Big techs in finance – implications for public policy

Opening remarks & keynote address: Big techs in finance: forging a new regulatory path

Agustín Carstens, General Manager, Bank for International Settlements (BIS)

Session 1: Big techs in financial services – setting the scene

Discussion topics include:

• Big techs in finance – recent developments
• Opportunities for innovation and financial inclusion
• Challenges for the financial sector

Chair: Hyun Song Shin, Economic Adviser and Head of Research, BIS

Panellists:
Sir Jon Cunliffe, Deputy Governor, Bank of England
Otávio Damaso, Deputy Governor, Central Bank of Brazil
Gillian Tett, Chair of the Editorial Board and Editor-at-large of the US, Financial Times
Wei Xiong, Princeton University

Session 2: Big techs and financial connections with banks

Discussion topics include:

• Partnership arrangements between big techs and financial intermediaries
• Stock-take of approaches to address prudential risks with tech firms' partnership with banks
• Licensing requirements and supervisory observations on tech-owned banks
• Approaches used to ring-fence banks from big techs' non-financial activities

Chair: Claudio Borio, Head of Monetary and Economic Department, BIS

Panellists:
Jessica Chew, Deputy Governor, Bank Negara Malaysia
Neil Esho, Secretary General, Basel Committee on Banking Supervision, BIS
Michael Hsu, Acting Comptroller of the Currency
Amit Seru, Professor of Finance, Stanford University and Senior Fellow at Hoover Institution

Keynote address: Digital payments and ecosystems

Jean Tirole, Toulouse School of Economics

Moderator: Hyun Song Shin

Session 3: The role of big techs as providers of critical services to financial institutions

Discussion topics include:

• Regulatory approaches to promote operational resilience and minimise concentration risk
• Evolving regulatory approaches for overseeing systemically important cloud service providers
• Expectations placed on banks that use big tech led public cloud service providers
• Supervisory review challenges of cloud service providers

Chair: Juan Carlos Crisanto, Deputy Chair, Financial Stability Institute (FSI), BIS

Panellists:
Marlene Amstad, Chair, Swiss Financial Market Supervisory Authority FINMA
Marcel Haag, Director, Financial Services and Capital Markets Union, European Commission
Duncan Mackinnon, Executive Director, Supervisory Risk Specialists, Prudential Regulation Authority, United Kingdom
Maria Tsani, Head of Financial Services Public Policy & Regulatory Affairs EMEA, Amazon Web Services

Session 4: Big techs and the crypto world

Discussion topics include:

• Expansion of big techs into crypto and corresponding risks
• Big techs as (potential) issuers of stablecoins - financial, prudential, and competition related issues
• Big techs' potential role as service providers in the crypto ecosystem
• Lessons learned from the regulatory response to Libra

Chair: Cecilia Skingsley, Head of BIS Innovation Hub

Panellists:
Christian Catalini, Co-founder and Chief Strategy Officer, Lightspark and previously, Co-creator of Diem
Nellie Liang, Undersecretary for Domestic Finance, US Treasury
Rupert Schaefer, Chief Executive Director Strategy, Policy and Control, Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)

Keynote address: Big techs in finance: a bildungsroman that is far from over

François Villeroy de Galhau, Governor, Banque de France

Moderator: Agustín Carstens

Session 5: Data governance and competition policy

Discussion topics include:

• Challenges from big tech activities in data protection, data sharing, and portability
• Approaches to address anti-competitive behaviour of big techs including, cross-subsidisation of financial activities, anti-tying, self-preferencing, etc

Chair: Leonardo Gambacorta, Head, Innovation and Digital Economy, BIS

Panellists:
Benoît Coeuré, President of the Autorité de la concurrence, France
Sheldon Mills, Executive Director, Financial Conduct Authority, United Kingdom
Limor Shmerling Magazanik, Managing Director, Israel Tech Policy Institute
Luigi Zingales, Robert C McCormack Distinguished Service Professor of Entrepreneurship and Finance, University of Chicago Booth School of Business

Session 6: Evolving regulatory and supervisory architecture to oversee big techs

Discussion topics include:

• Identifying gaps in the regulatory toolkit
• Determining right mix of entity and activity based regulation
• Responsibilities of home and host supervisors, including the application of group-wide supervision to big techs
• Coordination mechanisms among competition, data, financial stability and prudential authorities
• Merits of developing global regulatory standard for big techs

Chair: Fernando Restoy, Chair, FSI, BIS

Panellists:
Tobias Adrian, Financial Counsellor and Director of the Monetary and Capital Markets Department, International Monetary Fund
José Manuel Campa, Chair, European Banking Authority
Caroline D Pham, Commissioner, Commodity Futures Trading Commission, United States
Changneng Xuan, Deputy Governor, Peoples Bank of China