Development Of Financial Technologies Research Articles

Research on Credit Default Prediction Model Based on TabNet-Stacking.

With the development of financial technology, the traditional experience-based and single-network credit default prediction model can no longer meet the current needs. This manuscript proposes a credit default prediction model based on TabNeT-Stacking. First, use the PyTorch deep learning framework to construct an improved TabNet structure. The multi-population genetic algorithm is used to optimize the Attention Transformer automatic feature selection module. The particle swarm algorithm is used to optimize the hyperparameter selection and achieve automatic parameter search. Finally, Stacking ensemble learning is used, and the improved TabNet is used to extract features. XGBoost (eXtreme Gradient Boosting), LightGBM (Light Gradient Boosting Machine), CatBoost (Category Boosting), KNN (K-NearestNeighbor), and SVM (Support Vector Machine) are selected as the first-layer base learners, and XGBoost is used as the second-layer meta-learner. The experimental results show that compared with original models, the credit default prediction model proposed in this manuscript outperforms the comparison models in terms of accuracy, precision, recall, F1 score, and AUC (Area Under the Curve) of credit default prediction results.

A Study on the Application of Meta-Cosmos Technology in Risk Management of Commercial Banks

In recent years, the meteoric rise of Meta-Cosmos technology has established it as a pivotal component of the digital economy. This amalgamation of cutting-edge technologies—including virtual reality (VR), augmented reality (AR), blockchain, and artificial intelligence—has fundamentally reshaped perceptions of the digital realm. As the cornerstone of the financial system, commercial banks have consistently confronted a dynamic array of challenges in risk management. With the acceleration of digitalization, traditional risk management methods have increasingly revealed their inadequacies, particularly in navigating the complexities of fluctuating market conditions and the escalating threats to cybersecurity. The advent of Meta-Cosmos technology offers commercial banks a novel perspective and innovative tools for risk management. By constructing virtual economic environments, banks can conduct more precise risk assessments and controls, thereby enhancing the scientific rigor and timeliness of their decision-making processes. Nevertheless, the application of Meta-Cosmos technology within the banking sector remains in its exploratory phase, facing challenges related to technological maturity, security, and regulatory compliance. This study aims to examine how Meta-Cosmos technology can be integrated into the risk management frameworks of commercial banks, thereby providing theoretical support and practical guidance for the future development of financial technology.

The Development of Financial Technology, Financial Literacy, and Financial Management Behavior in Generation Z (A Case Study of Economics Students at UIN Maulana Malik Ibrahim Malang)

This study aims to analyze and explore the influence of financial technology development on financial literacy and financial management behavior in generation Z, especially for students at the Faculty of Economics, UIN Maulana Malik Ibrahim Malang with a birth year range of 1997-2012 as many as 100 respondents. This study used a quantitative approach and purposive sampling technique which amounted to 100 qualified respondents. This study used a sample of generation Z at the Faculty of Economics, UIN Maulana Malik Ibrahim Malang and this research was conducted in the period March-August 2024. This research method is SEM (Structural Equation Modeling) analysis with the PLS Partial Least Square (PLS) approach. Hypothesis testing in this research is to understand the relationship between variables. To test the validity and reliability of researchers using the outer model. Hypothesis testing using the inner model. The results showed that financial technology has a significant positive effect on financial literacy and student financial management behavior, financial literacy has a significant positive effect on student financial management behavior and literacy is able to mediate the relationship between financial technology and student financial management behavior.

The Role of Financial Technology in Enhancing the Efficiency of Legal Services

With the rapid development of financial technology (FinTech), its application in the legal service sector is gradually becoming a key force in driving industry innovation. This paper uses both qualitative and quantitative research methods to explore the interaction and synergistic effects of financial technology, regulatory technology (RegTech), and intellectual property protection (IP Protection) in the legal service industry. The study analyzes the current status of financial technology in contract law, compliance checks, and dispute resolution, and evaluates its actual effect on improving the efficiency of legal services. The study found that financial technology has optimized the contract execution process through technologies such as smart contracts and blockchain, improved the level of automation in compliance work, and provided new ways for dispute resolution. Although facing challenges such as technology integration, data security, and legal regulation, these challenges can be effectively controlled through effective risk management and strategic response. The study proposes a series of strategic recommendations, including technological innovation, policy support, education, and training, to promote the collaborative development of financial technology, regulatory technology, and intellectual property protection in the legal service industry. (Beck, R., Bugnion, F., & Pohl, M., 2018) The conclusion of this paper emphasizes the positive role of financial technology in enhancing the efficiency of legal services and points out strategies to cope with challenges, providing valuable insights and suggestions for legal service providers, technology developers, and policy makers to promote the modernization and digital transformation of the legal service industry.

