Financial Services Sector Research Articles

The Determination of Relevant Market on Islamic Financial Services Sector: Perspective of Indonesian Business Competition Law

Abstract: After promulgation of Act Number 4 of 2023 concerning the Development and Strengthening of Financial Sector, sharia financing service businesses consisting of Sharia Banking, Sharia Public Economic Banks and Sharia Microfinance Institutions (LKMS) have financing products that tend to be the same. This is related to the definition of the relevant market in Act Number 5 of 1999 concerning the Prohibition of Monopolistic Practices and Unfair Business Competition. This study aims to analyze the relevant market and to find potential of anti-competitive behavior in the financial services business. It is a normative juridical research using qualitative analysis. The method is summarized by examining regulations and doctrines related to Indonesian Business Competition Law. The results of this study explain that Sharia Banking, Sharia Public Economic Banks, and LKMS have same relevant market because the only difference is the financing scale. The Sharia Banking as dominant sector can influence the climate of business competition. Based on CR4 theory, the market concentration ratio in the Islamic financial services sector is a market that leads to loose oligopoly. There needs to be a limitation on the scale of financing regarding the maximum value of financing in Sharia Banking area and how much is in the area of LKMS to reduce the potential for abuse of dominance. But, rule of reason approach is still needed to find out the occurrence of violations caused by corporate action. The rule of reason approach used to assess corporate actions is in accordance with the maslahah mursalah concept. Abstrak: Pasca diundangkannya Undang-Undang Nomor 4 Tahun 2023 tentang Pengembangan dan Penguatan Sektor Keuangan, pelaku usaha jasa pembiayaan syariah yang terdiri dari Perbankan Syariah, Bank Perekonomian Rakyat Syariah, dan LKMS mempunyai produk pembiayaan yang cenderung sama. Mereka masih merupakan satu kesatuan dari iklim persaingan atau pasar yang bersangkutan. Hal ini terkait dengan pengertian pasar bersangkutan dalam Undang-Undang Nomor 5 Tahun 1999 tentang Larangan Praktek Monopoli dan Persaingan Usaha Tidak Sehat. Penelitian ini bertujuan untuk menganalisis pasar bersangkutan dan mengetahui potensi perilaku anti persaingan pada bisnis jasa keuangan. Penelitian ini merupakan penelitian yuridis normatif dengan menggunakan analisis kualitatif. Metode tersebut dirangkum dengan mengkaji peraturan dan doktrin terkait Hukum Persaingan Usaha Indonesia. Hasil penelitian ini menjelaskan bahwa Perbankan Syariah, Bank Perekonomian Rakyat Syariah, dan LKMS mempunyai pasar bersangkutan yang sama karena yang membedakan hanyalah skala pembiayaannya. Perbankan Syariah sebagai sektor dominan dapat mempengaruhi iklim persaingan usaha di sektor jasa keuangan syariah. Berdasarkan teori CR4, rasio konsentrasi pasar pada sektor jasa keuangan syariah adalah pasar yang mengarah pada oligopoli longgar. Perlu adanya pembatasan skala pembiayaan terkait nilai maksimal pembiayaan yang menjadi wilayah Bank Syariah dan berapa yang menjadi wilayahnya LKMS untuk mengurangi potensi penyalahgunaan posisi dominan. Namun demikian, pendekatan rule of reason tetap diperlukan untuk mengetahui terjadinya pelanggaran yang diakibatkan oleh suatu aksi korporasi. Adapun pendekatan rule of reason yang digunakan untuk menilai aksi korporasi telah sesuai dengan konsep maslahah mursalah dalam Hukum Islam.

Anti-money laundering and customer due diligence: empirical evidence from South Africa

