RegTech: The Digital Transformation of the Financial Sector

Digital Governance (RegTech) refers to the use of technology to improve the ability of financial institutions to comply with laws and regulatory standards. Following the 2008 financial crisis, there was an increasing need for regulation in the financial sector, which led to the emergence of technologies that use digital data to simplify compliance.

The growing reliance on digital data in the financial sector raised concerns among regulatory bodies about data privacy, which led to the development of specialized regulatory technology. Companies offering RegTech solutions help financial institutions streamline compliance and safeguard data more effectively.

RegTech applications include internal monitoring, data management, fraud prevention, and generating immediate reports. Technologies such as data extraction and loading provide quick and effective solutions to organize data within financial institutions. As the demand for automation increases, companies continue to develop their technologies to meet the growing needs of the market.