Banking financial technologies: Evolution of development in Russia

Subject. This article examines financial technologies used in the banking sector. Objectives. The article aims to analyze the practices of using financial technologies in the banking sector and determine the areas for their further development. Methods. For the study, I used description and classification, and the methods of cognition, including analysis and induction. Results. The article defines the level of development of financial technologies in Russia, their role in the functioning of the banking sector, the stages of development of banking financial technologies in Russia, and the main trends in the application of technological innovations in the activities of banks. Conclusions and Relevance. Financial technologies represent a huge potential for innovation in the banking sector. The results obtained can be useful for professionals in the field of banking and management, as well as for researchers interested in the impact of innovative technologies on the banking sector.

Digitalization Management in the Corporate Banking Sector of Ukraine

Introduction. Digitalization in trendy banking services requires changing their relationships with corporate clients within the framework of an individual approach to each client in the context of the development of the latest information and communication technologies and Internet marketing. Therefore, improving the business customer service system based on innovative technologies in banks to increase their competitiveness and profitability remains relevant. Aim and tasks. This study aims to examine the trends in banks’ service of corporate clients in the context of the latest financial technology development and to determine the directions for forming a digitalization strategy in corporate banking in Ukraine. Results. The growth of corporate clients in the banking system of Ukraine in 2022-2024 became possible due to the digitalization of management and the implementation of electronic payment systems, which contributed to the growth in the number of open accounts, which increased by 27%, while the growth of remote servicing increased from 78% to 89% of business clients. The top 10 banks in Ukraine account for 75% of the funds in corporate clients’ accounts. Along with high reliability, the clients of these banks have come to value the digital services that banks provide that meet global standards. As a result of the growth in the volume of banking services provided to corporate clients in 2023 using digital technologies, the volume of fee and commission income of the Ukrainian banking system increased by 13% compared to 2022. Conclusions. The banking system of Ukraine is in the process of digital transformation that promotes the transformation of financial institutions into high-tech platforms capable of creating new algorithms for generating profit from digital technologies. Implementing digital transformation in the banking sector increases the number of banks` corporate clients and their satisfaction with banking products and services. This leads to an increase in the efficiency of banking activities and banks’ profitability through increased commission income. The forecasting of commission income of Ukraine’s banking system conducted in this study showed that further introduction of digitalization into corporate banking could contribute to their growth by at least 8% annually.

The Fetters of Financial Neocolonialism in African Countries

African countries are actively involved in the formation of a multipolar world, gradually gaining political and economic independence from European states. Within the framework of the concept of neocolonialism, the main stages of the transformation of relations between former colonies and former colonizers are analyzed. In recent decades, financial dependence, which came to be called financial neocolonialism, has become an increasingly obvious and powerful instrument of economic pressure from metropolitan states. Thus, through transnational corporations and currency unions, European countries, on the one hand, pumped out rent from African countries in the sectors of extraction and primary processing of minerals, monopolized consumer markets, and on the other hand, actually took control of the financial development of many African countries, preventing the formation of financial sovereignty. Such unions primarily include two associations: the West African Economic and Monetary Union (WAEMU) and the Economic Community of Central African States (ECCAS). The development of financial technologies is considered by some researchers as a possible way to escape colonial dependence. However, aware of these risks, European countries are advocating a counter-attack strategy that extends to controlling or limiting the use of financial technologies and cryptocurrency markets in particular. Possible solutions have been proposed to overcome this dependence by strengthening economic ties between African countries and Russia and China. The BRICS+ association, which already includes several African countries, could serve as a basis for all future initiatives.