PurposeThe purpose of this study is to examine the South African banks’ customer due diligence (CDD) practices in the fintech era to mitigate money laundering (ML) risks and ensure financial stability. Financial technologies have brought substantial transformations to the financial services sector. However, such technologies have exposed the sector to emerging risks that threaten the integrity and stability of the financial system globally. Before any bank–customer relationship is established, proper customer background checks must be conducted. These background checks enable financial institutions to validate information provided and ensure customers are properly risk profiled. Failure to risk profile customers could result in financial institutions being used as conduits for ML. Undoubtedly, CDD procedures are pivotal to overall anti-money laundering efforts and curbing financing terrorism in a regulatory framework.Design/methodology/approachA qualitative research approach was adopted to address the research questions of the study. Given the confidentiality associated with the financial services sector, data triangulation was used in blending mainly secondary and primary data sources. Secondary data sources used in the study were published reports available in the public domain that were corroborated with subject matter experts’ interviews.FindingsBased on the findings of this study, it is concluded that in South Africa, technological solutions have been incorporated into CDD functions, which is now risk-based (enhanced due diligence). Also, legally, South Africa has incorporated the biometrics, integration with Department of Home Affairs and Companies and Intellectual Property Commission databases, customer consent to third-party sources with the Financial Intelligence Centre Act and the Protection of Personal Information Act.Originality/valueThe shift towards digital banking in South Africa results in increased data and dynamic risk profiling. This study advocates a policy shift requiring a risk-based approach to mitigating emerging ML risks (in particular digital laundering), especially in the wake of South Africa’s recent greylisting by the Financial Action Task Force.

Human resource practices, organisational commitment and turnover intention among bank employees in Sarawak, Malaysia

Banking industry is becoming more competitive due to escalating bank branches every year. It has been recorded that one of the industries with highest rate of turnover is financial service sector. Employee turnover is contributed by demanding working atmosphere and burdensome workloads. High turnover rate can adversely influence bank’s performance and productivity. It has been exhibited in previous studies concerning association between human resource practices and turnover intention and the role of organisational commitment as a mediator between human resource practices and turnover intention. A total of 283 questionnaires were distributed to bank employees in Kuching, Sarawak, Malaysia. Data analysis disclosed that there is a negative relationship between human resource practices and turnover intention and organisational commitment mediates the associations. The results of the study revealed the importance of bank employers to improve its current human resource practices for boosting organisational commitment and lowering employee turnover intention. Originality/ value of this research study lies on its contribution as the first field study to be performed in Sarawak, Malaysia in relations to human resource practices on turnover intention among bank employees with mediating role of organisational commitment.

Network-based exploratory data analysis and explainable three-stage deep clustering for financial customer profiling

Effective customer segmentation and communication of these findings to non-experts is a pressing task in the financial services sector, with the potential for widespread applications. This study employs a three-stage dimension reduction and clustering technique to segment a large, high-dimensional dataset, emphasizing explainability and intuitive visualization. We present the high-dimensional data and feature set using novel network-based visualization methods and identify the multi-stage process's optimal configuration. The approach segments 14,837 potential customers, each with 163 categorical and 143 numerical features. The first stage of the dimension reduction process employs deep neural network-based autoencoders. The second and third stage uses a non-neural network-based dimension reduction algorithm and clustering algorithm contingent on clustering performance. Subsequently, game theory-inspired Shapley values are computed for each feature to enhance explainability. The optimal approach involves an autoencoder, isometric mapping to three dimensions, and K-means clustering. Lastly, we derive investment portfolios for each segment to demonstrate an expert system application in financial investment advisory to underscore the importance of explainable segmentations.

Penguatan Bank Perekonomian Rakyat Berbasis Asas Demokrasi Ekonomi: Paradigma Keadilan Sosial

The increasingly complex and numerous fundamental problems in the financial sector are driving financial sector have encouraged reform of the financial industry through the omnibus law, Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector (UUP2SK). The main aim of the presence of UUP2SK is to improve and direct the financial sector to be able to face global dynamics, be fair, sustainable, stable and inclusive as an embodiment of economic democracy which ultimately leads to the creation of social justice. One way of strengthening the financial services sector is through expanding the business activities of People’s Economic Banks (BPR) in Article 13 paragraph (1) letter g UUP2SK which opens up opportunities for BPR’s to collaborate with other financial service institutions, one of which is fintech lending so that they can expand accessibility all levels of society regarding funding. Based on this, the aim of this writing is to find out the implications of the UUP2SK omnibus law on expanding BPR businesses and strengthening BPR based on economic democracy after UUP2SK in realizing social justice for society. This research is normative legal research using a statutory regulatory approach and a conseptual approach. The data used is secondary data through literature study of primary, secondary and tertiary legal materials. The results of this research show that expanding BPR cooperation with other financial service institutions, namely fintech lending, can be a solution for equalizing BPR in Indonesia, as a concretization of the principles of economic democracy in realizing social justice for all society. However, it is necessary to strengthen and improve the level of substance, structure, and legal culture by prioritizing the spirit of economic democracy to realize social justice for the entire community.

