Auckland FinTech Lawyer: How to Stay on the Right Side of the Law
Any area of business needs legal advice but especially those involved in fast-moving technology. This is why if your business is involved in financial and technological industries, it is a good idea to consult an Auckland fintech lawyer.
The FinTech sector has been growing rapidly in recent years, as new companies have used technology to offer innovative financial products and services. It describes a new and emerging financial services sector that uses technology to provide financial services to consumers and businesses. These include mobile payments, peer-to-peer lending, crowdfunding, and digital currencies.
FinTech companies are typically start-ups or small businesses that are using technology to solve problems in the financial sector. They are often located in Silicon Valley or other technology hubs around the world but New Zealand, and Auckland in particular, is seeing a good spurt of growth in this aspect.
What is FinTech?
FinTech, or financial technology, is a broad term that covers a range of services and products. From mobile banking apps to bitcoin, the industry is growing at a rapid pace. With this growth comes new challenges, especially when it comes to regulation. As a FinTech company, it’s important to stay up-to-date on the latest changes in the law. Here are some tips on how to do just that.
Protecting Your Company
Any enterprise needs protection. Commercial attacks can come from many directions including competitors, dissatisfied customers, and government regulators. Therefore, in order to protect your company, the three following comments can help.
1. Keep up with the latest FinTech regulations
The FinTech industry is rapidly growing, and that means there are new regulations being put in place all the time. Make sure you’re aware of the latest changes so you can stay on the right side of the law.
2. Familiarise yourself with the risks associated with FinTech
Just like any other industry, the FinTech industry comes with risks. Make sure you’re familiar with the risks involved in the sector so you can take appropriate steps to mitigate them.
3. Use legal resources to help you stay on track. An Auckland fintech lawyer can help in this regard.
Examples of FinTech Applications
As the term is relatively new, some people might wonder what does FinTech cover. Here are a few simple examples of typical applications in the financial technology sector.
1. Mobile banking apps that allow customers to check their account balances, transfer money, and pay bills
2. Online personal finance tools that help users track their spending, budget, and investment goals
3. Cryptocurrency exchanges that allow users to buy and sell digital currencies like Bitcoin
4. Blockchain-based platforms that streamline the process of sending and receiving international payments
5. Peer-to-peer lending platforms that connect borrowers with lenders
6. Financial data analytics tools that help businesses make better decisions about pricing, risk management, and marketing strategies
FinTech Regulation in New Zealand
Some people might think that because FinTech and blockchain are so new, and almost like the wild west, they are free to do whatever they want. However, the FinTech sector in New Zealand is regulated by various sectors of government. You can find more details here.
To protect your enterprise from any potential future legal problems, talk to an Auckland fintech lawyer. McVeagh Fleming is a central Auckland law firm, and they can help you with your fintech legal queries.