Needs of ethic in FinTech

We have entered into the power stage of the technology revolution, technology transformed our lives from every aspect, for example, genetic technology has wide applications in foods and medicine, and financial technology changes the way we pay.  According to James in “Why we need better ethics for emerging technologies”, when we talk about technology revolution, we need to think about the social impact. As he said, “Without a significant social impact from the overall set of these devices, the revolution has not yet occurred.” However, when new technology comes, there are some policy vacuums that new policies are needed. James mentioned that when Wi-Fi became available to the public, “wardriving” also developed in which people try to connect to other’s networks. There is no policy for private Wi-Fi connections. Furthermore, it is complex to define the issue. 

James’s model in technology revolutions applies to Financial Technology. Alipay is an online payment platform founded in China. It became the world’s largest mobile payment platform in 2013. Alipay changes payment in China. People do not need to use credit cards for online and offline shopping. All you need is to create your own account show the QR code when checking out. The issue is the APP makes the personal information of the customers and merchants much more accessible. There is no policy exist to protect users’ information. On the other hand, Alipay explores other functions in the APP. People can lend money, make investments and earn interest rates for the money they kept in Alipay. It now functions as a bank but it does not have a full license as a bank. As the FinTech start to change our life, we need to think about new policies that can protect users and some legalization of the FinTech company.