan services contribute to financial inclusion. On the third specific objective, an overall mean of 4.24 (std=0.82) was obtained indicating that most of the respondents agreed that remittance services contribute to financial inclusion. The regression was fairly fit with an R2 = 0.597, implying that digital financial services, namely money transfer services, mobile loan services, and remittance services increase financial inclusion in Rwanda by 59.7%. As per the ANOVA analysis, the regression model (F = 186.821, p = 0.001) was proved to be statistically significant since the p-value was less than the 5% threshold. All the three null hypotheses were rejected at 5% level of significance. This implied that money transfer services, mobile loan services, and remittance services significantly contribute to financial inclusion in Rwanda. From the interview session, the respondents unanimously agreed that digital financial services (DFS) like money transfer, mobile loans, and remittances are the primary drivers of financial inclusion in Musanze District by decentralizing services and creating jobs for agents. Most emphasized the role of mobile money and banking agents in bringing services closer, increasing usage through easy access, although income was cited as a key factor for transacting. Financial literacy and low, seasonal incomes from agriculture were identified as major barriers, with people reluctant to join formal finance due to a cash-at-home mindset and financial inactivity when income is low. The study recommends that mobile financial service providers should enhance the security of their platforms and improve customer support to attract more users. The study also recommends that the regulatory bodies to provide guidelines and rules to be used in the use of telephones as tools for financial services. Keywords: Contribution, digital, financial services and financial inclusion, Rwanda
Since the Global Financial Crisis (GFC) in 2007 two important outcomes have affected banking development. The first refers to the launching of Bitcoin and distributed ledger technology that opened the doors to decentralized finance (DeFi), and thereby threatening to disintermediate banks in the banking value chain, while the second one relates to the increased visibility of the phenomenon of sustainable banking that highlights the importance of environmental awareness, social responsibility, transparency, and accountability. Even though these two outcomes may seem to lead banking development into divergent pathways, one might ask can the fintech companies contribute to building a more inclusive, resilient, and sustainable banking system. The aim of this research paper is to explore the intersection of fintech and sustainable banking by analyzing its purpose, fintech development and its role as a facilitator in the sustainable banking and, finally, by finding the intersection between them.
Abstract The goal of this study on the legal framework for virtual assets in Mauritius is to find any gaps in the legislation, come up with solutions to close such gaps, and improve the existing legal framework for virtual assets. The article concentrates on the provisions of the Virtual Asset and Initial Token Offering Services ( vaitos ) Act 2021, which seeks to control the market for cryptocurrencies and other virtual assets in Mauritius. Selected countries were studied in order to discover the various techniques used with regard to regulatory challenges. Although Mauritius passed a comprehensive law on the issue, we find that the Financial Services Commission, the country’s regulatory authority, lacks the necessary tools to effectively oversee cryptocurrencies and other virtual assets. The integration of virtual asset services with African nations is also lacking.
Max Beinke, Jan Heinrich Beinke, Eduard Anton, Frank Teuteberg
Abstract Recently, the looming bankruptcy of Credit Suisse, which ultimately led to its merger with UBS, has intensified the discussion surrounding the need for more transparent and democratic financial markets. Decentralized finance (DeFi) represents a departure from traditional financial intermediation by leveraging blockchain technology and smart contracts. Despite its growing importance, limited research has been conducted on the business models of DeFi services. This study aims to address this gap by examining the business models of various DeFi services, identifying key drivers of innovation, differentiation, and value creation. Using a rigorous taxonomy development framework, we identify 12 dimensions and 47 characteristics that operationalize business models in DeFi. Our findings contribute to a better understanding of the transformation of financial services through blockchain technology and provide valuable insights for DeFi entrepreneurs, investors, and policymakers.
Blockchain can be used to improve microfinance management in several ways. This can help reduce the costs of microfinance by eliminating the need for intermediaries such as banks and credit bureaus and increase transparency in the microfinance sector by making all transactions visible to everyone. stakeholders. This can help reduce fraud and build trust. Blockchain technology can also be used to improve access to finance for people living in poverty by making it easier for them to obtain loans and other financial services and to increase financial inclusion by providing people living in poverty a safe and reliable way to obtain funds, store and manage their money. Indeed, the blockchain is a secure, transparent and immutable distributed ledger. This means that data stored on a blockchain cannot be modified or deleted and is accessible to all network participants. Blockchain technology has the potential to revolutionize a wide range of industries, including finance, supply chain management, healthcare and voting. This makes blockchain a valuable tool for microfinance institutions, as it can help improve the efficiency and accuracy of their data management processes. For example, blockchain can be used to track loan repayments, manage customer information, and prevent fraud. This study aims to demonstrate that blockchain has the potential to revolutionize the microfinance sector by improving the transparency and accountability of microfinance institutions, given that all transactions on a blockchain are public and cannot be modified. This means borrowers and lenders can be confident that their transactions are recorded accurately and that there is no risk of fraud. Overall, blockchain technology has the potential to significantly improve information management in microfinance institutions. This can lead to increased efficiency, accuracy, transparency and accountability in microcredit management. Keywords: Microcredit, blockchain, security, transparency, decentralization, credit.