Mauritius Responds to its ‘Grey-Listing’ by the Financial Action Task Force Through Statutes: An Informative Review

Abstract This article reviews the statutory response given by Mauritius to its ‘grey-listing’ by the Financial Action Task Force (FATF). It analyses the various legislations that the government had to amend or create to become compliant with the international standards set by the FATF in the wake of combating money laundering and financing of terrorism. The statutory response of Mauritius to its grey-listing by FATF can be considered as a successful one giving that a significant number of laws had to be simultaneously and harmoniously changed to the satisfaction of the FATF in a considerably short period of time. Indeed, in October 2021, Mauritius was removed from the list of jurisdictions under enhanced monitoring, having been placed there in February 2020. Therefore, the expediency which Mauritius responded through laws and the effectiveness with which it managed to restore international business through its financial services sector can humbly serve as lessons or best practices to jurisdictions finding themselves in similar situations with the FATF.

Factors Affecting Customer's Viewpoint of AI Enabled Services in India's Banking Sector

The banking industry has undergone a significant transformation as a consequence of the increasing emphasis that has been placed on meeting the expectations of clients. Customers who have a solid grasp of technology and who routinely interact with cutting-edge developments assume that banks will provide experiences that are straightforward and easy. In order to facilitate activities such as the use of “digital currency, electronic banking, and the transfer of physical cash”, financial institutions have extended their scope of operations to include the retail, information technology & telecommunications industries. Users have profited from the ease of being able to access banking services around the clock as a consequence of these developments; nonetheless, the financial system has also been badly impacted as a result of these innovations. In addition to this, the research explores the positive & negative factors that are related with the use of artificial intelligence technology in the banking sector of India. The purpose of this research is to provide a descriptive analysis of the implementation of “Artificial Intelligence (AI)” in the financial services sector and the influence that it has on interactions with clients. A total of 197 customers from public & private banks in Gujarat participated in the research project by filling out a questionnaire and providing their data. This was done in order to understand their perspectives & experiences.

Perlindungan Hukum bagi Pemegang Saham Publik Akibat Pengenaan Suspensi Perdagangan Saham Emiten Oleh Bursa Efek Indonesia

The formulation of this study; a) What is the result of the suspension of trading shares of PT Falmaco Nonwoven Industri Tbk by the Indonesia Stock Exchange? This type of research belongs to normative legal research methods (normative juridical). Normative juridical research is legal research that puts law as a building system of norms. Normative legal research is also legal research conducted by researching using library materials or secondary data. In the event of suspension of PT Falmaco Nonwoven Industri Tbk due to late submission of financial statements and not paying fines, it can cause losses to shareholders, especially public shareholders who do not have control over a company. In the event of this loss, OJK, whose authority is supervision, inspection and protection, can be present as a legal step that can be taken by shareholders who are consumers in the financial services sector. OJK is present as a place to complain about things that are not reached.

PERAN OJK DALAM PERLINDUNGAN KONSUMEN PERBANKAN SYARIAH PERSPEKTIF EKONOMI ISLAM

The Financial Services Authority is an independent institution and free from interference from other parties that have functions, duties, authorities as regulation, supervision, and protection. The consumer protection function of the Financial Services Authority is contained in the Financial Services Authority Regulation Number 1 / POJK.07 / 2013 concerning Consumer Protection in the Financial Services Sector, Financial Services Authority Regulation Number 1 / POJK.07 / 2014 concerning Alternative Dispute Resolution Institutions, as well as Consumer Service and Complaint Resolution to Financial Service Institutions contained in the Financial Services Authority Circular Letter Number 2 / SEOJK.07 / 2014. The purpose of this study is to describe the form of implementation of consumer protection based on an Islamic economic perspective carried out by the Financial Services Authority of the Special Region of Yogyakarta (DIY) in handling consumer complaints in the Islamic banking sector. Research methods are qualitative methods through interviews, observation, and documentation. From the research, it is known that the Implementation of the Financial Services Authority in Consumer Protection in the Sharia Banking Sector has been well implemented in accordance with applicable laws and regulations and the application of principles in accordance with consumer protection in an Islamic economic perspective according to Alimin's theory.

