Skip to main content Accessibility help

We use cookies to distinguish you from other users and to provide you with a better experience on our websites. Close this message to accept cookies or find out how to manage your cookie settings.

Close cookie message
×
Hostname: page-component-7479d7b7d-qlrfm Total loading time: 0 Render date: 2024-07-11T01:26:53.303Z Has data issue: false hasContentIssue false

19 - The Challenge of Scale

Addressing Concentration and Dominance in Digital Finance

from Part IV - From FinTech to TechFin to BigTech to FinTech 4.0

Published online by Cambridge University Press:  09 November 2023

Ross P. Buckley ,
Douglas W. Arner  and
Dirk A. Zetzsche
Ross P. Buckley
Affiliation:
University of New South Wales, Sydney
Douglas W. Arner
Affiliation:
The University of Hong Kong
Dirk A. Zetzsche
Affiliation:
Université du Luxembourg
Get access

Summary

The economies of scope and scale of finance combined with the network effects of data and technology create benefits and pose risks toccompetition within financial markets. The same FinTech economies that reduce costs and increase efficiencies often contribute to decreasing competition in FinTech market segments. This market concentration is at odds with key objectives of financial regulation, including market efficiency, investor/client protection, and systemic risk prevention, and may require regulators to intervene.

Keywords

Economies of ScaleNetwork EffectsCompetitionAntitrust RegulationObjectives of Financial Regulation
Type
Chapter
Information
FinTech
Finance, Technology and Regulation
 , pp. 297 - 310
Publisher: Cambridge University Press
Print publication year: 2023

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Save book to Kindle

To save this book to your Kindle, first ensure coreplatform@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×