Pengaruh Persepsi Kepercayaan dan Persepsi Keamanan Terhadap Pelaku Usaha Pada Penggunaan QRIS Sebagai Alat Pembayaran Digital Dalam Persepektif Bisnis Syariah

Along with the development of financial technology, QRIS (Quick Response Code Indonesian Standard) has become a digital payment tool that is increasingly popular in Indonesia, including in Bandar Lampung. However, the adoption of QRIS in the context of sharia business faces challenges related to the perception of trust and security from business actors. This research aims to identify the influence of perceived trust and perceived security on business actors' decisions to use QRIS and its implications from a sharia business perspective. The formulation of the problem in this research is (1) How does the perception of trust influence business actors in using QRIS? (2) How does the perception of security affect business actors in using QRIS? (3) How do perceptions of trust and perceptions of security influence business actors' decisions, especially in sharia business?The aim of this research is to find out how perceptions of trust and perceptions of security influence the decisions of business actors, especially in Sharia Business. This research uses quantitative methods with a survey approach to collect data from business actors in Bandar Lampung. Data was collected through questionnaires that measured perceptions of trust, perceptions of security, and the decision to use QRIS. Data analysis was carried out using multiple linear regression to identify the influence of each variable as well as the interaction between perceived trust and perceived security.The research results show that perceived trust has a significant influence on business actors' decisions to use QRIS, with the higher the trust in QRIS, the greater the possibility of using this technology. Perception of security also has a significant influence; Business actors are more likely to adopt QRIS if they believe this system can protect data and transactions well. These two factors together influence business decisions, emphasizing the importance of improving security features and improving communications to increase QRIS adoption. In the context of sharia business, trust and security are very important, and business actors need assurance that QRIS complies with sharia principles and offers adequate data protection. QRIS providers are advised to clarify sharia compliance and security features to increase adoption among sharia business actors.

Central bank digital currency, financial technology level and regional financial stability

This study delves into the relationship between the issuance of central bank digital currencies (CBDCs) and regional financial stability. Through empirical analysis, we find that the pilot policy of digital yuan has a significant positive impact on financial stability. Further analysis of regional heterogeneity reveals that cities in central and western China, which have a weaker financial foundation, experience more pronounced improvements in financial stability under the digital yuan pilot compared to eastern regions. Additionally, the level of financial technology plays a crucial moderating role in enhancing the effects of the digital yuan pilot policy, particularly in central and western regions. These findings provide valuable insights for policymakers, aiding in the more precise and efficient promotion of digital currency pilots and related financial technology development.

Research on the Application of Alternative Data in Credit Risk Management

With the development of financial technology, traditional credit assessment models have gradually shown their limitations. Especially in assessing borrowers with no credit history or weak credit records. The rise of alternative data provides a new dimension for credit risk prediction, including but not limited to social media behavior, online transaction records, geographic location data, etc. This paper explores the current application status, challenges, and future development trends of alternative data in personal credit risk assessment, and explores the application and effects of various forms of alternative data through different classifications. This paper refers to the relevant literature on alternative data and credit risk management and finds that the application of alternative data can not only supplement part of the information reference to enhance the risk management model but also further provide certain credit credentials for groups that cannot obtain credit services with traditional credit data. It has potential contributions to improving credit risk management and promoting the development of inclusive finance.

Blockchain Technology Application and Potential in the Global Securities Trading Market

With the rapid development of financial technology, blockchain technology is gradually permeating the global securities trading market. This paper delves into the current status of blockchain technology applications in this field, covering key aspects such as trade settlement and clearing, securities issuance and trading, identity verification, and compliance management. Through detailed case studies, it powerfully demonstrates its significant reduction in settlement cycles and intermediate links, thereby improving trade efficiency; its substantial reduction in operational costs and additional expenditures due to human errors, thereby lowering costs; and its effective resistance to cyber-attacks through data encryption and tamper-proof characteristics, thereby enhancing security. At the same time, it explores the positive role of blockchain technology in improving market trust by offering transparent transaction records and reducing information asymmetry. The paper further analyzes the challenges faced by blockchain technology in the global securities trading market, including issues with technology maturity such as performance scaling and interoperability, regulatory and compliance issues such as incomplete legal frameworks and policy uncertainties, industry acceptance issues such as conservative attitudes from traditional institutions and insufficient technology popularization education, and security risks such as emerging vulnerabilities and private key management risks. On this basis, it provides a forward-looking outlook on the potential and development trends of blockchain technology in the global securities trading market in the future, including integration trends with other emerging technologies, its role in promoting cross-border transactions and financial market integration, the possibility of innovative financial products and services, and the resulting changes in market patterns. In summary, this paper provides a comprehensive and systematic study of the current status, advantages, challenges, and future development of blockchain technology in the global securities trading market, offering valuable references and insights for further development in this field.

