The traditional financial sector is in a process of unprecedented changes. Among them we find improvements in security standards and management of new threats, such as cybersecurity; the entry of new competitors into the sector such as the GAFA group (Google, Apple, Facebook and Amazon), Tencent, digital banking or Fintech companies; the deregulation of a part of the activities related to banking, which entails the appearance of shadow banking companies; or the rise of new consumption patterns, where services adapted to the needs of consumers are demanded in an individualized way and which are achieved thanks to Big Data.

Publisher: UNED Year of publication: 2023 Available at Editorial UNED: here. Available at Unebook: here.

Directly or indirectly, this change is due to the digital revolution we are experiencing, through Information and Communication Technologies (ICT), which act as a determining factor, transforming the financial sector at a level and speed never seen before. These technologies have allowed financial institutions to perfect vital aspects of their business model, improving management and optimizing risks, as well as increasing their knowledge and ability to predict financial changes or fraudulent activities.

Ángel Sánchez Aristi, Adrián Mendieta Aragón and Raquel Arguedas Sanz publish The financial sector in the digital age. Data, digitization and decentralization: the 3D of the new banking. This book structures, simplifies and deciphers this new scenario, allowing to draw the new dimension that the sector will take in the coming years and explaining how data, digitization and decentralization, which have been summarized as the 3D of the new banking, are driving this new conception of the financial sector.

The book interprets topics as current as the new business models, based on the monetization of the use of data; what is the omnichannel user experience; or what Fintech companies are and how they work, those that combine finance and technology, to offer a wide variety of activities ranging from wealth management, crowdfunding, means of payment and traditional banking, to cryptocurrencies and blockchain, some of these being well-known companies such as PayPal, Ant Financial (Alibaba’s payment platform) or Facebook (which since 2016 already has authorization for the issuance and payment of electronic money).

The topics dedicated to collaborative financial economy models and blockchain technology are especially interesting. In the collaborative economy, the power of connection between people through the Internet is used to facilitate direct exchanges between a much greater variety of agents than in the traditional economy. This has turned collective fundraising (crowdfunding) and financing for projects by small investors (crowdlending) into a true phenomenon of democratization of finance, which the authors describe and analyze, in its different types, characteristics, phases and regulatory systems, illustrating them through real cases.

For its part, although blockchain technology is known worldwide for being the basis of operation of cryptocurrencies, since it was born in the creation of BitCoin, its application possibilities are not so, especially with regard to the decentralization of the industry. financial. Among its many applications, the authors highlight its use in banking, cybersecurity, payment gateways, smart contracts, international transactions, international trade financing, or digital identities.

This will also entail the development of different international regulatory initiatives related to the application of Blockchain technology in the financial sector, where the European Union has already made great progress, but which, according to the authors, will require important collaboration and coordination between all countries. , to guarantee the formulation of consistent rules between the different international legal frameworks, which avoid the appearance of possible gaps or regulatory overlaps.

This work is published at a particularly relevant financial moment for Fintech companies, it also includes the different aspects related to the sector, and manages to analyze the digital transformation in a way that is accessible to almost anyone who wants to know a little more about how the technological revolution is expanding and diversifying the financial world.

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