Equity crowdfunding via the Internet is a new channel of raising fund for startups. It features low walls to entry, low cost, and high speed, and therefore encourages invention. In recent times, equity crowdfunding in India has endured some developments. still, some problems remain unsolved in practice. Blockchain is a decentralized and distributed tally technology to ensure data security, transparency, and integrity. Because it cannot be tampered, the technology is supposed to have great eventuality in the finance assiduity. This study examines current problems in the practice of equity crowdfunding in India. Grounded on the analysis of the characteristics of blockchain technology, this study further explores its practical operations in crowdfunding. Blockchain technology is a secure, effective, low- cost result for the enrolment of stocks and shares of a establishment financed by crowdfunding. First, a vendor initiates a request for ensuring a product, then the interested lenders participate in a project Key Words: Blockchain, crowdfunding, Fundraising, Project Registration and Transaction, Voting of Shareholders, Ethereum, Smart Contracts
The intricate interplay between the realm of Decentralized Finance (DeFi) and the well-established domain of traditional banking constitutes a captivating narrative of convergence, divergence, and potential collaboration. This paper embarks on a comprehensive exploration of the multifaceted interactions between these two financial landscapes, seeking to decipher whether they are destined for convergence or if their collision is inevitable. Decentralized Finance, or DeFi, represents a paradigm shift in the financial sector. Empowered by blockchain technology and smart contracts, DeFi platforms offer innovative solutions for lending, borrowing, trading, and more. Meanwhile, traditional banking, with its longstanding institutional framework, has served as the cornerstone of financial services. However, the emergence of DeFi has challenged the established norms, questioning the necessity of intermediaries and centralization. The convergence hypothesis suggests a future where DeFi and traditional banking coalesce, fusing the innovation and accessibility of DeFi with the stability and regulatory oversight of traditional banking. This path envisions traditional financial institutions adopting DeFi technologies to streamline operations and enhance efficiency, ultimately benefiting consumers with faster, cheaper, and more inclusive services. Conversely, the collision theory posits that the inherent differences between DeFi and traditional banking—decentralization vs. centralization, innovation vs. regulation—will lead to clashes that hinder harmonious integration. Regulatory challenges, legal uncertainties surrounding smart contracts, and the potential for market disruptions loom as potential roadblocks to a seamless union. Amid these dynamics, the concept of a symbiotic relationship emerges—a scenario where DeFi and traditional banking coexist while maintaining their distinct attributes. This balance allows for innovation to thrive within the parameters of regulatory compliance, offering consumers a spectrum of financial services catering to diverse preferences. In conclusion, the relationship between DeFi and traditional banking is neither singularly convergent nor inevitably divergent. Rather, it navigates a spectrum of possibilities, shaped by regulatory developments, technological advancements, and market demands. As the financial landscape continues to evolve, this exploration aims to shed light on the potential trajectories of these two worlds and the nuanced interactions that will shape the future of finance.
Cryptocurrency is a growing fintech trend frequently encountered in various moderneconomic activities. Therefore, this research aimed to provide knowledge and understanding of cryptocurrency, particularly from the perspective of Islamic finance and economics using secondary data obtained from literature. As a digital financial transaction system, cryptocurrency fundamentally uses relatively new technology. However, the legal nature still needs further examination without constituting a form of violation. In Indonesia, the government has yet to adopt a definitive stance on the presence of cryptocurrency, thereby permitting its usage. The results showed that cryptocurrency investment includes substantially greater risk compared to others due to the inherent challenge of predicting the value. From the perspective of Islamic finance and economics, the transactions are considered to lack clarity in terms of quality and quantity, containing elements of uncertainty (gharar). Moreover, the concept of Bitcoin as a transaction tool is forbidden (haram) by the Indonesian Ulama Council since the project contains uncertainty and does not comply with the existing regulations. The implications of the research emphasize the necessity ofavoiding dubious activities, such as cryptocurrency, as well as transactions leading to higher harm (madharat) compared to benefits, particularly from the perspective of Islamic finance and economics.