Research on Credit Card Fraud Detection System Based on Federated Learning

With the rapid development of the mobile Internet, financial technology, especially artificial intelligence and blockchain technology, has profoundly changed our consumer behavior and the development model of the traditional financial industry. However, the accompanying risks are also being transmitted with unprecedented speed and complexity. Credit card fraud, as an important form of financial fraud, has caused huge economic losses and a crisis of trust for both financial institutions and consumers. Therefore, the establishment of an efficient and secure credit card fraud detection system has become an inevitable requirement for the continuous development of financial technology in the new era. The purpose of this paper is to study and develop a credit card fraud detection system based on federated learning, which can balance the positive and negative samples in credit card transaction data, protect the privacy of bank data, and effectively improve the accuracy and efficiency of fraud detection.

Legality Of IDK Stablecoin In Legal Perspective In Indonesia

Stablecoins have emerged as an innovation in the cryptocurrency ecosystem, offering the desired stability of value while maintaining the decentralized characteristics of blockchain technology. One such example is the stablecoin IDK, which claims to provide stable value and wide usage in Indonesia. However, the development of these stablecoins raises important questions about their legality within the Indonesian legal framework. This article aims to analyze the legality of the IDK stablecoin from an Indonesian legal perspective, focusing on regulatory aspects, legal validity, consumer protection and its potential impact on the country's monetary and financial system. This research uses a normative legal analysis method by referring to relevant legislation, the views of financial authorities, and existing legal principles. First, this article will examine the existing regulatory framework in Indonesia regarding cryptocurrencies and digital assets, and its relevance to the IDK stablecoin. Second, we will discuss the legal validity of the IDK stablecoin from a contractual and currency perspective, as well as whether this is in accordance with applicable legal principles. Finally, this article will analyze the potential impact of the use of the IDK stablecoin on the Indonesian monetary and financial system, including implications for monetary policy, financial stability and consumer protection. The results of this study are expected to provide a deeper understanding of whether the IDK stablecoin complies with Indonesian law. The implications of this analysis can provide guidance for regulators, industry players and other related parties in dealing with legal issues that arise along with the development of financial technology. As such, this article can become a foundation for further discussion on stablecoin regulation in the context of Indonesian law.

THE INFLUENCE OF PERCEIVED EASE OF USE AND PERCEIVED USEFULNESS ON THE DECISION TO USE OF QRIS AS A DIGITAL PAYMENT IN GENERATION Z IN THE CITY OF BANDUNG

This study aims to examine the effect of perceived ease of use and perceived usefulness on the decision to use QRIS as a digital payment for Generation Z in Bandung City. Money, both in paper and metal form, has an important role in economic transactions. However, with the development of financial technology (fintech) technology, payment methods are starting to shift from cash to digital. Quick Response Code Indonesian Standard (QRIS) is a QR code standard implemented to facilitate digital payments in Indonesia. This research uses a quantitative method with a descriptive approach, and data is collected through questionnaires to Generation Z QRIS users in Bandung City. The results showed that perceived ease of use and perceived usefulness have a positive and significant influence on the decision to use QRIS. The practicality and efficiency of QRIS make it popular among Generation Z, who tend to prioritize convenience and usefulness in financial transactions. These findings confirm the importance of perceived convenience and benefits in influencing the decision to use digital payment technology.

Vai trò của Fintech đối với thúc đẩy thị trường trái phiếu xanh hướng tới phát triển bền vững

Developing the green bond market is one of the goals of most countries aiming to achieve sustainable development. The increasingly strong development of financial technology is suggested to have an impact on the green bond market. The article focuses on clarifying the impact of financial technology on the green bond market using qualitative and quantitative research methods. Data collected from ASEAN+3 countries, including Vietnam, from 2011 to 2021 are used for the fixed effects regression method, the random effects regression method, and GLS regression models. The regression results demonstrate that financial technology positively impacts the development of the green bond market. This is the basis for proposing several recommendations for developing financial technology and infrastructure to promote the development of the green bond market in Vietnam.

Features of electronic money and financial technology development

The development of financial technologies at the present stage leads to the spread and active use of electronic money in national payment systems, which provide a convenient and secure way to carry out fast financial transactions without the need to use cash. Due to this main advantage, the use of electronic money has become widespread in a short period. Digital payment instruments provide users with the flexibility and access to make transactions anytime and anywhere, but at the same time, the development of electronic money circulation is also associated with some problems and the need to improve their regulation. The era of new payment technologies has presented us with new challenges related to various transactions between entities. The development of trade, including via the Internet, has led to the search for new, fast and effective means of payment, in particular when it comes to paying for goods and services. Nowadays, more and more people are abandoning the use of cash in favor of electronic money, which leads to the popularity of the concept of electronic money. The purpose of the article is to determine the impact and features of new technologies, such as blockchain, digital wallet and cryptocurrency, on the functioning of electronic money in the national payment system. The subject of the study is electronic money and payment technologies used in the national payment system, forming a system of electronic economic relations.

