The financial technology industry is about to get a long, hard look from regulators.
The Treasury Department's Office of the Comptroller of the Currency is considering new regulations for banks and fintech companies, in light of how digital disruption is changing the financial services industry.
"While banks continue to innovate, rapid and dramatic advances in financial technology are beginning to disrupt the way traditional banks do business," Thomas Curry, comptroller of the currency, said in a statement that accompanied the Treasury report. "Banks and regulators must strike the right balance between risk and innovation."
The agency has set a deadline of May 31 for comments before it moves forward in developing a framework to update financial technology regulations. Now, as funding for companies developing mobile technology and displacing banks has hit another new peak, the implications of the OCC's announcement will reach from Wall Street to Silicon Valley.