Liechtenstein’s decision-makers and experts discuss digital trends in the financial industry and their legal implications. Join the debate on September 17th from 09:00 AM to 05:30 PM at Liechtenstein University.
Liechtenstein University is organizing an event called “Digitization in Finance and Law.” Politicians, corporate leaders, and sector specialists will discuss the opportunities and threats of the digital revolution within the financial industry.
Among others, Prince Michael von und zu Liechtenstein, Prime Minister Adrian Hasler, and several academic representatives and legal experts will participate in the event. You can find a complete list of event speakers here.
The event is targeting an audience of banking and trading professionals, fintechs, lawyers, custody providers, regulators, and academics in the area of finance, law, and digitalization. The entrance fee is CHF 690 per person, and participants can register here until 10th September 2019.
Digital banking has become the new normal
The event comes at a time where digitalization has emerged as a major trend in the financial industry. Banks are increasingly facing competition from non-banks that take away their market share. Digital technologies have already started to significantly change corporate and private lending, wealth management, and private banking.
Providers within the industry are rethinking the playbook and customers increasingly demand digital experiences and digital products. Digital applications are not only offered but also expected. Who would nowadays open a bank account that doesn’t provide online and mobile banking?
Liechtenstein to become a digital financial hub
Liechtenstein has set out to become a frontrunner of financial industry digitalization. Digital technologies form a vital part of the government’s “Financial Center Strategy” to strengthen the attractiveness of Liechtenstein as an international finance hub.
When announcing the strategy in March 2019, Prime Minister Adrian Hasler said, “Liechtenstein today offers an innovative and diversified financial services sector with a strong international network. We intend to further strengthen that sector and its advantages.”
Current regulatory frameworks don’t suit digital products
Technological innovations such as Blockchain, Artificial Intelligence (AI), Robotics, or Cloud Computing offer new revenue opportunities, but also lead to legal challenges, in particular in the fields of data privacy and cybersecurity.
As the banking industry is reinventing itself, legal and regulatory challenges are one of the biggest roadblocks.
The financial industry is regulated by a stringent framework. Banks are now competing with new competitors who operate under different conditions. Many fintechs don’t need a banking license and don’t have to adhere to strict banking laws.
For example, the implementation of Cloud Computing, which is an essential element for any digital company, has so far been rather slow in banks due to complex regulations.
Therefore, the main challenge of regulators and financial industry players over the next years will be to develop a regulatory framework, that responds to the requirements of digital products, stimulates competition and protects the consumers’ interests. The Liechtenstein government has pioneered this sort of regulation with its Blockchain Act, which aims at creating the legal foundation for a functioning and integrated token economy.
Liechtenstein has a particular focus on Blockchain technology, which it perceives as a key driver of financial industry innovation. Still, digitalization is more than just Blockchain. It involves a whole range of new technologies that each bring their very own set of challenges.
Join the debate on September 17th from 09:00 AM to 05:30 PM at Liechtenstein University to learn more.