After the financial crisis in 2008 there was a sweeping piece of reform that was designed to stop the next crisis before it began; Dodd-Frank helped provide guardrails for a number of areas in finance to protect the markets from systemic risk along with the creation of the CFPB; the issue regulators now face is can they keep up with the pace of innovation that only seems to be getting faster; “We’ll certainly have organic change. We might have crisis-driven change. But I think what actually is going to happen and is needed is something in the middle,” said Jo Ann Barefoot, a former regulator and congressional staffer, who heads the Alliance for Innovative Regulation, to American Banker; agencies like the OCC, CFPB and FDIC have all created innovation units with the design to help fintechs and banks text new products without the fear of regulatory action; keeping up with change will be an enormous challenge as big tech aims to become more involved in financial services over the coming decade. American Banker
