Balancing Innovation and Compliance in Fintech AI

EasyChair Preprint no. 13366

Abstract

The fintech industry has been at the forefront of adopting artificial intelligence (AI) technologies to drive innovation and improve customer experiences. However, the highly regulated nature of the financial sector poses unique challenges in ensuring that these AI-powered solutions adhere to strict compliance requirements.

This paper examines the delicate balance between fostering innovation and maintaining regulatory compliance in the context of fintech AI. It explores the key regulatory frameworks, such as data privacy, algorithmic bias, and model governance, that fintech firms must navigate. The paper also highlights the technical and organizational strategies that fintech companies can employ to build AI systems that are both cutting-edge and compliant.

Through case studies and industry insights, the paper demonstrates how fintech firms can leverage AI to enhance their products and services while proactively addressing regulatory concerns. It emphasizes the importance of cross-functional collaboration, transparent decision-making, and continuous monitoring to strike the right balance between innovation and compliance.

Keyphrases: Artificial Intelligence (AI), Compliance, data privacy, Fintech, Innovation, Regulatory Landscape

@Booklet{EasyChair:13366,
  author = {Edwin Frank},
  title = {Balancing Innovation and Compliance in Fintech AI},
  howpublished = {EasyChair Preprint no. 13366},

  year = {EasyChair, 2024}}