ANALISIS KOMPARASI KINERJA KEUANGAN BANK UMUM KONVENSIONAL DAN BANK UMUM SYARIAH SAAT PANDEMI COVID -19

Global economic growth in 2020 contracted by 3.5% from the previous growth of 2.8% in 2019. This contraction was caused by the Covid pandemic - 19 which is not only a health crisis but also a social and economic crisis. To reduce economic pressure due to the Covid-19 pandemic, governments around the world have issued massive and extraordinary stimuli in the form of fiscal stimulus, monetary stimulus, and relaxation policies in the financial services sector. The Covid-19 pandemic is a challenge for the business world, including Islamic banking and conventional banking in Indonesia. Financial performance is an important measure of whether there is an increase in financial companies or vice versa. The data used in this study is secondary data and uses quantitative methods at the time of the Covid-19 Pandemic. The study's results show that based on the average (mean) result of each ratio, the financial performance of Conventional Commercial Banks based on LDR/FDR, CAR, NOM/NIM, and NPL/NPF is better than Islamic Commercial Banks. Meanwhile, based on the BOPO and ROA ratios, the financial performance of Islamic Commercial Banks is better than Conventional Commercial Banks. Based on the results of the independent sample t-test, it is known that the six ratios have significant differences between the financial performance of Conventional Commercial Banks and Islamic Commercial Banks based on LDR/FDR, NPF/NPL.NOM/NIM, ROA, CAR, and BOPO

Financial Technology and Risk Management

This essay gives a general overview of how fintech has impacted the financial services sector, highlighting the significance of technologies like blockchain, Robo-Advisors, online payment, and P2P lending. The essay examines how blockchain technology affects financial transactions, including its potential to replace conventional middlemen and improve security and transparency. The rise of Robo-counselors as a disruptive technology that gives investors a cheap and practical substitute for traditional financial counselors is also covered. The article emphasizes the significance of striking a balance between technology and human competence by contrasting the benefits and drawbacks of robot advisors with those of actual advisors. Furthermore, the essay covers the expansion of online payment options, such as digital wallets and mobile payment applications, and how these may change how customers make purchases. Finally, the article explores the potential and hazards raised by the emergence of peer-to-peer lending platforms, which give borrowers an alternative to conventional bank loans. Overall, the article underlines how fintech has the potential to revolutionize the financial services sector, but it also stresses how crucial it is to strike a balance between innovation, financial stability, and regulatory compliance.

The Effects of Chinese Green Economy Policies on Industrial Upgrading

This article focuses on the path to green and low-carbon development in China under the era of carbon neutrality. Starting with exploring the significance to reach carbon neutrality, the actions taken by different countries are demonstrated and the global milestones such as The Paris Agreement are illustrated. Based on Solow-Swan Growth Model, the method of calculating environment capital as a new parameter is discussed. In this case, China plays an important role in global carbon neutrality. To develop sustainably, it is crucial to figure out how China keep its way on Green Economy. Energy Industry, Manufacturing Industry, and Financial Service Sector will be analyzed separately to find out what is best strategy for those industries to evolution under the Green oriented policy and what are their responsibility respectively. We found the stronger governance, the better nature capital would be utilized. The chance and challenge are concluded in the end with the potential pathway to realize the carbon neutrality in China.

Corporate Social Responsibility and Organizational Performance: A Case of Bralirwa Ltd

Corporate social responsibility has become an important topic for Business Company, especially since the business sector of financial services is related to conditions of uncertainty. The general objective of this study was to determine the impact of corporate social responsibility on organizational performance with a case study of Bralirwa Limited. Specifically, the objectives were to determine the nature of corporate social responsibility practiced in organization, to assess the contribution of corporate social responsibility on organizational performance, and to evaluate the relationship between corporate social responsibilities on organizational performance in Bralirwa Limited. The descriptive research design was applied with qualitative and quantitative approaches. This study used only the secondary data. The information collected on Bralirwa Limited websites. Over the last twenty years the Bralirwa Limited expended very fast, it has enhanced their times and the scale bigger than ever. Many studies discuss brand and market strategies but few to work on how Corporate Social Responsibility influence financial performance of the Company. On the nature of corporate social responsibility practiced by Bralirwa Limited it was established that Bralirwa Limited implemented some activities which contribute to the communities’ life being development. Those activities include that Bralirwa Limeted provided the Sponsorship of 21 million Rwf to support the Bye Bye Nyakatsi project that were retrieving disadvantage and poor families from grass thatched houses in Bugesera District. On the impact of corporate social responsibility (CSR) on organizational performance, it showed that CSR have a significant impact on the organizational performance of a company like Bralirwa in several ways as summarized by (Lee& Shin 2010) (1) it is easiest to attract resources, (2) it can obtain quality employees, (3) it easier to market product and services, (4) it can create unforeseen opportunities and (5) it can be an important sources of competitive advantage. The study concluded that Bralirwa Limited has the good believes in making a difference to the community in which it operates. The Bralirwa’s key theme in its CSR programs/activities undertaken is guaranteeing sustainability across all aspects of its business by improving environmental impact, empowering their communities, and positively promoting the role of the company’s CSR in communities. For the up-to-date information on Bralirwa's CSR initiatives and their impact on organizational performance, study recommended referring to the company's official reports, statements, and disclosures, as well as consulting with financial analysts or experts who specialize in CSR evaluations. Keywords: Corporate Social Responsibility, Organizational Performance, Bralirwa Ltd, Rwanda

