A new report by analyst Karen Shaw Petrou argues that fintech firms pose just as many risks as they do solutions; she says if these firms are not properly regulated they can form bias, threats to data privacy, security violations, misleading marketing and even systemic risk; she says the lessons of the past should lead to better regulation so consumers are protected before a crisis occurs; “I am all for technology,” Petrou said to American Banker. “But I spent a lot of time when I was a student at MIT studying tech policy, and there is one after another example of seemingly promising technologies with terrible, unintended consequences.”; she believes the solution starts with Congress, instead of monitoring situations they need to be more proactive to ensure consumers are protected. Source.
