STATEMENT OF
the
FEDERAL DEPOSIT INSURANCE CORPORATION
on
“OVERSEEING THE FINTECH REVOLUTION: DOMESTIC AND INTERNATIONAL
PERSPECTIVES ON FINTECH”
before the
TASK FORCE ON FINANCIAL TECHNOLOGY
of the
COMMITTEE ON FINANCIAL SERVICES
U.S. HOUSE OF REPRESENTATIVES
June 25, 2019
2129 Rayburn House Office Building
the
FEDERAL DEPOSIT INSURANCE CORPORATION
on
“OVERSEEING THE FINTECH REVOLUTION: DOMESTIC AND INTERNATIONAL
PERSPECTIVES ON FINTECH”
before the
TASK FORCE ON FINANCIAL TECHNOLOGY
of the
COMMITTEE ON FINANCIAL SERVICES
U.S. HOUSE OF REPRESENTATIVES
June 25, 2019
2129 Rayburn House Office Building
Chairman Lynch, Ranking Member Hill, and members of the Task Force, the FDIC
appreciates the opportunity to submit this statement for the record for your hearing, entitled
“Overseeing the Fintech Revolution: Domestic and International Perspectives on Fintech
Regulation.”
Technological changes in financial services are not new. ATMs and mobile banking are
just two examples of how innovation and technology have transformed access to banking
services and banking itself during our lifetimes. Today, innovation and technology have the
potential to change how banks satisfy the needs of their customers by introducing new financial
products and services, increasing access to affordable financial services, improving the
regulatory and oversight process for banks, and contributing to safety and soundness.
The FDIC supports innovation in the financial services industry. FDIC Chairman Jelena
McWilliams has put the agency at the forefront of this movement with last October’s
announcement of a new organization within the FDIC – the FDIC Tech Lab, or “FDiTech.” The
FDIC is in the process of recruiting a Chief Innovation Officer and laying the legal and
operational foundation for FDiTech.
FDiTech will promote the adoption of innovative and transformative technologies in the
financial services sector, help the FDIC better understand how innovation can contribute to the
expansion of banking services to the unbanked, underbanked, and individuals in underserved
communities as well as promote the adoption of technology that can help community banks
compete in the modern financial market place.
Although FDiTech is just getting started, we have already taken steps to increase
coordination and cooperation with technology firms, our fellow regulators, and the institutions
we oversee. FDiTech will bring a renewed focus to these topics with a mandate to engage banks
appreciates the opportunity to submit this statement for the record for your hearing, entitled
“Overseeing the Fintech Revolution: Domestic and International Perspectives on Fintech
Regulation.”
Technological changes in financial services are not new. ATMs and mobile banking are
just two examples of how innovation and technology have transformed access to banking
services and banking itself during our lifetimes. Today, innovation and technology have the
potential to change how banks satisfy the needs of their customers by introducing new financial
products and services, increasing access to affordable financial services, improving the
regulatory and oversight process for banks, and contributing to safety and soundness.
The FDIC supports innovation in the financial services industry. FDIC Chairman Jelena
McWilliams has put the agency at the forefront of this movement with last October’s
announcement of a new organization within the FDIC – the FDIC Tech Lab, or “FDiTech.” The
FDIC is in the process of recruiting a Chief Innovation Officer and laying the legal and
operational foundation for FDiTech.
FDiTech will promote the adoption of innovative and transformative technologies in the
financial services sector, help the FDIC better understand how innovation can contribute to the
expansion of banking services to the unbanked, underbanked, and individuals in underserved
communities as well as promote the adoption of technology that can help community banks
compete in the modern financial market place.
Although FDiTech is just getting started, we have already taken steps to increase
coordination and cooperation with technology firms, our fellow regulators, and the institutions
we oversee. FDiTech will bring a renewed focus to these topics with a mandate to engage banks