The reform of consumer protection in mobile payment services in China: Legislation, regulation, and dispute resolution

In China, mobile payment services, based on a rapid development of financial technology, have been playing an essential role in Chinese residents’ daily life, creating a cashless society. Unlike many advanced countries having a clear legal definition of financial consumers and incorporating consumers of mobile payment services into financial consumers, China, as one of the largest markets for mobile payment services, has not had a clear legal definition of financial consumers with no clarity regarding whether consumers of mobile payment services belong to financial consumers. This article not only provides a legal analysis of consumers of mobile payment services in China, but also outrightly explores the prospective reform of financial consumer protection with reference to other countries’ successful experience and standards. By the analysis, this article attempts to find out solution for the Chinese financial consumer protection scheme and argues that the Chinese financial consumer protection scheme has to be well designed to maintain a balance between consumers and mobile payment giants.

The influence of financial knowledge on financial management behavior with locus of control and financial attitude as mediation variables

The rapid development of Financial Technology (Fintech) has had an impact on Indonesia's digital economy. Paylater has become the service people choose to meet their daily needs in addition to the increasing number of business transactions carried out electronically (ecommerce). The increase in the use of paylaters in e-commerce increases every year, accompanied by negative impacts such as impulsive buying and consumptive behavior that can befall users and heve derimental impact, especially Generation Z on the island of Java, if they do not have good Financial Management Behavior. The unique phenomenon that currently occuring is that there is an increase in the knowledge possessed but the Non Performing Loan (NPL) rate is also high. This research aims to determine the factors that influence of Financial Knowledge on Financial Management Behavior with Locus of Control and Financial Attitudes as mediation. This research is categorized as explanatory research. The respondents in this study were Generation Z e-commerce paylater users on the island of Java. The sample size in this study was determined using a purposive sampling technique with a total sample of 317 respondents. The data collection method uses a questionnaire, data is analyzed using PLS-SEM. The research results show that Financial Knowledge influences Financial Management Behavior and Locus of Control and Financial Attitudes as a psychological variable added based on Behavioral Finance partially mediate this relationship. It is hoped that beside from increasing their knowledge, ecommerce paylater users on the island of Java must have faith for what in what they can get in the future is controlled by themselves and attitudes in carrying out financial management.

Has fintech affected the credit loan scale of urban commercial banks in China?

ABSTRACT This study aims to empirically examine the impact of financial technology (fintech) on the credit loan scale of urban commercial banks in China. Using panel data from Chinese urban commercial banks spanning 2011 to 2020, the study employs the Financial Technology Development Index to measure fintech development. The findings indicate that fintech significantly increases the credit loan scale of urban commercial banks. Heterogeneity analysis reveals that the magnitude of change in credit loans is more pronounced in urban commercial banks with larger scales and higher governance levels. The findings further indicate that fintech improves the information acquisition and processing capabilities of urban commercial banks, reducing information asymmetry and expanding the scope of credit services, particularly benefiting small and medium-sized enterprises. The study underscores the importance of technological innovation for banks to enhance risk assessment and address liquidity challenges. It also highlights the need for regulatory supervision to ensure the responsible use of fintech. Overall, the study contributes to the understanding of how fintech influences the credit loan scale of urban commercial banks and offers insights for banks and policymakers to leverage fintech for sustainable financial development.

Risk mitigation strategies in urban investment bonds: Insights from local government implicit debt governance

Growing concerns surrounding urban investment bond (UIB) defaults in China necessitate a thorough examination of risk mitigation strategies. This study investigates the impact of local government implicit debt governance on UIB credit risk using a propensity score matching difference-in-differences (PSM-DID) approach. Our findings reveal that effective debt governance significantly reduces UIB credit risk, particularly for bonds issued by local government financing vehicles (LGFVs) with “high bargaining power”. However, financial technology development may obscure credit risks and dampen the positive effects of governance. Further analysis, grounded in the “financial potential energy” framework, highlights the mediating roles of asset extension and risk warranty. Comparing the 2014 "Document No. 43" with the 2018 debt governance policy, we find the latter to be more effective in mitigating UIB credit risk. This study offers valuable insights into the micro-level effects of local government debt governance and provides guidance for policymakers in managing credit risks.