A 2018 Fintech Action Plan released on Thursday mentioned that the European Commission is currently planning to construct a new Fintech Lab starting in Q2 of 2018.
With this move, the European union want to encourage people to work in new technology sectors such as blockchain and artificial intelligence because they see the potential theses innovations have to offer.
The Vice-President responsible for Financial Stability, Financial Services and Capital Markets Union, Valdis Dombrovskis mentioned in a statement,
“To compete globally, Europe’s innovative companies need access to capital, space to experiment and scale to grow. This is the premise for our FinTech Action Plan. An EU crowdfunding licence would help crowdfunding platforms scale up in Europe. It will help them match investors and companies from all over the EU, giving more opportunities for firms and entrepreneurs to pitch their ideas to a wider base of funders.”
The main purpose of this decision is to increase the “regulatory and supervisory capacity and knowledge” regarding new technologies such as blockchain.
The Commissioner for the Digital Economy and Society, Mariya Gabriel mentioned in a statement,
“Technologies like blockchain can be game changers for financial services and beyond. We need to build an enabling framework to let innovation flourish, while managing risks and protecting consumers.”
The Fintech Lab wants people to work in new technologies like blockchain in a legal and regulated environment. The blockchain technology has raised many issues that have to be clarified and verified such as Initial Coin Offerings (ICOs) and smart contracts, which the Fintech Lab is planning to execute.
Since there has been fraudulent activities in the cryptocurrency market, companies and entities want to make sure the cryptocurrency market is regulated to avoid these scams. Recently, the giant social media company Twitter announced it would crackdown on cryptocurrency frauds.