Search Results

You are looking at 1 - 10 of 11 items for :

  • "social media company" x
Clear All
International Monetary Fund. Communications Department

.” “Technology knows no borders: what is home, what is host?” The remit of central banks will grow, and with it, perhaps, public scrutiny and political pressures. Independence—at least to set monetary policy—will need further defenses and require even clearer communication. We may also see a shift in regulatory practices. Traditionally, regulators have focused on overseeing well-defined entities. But as new service providers come on stream in new shapes and forms, fitting these into buckets may not be so easy. Think of a social media company that is offering payments

International Monetary Fund. Monetary and Capital Markets Department

. A large share of the Korean population uses applications offered by non-bank service providers, most of which are major Korean technology companies, to more conveniently make payments via these services (see Table 2 ). Table 2. Korea: Top-Rated Easy Payment Services Company (Industry) Name of service Launch 1. Kakao (online social media company, Korea’s leading instant messaging application) Kakao Pay Sep. 2014 2. SK Planet (internet platform company, including e-commerce) SK Pay (formerly Syrup Pay) Apr. 2015 3

International Monetary Fund. Communications Department

Abstract

Address at the Bank of England Twentieth Anniversary Conference London, U.K. September 29, 2017 International Monetary Fund Managing Director Christine Lagarde delivered this address at the Bank of England conference, “Independence—20 Years On” in London, U.K., on September 29, 2017.

International Monetary Fund

banks will grow, and with it, perhaps, public scrutiny and political pressures. Independence—at least to set monetary policy—will need further defenses and require even clearer communication. We may also see a shift in regulatory practices. Traditionally, regulators have focused on overseeing well-defined entities. But as new service providers come on stream in new shapes and forms, fitting these into buckets may not be so easy. Think of a social media company that is offering payments services without managing an active balance sheet. What label should we stick on

Mr. Tobias Adrian and Mr. Tommaso Mancini Griffoli
This paper marks the launch of a new IMF series, Fintech Notes. Building on years of IMF staff work, it will explore pressing topics in the digital economy and be issued periodically. The series will carry work by IMF staff and will seek to provide insight into the intersection of technology and the global economy. The Rise of Digital Money analyses how technology companies are stepping up competition to large banks and credit card companies. Digital forms of money are increasingly in the wallets of consumers as well as in the minds of policymakers. Cash and bank deposits are battling with so-called e-money, electronically stored monetary value denominated in, and pegged to, a currency like the euro or the dollar. This paper identifies the benefits and risks and highlights regulatory issues that are likely to emerge with a broader adoption of stablecoins. The paper also highlights the risks associated with e-money: potential creation of new monopolies; threats to weaker currencies; concerns about consumer protection and financial stability; and the risk of fostering illegal activities, among others.
Mr. Tobias Adrian and Mr. Tommaso Mancini Griffoli

—a useful feature for remittances or philanthropic donations. Transaction costs : Transfers in e-money are nearly costless and immediate, and thus are often more attractive than card payments or bank-to-bank transfers especially across borders. As a result, people might even agree to sell their car for an e-money payment as the funds would immediately show up in their account, without any settlement lag and corresponding risks. Trust : In some countries where e-money is taking off, users trust telecommunications and social media companies more than banks. 12 Network

Mr. Yan Carriere-Swallow and Mr. Vikram Haksar

jurisdictions—where portability and interoperability are mandated together to encourage competition among banks and nonbank providers of payment, saving, and lending services (see Box 1). An important feature of many current data markets is that they occur on multisided platforms that can solve coordination problems between agents that do not interact directly ( Evans and Schmalensee 2014 ; Rochet and Tirole 2006 ). Consider a large social media company that offers its platform at no direct charge to users but collects data on user activity that it sells to advertisers at

International Monetary Fund. Monetary and Capital Markets Department
Technological innovation in Korea holds great potential for the deepening of its financial system, that could lead to an increase of product offerings and lowering of transaction costs. Korea’s financial sector legal framework, particularly the recently announced open banking initiative and anticipated amendments to the legal frameworks for electronic financial transactions and use of personal data, will play a key role in shaping the direction of innovation and competition in the financial sector. The already highly modernized and digitally connected state of the Korean financial sector will amplify the impact of these changes to market structure and competition. Korea’s fintech experience illustrates that even within an already highly technologically advanced, efficient, and inclusive financial sector, significant benefits can still be reaped from innovation in financial services.
Mr. Dong He, Mr. Ross B Leckow, Mr. V. Haksar, Mr. Tommaso Mancini Griffoli, Nigel Jenkinson, Ms. Mikari Kashima, Mr. Tanai Khiaonarong, Ms. Celine Rochon, and Hervé Tourpe
A new wave of technological innovations, often called “fintech,” is accelerating change in the financial sector. What impact might fintech have on financial services, and how should regulation respond? This paper sets out an economic framework for thinking through the channels by which fintech might provide solutions that respond to consumer needs for trust, security, privacy, and better services, change the competitive landscape, and affect regulation. It combines a broad discussion of trends across financial services with a focus on cross-border payments and especially the impact of distributed ledger technology. Overall, the paper finds that boundaries among different types of service providers are blurring; barriers to entry are changing; and improvements in cross-border payments are likely. It argues that regulatory authorities need to balance carefully efficiency and stability trade-offs in the face of rapid changes, and ensure that trust is maintained in an evolving financial system. It also highlights the importance of international cooperation.