London Wants to be the Fintech Capital of the World

eToro

In my previous blog I wrote about Tel Aviv’s regulatory challenges in dealing with industry changes. I am delighted to see that the financial regulator in the UK, the FCA has set up an initiative, Project Innovate to help innovative finance companies. Members of Parliament, such as Mark Hoban have challenged fellow politicians, business leaders and regulators to be aware of the challenges of financial disruption. Creative means are necessary in order to help grow digital finance, which is taking place rapidly in London’s backyard. A great portion of the startups in London’s emerging Tech City are finance orientated. eToro is part of the new Finance Innovation (video below check it out!) programme that intends to make London a leader in financial services (we saw this summer the country still sucks at football :)).

30 years ago London established mechanisms and an infrastructure that allowed it to become the world’s banking centre. Our office in the UK is located in Canary Wharf, now London’s financial hub, previously a wasteland. The Finance 2.0 of today is designed to have a positive effect on consumers. It will remove the fees that our burden our lives (like having to pay 8% to change money at the airport!) and will create a frictionless environment in order to deal with our finances. Finance will be in the hands of the individual rather than the middle man. In the long run this individual empowerment can only be a good thing. If it is the regulator’s responsible to protect the consumer, the regulator should embrace these positive changes rather than stifle them.

It is great to see engagement and understanding taking place between the FCA and Fin-Tech startups and established businesses. It is great they have also acknowledged that innovative companies see current regulations as outdated and complex. This acknowledgement will hopefully pave the way for regulatory changes that can allow innovation to flourish.

We hope that this dialogue expands into a blossoming working relationship that will turn London into the world’s fin-tech capital, strengthening the UK’s economy for many years to come.

 

 

 

 

About Yoni Assia

Founder and CEO of Etoro.com
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