Innovation, regulation and sustainable finance: the future of financial services

With an innovative proposal adapted to the digital finance industry, Uanataca will once again participate as an official exhibitor at the next session of the Paris Fintech Forum, the largest international digital finance and Fintech event.

On 30 June and 1 July, the current affairs and future of the financial sector will be the central themes of the event, with two sessions which will once again bring together a select group of experts from the financial sector and renowned international speakers, including Craig Vosburg, Chief Product Officer of Mastercard, Kosta Peric, Deputy Director, Financial Services for the Poor at the Bill & Melinda Gates Foundation, François Villeroy de Galhau, Governor at the Banque de France, among others. 

The debate on the evolution of the world of finance through innovation, financial regulation and the development of sustainable finance will be present at this new event. Therefore, in this post we address these three aspects that will undoubtedly mark the future of financial services. 

Europe, a global pioneer in financial regulation

More than a decade after the financial crisis, the regulatory landscape is transforming. Regulation of the financial sector has increased significantly, improving the stability and security of the financial industry. Undoubtedly, the abundant regulatory changes around the world play a key role and the success of the sector depends to a large extent on their development and enforcement.

In this respect, the EU has taken an active stance to promote the development of the financial market and to ensure the protection of the different players. There are currently four main European regulations that provide a favourable scenario for achieving the new banking model, with more personalised, open and inclusive banking: the eIDAS Regulation, the AML5 Directive, the General Data Protection Regulation (GDPR) and the new PSD2 Directive.

On the one hand, the eIDAS regulation, together with the new AML5 directive for the prevention of money laundering and terrorist financing, has led to the creation of the concept of the European Digital Single Market, which means access to 508 million European consumers and a radical change for the financial and banking industry.

As for the PSD2 Directive, it reinforces the security of online transactions in Europe, as well as opening up and regulating the electronic payments market, increasing competition and encouraging innovation.

>> Related post: PSD2 and technology: the revolution in means of payment

With regulations such as PSD2, AML5, eIDAS or GDPR, Europe is being a global pioneer in terms of financial regulation, fostering a breakthrough in the financial industry and ensuring a promising future. 

Sustainable finance ecosystem grows due to regulation and market digitisation

Environmental, social and governance (ESG) issues have gained traction in the capital markets over the past few years, largely driven by a boom in demand and market practices. 

"Sustainable investing was marked ten years ago by exclusion, but strategies have been shifting towards the inclusion of ESG criteria in portfolio construction. In a decade, the sector has matured on both the supply and demand sides with parallel encouragement from the regulator, while the individual investor is beginning to worry about the type of company or project to which his money is being allocated". 
Joaquín Garralda, Chairman of Spainsif

If anything has boosted sustainable finance in the world, it is regulation. For example, the definition of the European Commission's Sustainable Finance Action Plan in 2018 is a roadmap on the actions to be taken to achieve a green, responsible, safe and transparent financial model. 

These types of initiatives have contributed to the creation of an ecosystem conducive to developing sustainable or ESG-based businesses, where digitalisation becomes the real catalyst for mobilising funds for sustainable development. The use of big data, artificial intelligence and financial inclusion through digital identification are the main areas where digitalisation is key for banking to drive sustainable development.

Of the three pillars mentioned, the proper development of digital identification enables the creation of economic value by fostering greater inclusion and with it, greater access to goods and services, according to the study Digital identification: a key to inclusive growth. In countries such as Spain, measures such as the publication of the Ministerial Order ETD/465/2021, which recognises the issuance of digital certificates through video identification, will improve access to a secure and accessible digital identity from geographically distant locations or with mobility restrictions such as those experienced during the pandemic.

Technological innovation as a basis for leading change in the financial sector

The financial sector is undergoing major transformations driven by unstoppable technological innovation, with digital financial products and services that are important to the day-to-day lives of both customers and the company.

New technologies have given the financial industry the opportunity to improve its efficiency and strategic influence.  Whatever its strategy, it is of utmost importance for banks to incorporate innovative tools to provide new responses to consumer needs and to identify new business opportunities, such as e-signatures. 

A result of electronic signatures, institutions ensure that their customers can contract and make use of them easily, securely, immediately and from any device. It is also very useful for increasing the productivity and efficiency of any entity. 

In order to meet the needs of the financial industry and the regulatory compliance to which it is subject, Uanataca provides services that guarantee that its qualified signature solutions are issued in accordance with the European eIDAS Regulation, complying with all the necessary requirements to guarantee their legality and evidentiary effectiveness.

Main advantages of Uanataca's solutions for the financial industry

At the forefront of technology, Uanataca has created the first system that allows the financial industry to interact with its customers remotely using qualified electronic signatures, with reversal of the burden of proof, 100% digital and from any device connected to the internet. These are just some of the main advantages of its solutions:

- Full integration with business applications, with no transitions that negatively affect the user experience.

- Self-contained evidence in the signed documents, avoiding the generation of a new document each time it is signed and its custody.

ONE-SHOT SIGNATURE AND BULK SIGNATURE: THE SOLUTIONS ADAPTED FOR FINTECH

The One-Shot-Signature is key to the definitive transition to a fully online model of banking and other financial services. Examples of use include opening bank accounts, signing consumer credit, signing credit terms and conditions, financial products or SEPA mandates, signing up for credit cards or accepting GDPR.  

The Bulk Signature is the solution designed for specific cases in the financial sector, such as the signing of transactions, certificates and electronic certificates. It also adapts perfectly to the signature needs and particularities of consumer credit institutions or financial products.  

📢 ¿ Do you want to discover the advantages of One-Shot Signature or Bulk Signature for Fintech? Request a free personalized demo.