Examining the Relationship between Corporate Social Responsibility Practices and Firm Reputation in the Financial Services Sector in Brazil

Purpose: The aim of the study was to Examine the Relationship between Corporate Social Responsibility Practices and Firm Reputation in the Financial Services Sector in Brazil
 Methodology: The study adopted a desktop methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library
 Findings: The study examining the relationship between Corporate Social Responsibility (CSR) practices and firm reputation in the financial services sector in Brazil found a strong positive correlation between the two variables. Financial firms that actively engaged in CSR initiatives were observed to have significantly enhanced their reputation among stakeholders, including customers, investors, and the public. This positive reputation was attributed to the perception of ethical and socially responsible behavior, ultimately leading to increased trust and loyalty from clients and improved financial performance for the firms involved in CSR activities.
 Unique Contribution to Theory, Practice and Policy: The stakeholder theory, legitimacy theory and legitimacy theory may be used to anchor future studies on the examining the relationship between corporate social responsibility practices and firm reputation in the financial services sector in Brazil. Regular, detailed, and standardized reporting on CSR initiatives can improve stakeholder trust and help investors make informed decisions. Collaborate with regulators and industry associations to establish a comprehensive regulatory framework for CSR practices in the financial services sector.

Managing multi-tiered innovation ecosystems

We study how orchestrators of innovation ecosystems govern their relationships with multiple heterogeneous complementors that differ in their positions and activities that contribute to an integrated value proposition. Prior research has focused on ecosystem-wide and complementor-specific governance, each not suited to adequately address the challenges of this context. Building on a multiple-case study in the financial services sector, our findings demonstrate that orchestrators create distinctly governed tiers of complementors based on the domains of uncertainty underlying their ecosystem blueprint. The organizational form and coordination mechanisms of these tiers reflect the convergent or explorative role of complementors in the core or the periphery of the blueprint. We contribute to ecosystem governance by introducing complementor tiers as a governance approach that blends elements of ecosystem-wide and complementor-specific governance and by linking governance choices to uncertainty and complementor roles. Furthermore, we discuss the potential for future research at the intersection of ecosystem and open innovation governance.

Sleep, alcohol, and caffeine in financial traders.

Alcohol and caffeine are two of the most commonly used substances for altering human consciousness. While their adverse effects on sleep have been separately examined in the laboratory and epidemiological levels, how they impact real-world night-to-night sleep, in isolation or together, remains unclear. This is especially true in occupations wherein the use of alcohol and caffeine is high (e.g., financial services sector). Using a six-week micro-longitudinal study, here we examined the real-world impact of alcohol, caffeine, and their combined consumption in a cohort of financial traders. We demonstrate that alcohol consumption significantly degrades the subjective quality of sleep (p < 0.001). Caffeine consumption led to a different phenotype of sleep impairment, resulting in a detrimental reduction in sleep quantity (p = 0.019), rather than a marked alteration in sleep quality. Contrary to our hypothesis, when consumed in combination, evening alcohol consumption interacted with ongoing caffeine consumption such that alcohol partially mitigated the impairments in sleep quantity associated with caffeine (p = 0.032). This finding suggests the sedating effects of alcohol and the psychoactive stimulant effects of caffeine obscure each other's impact on sleep quantity and sleep quality, respectively-potentially explaining their interdependent use in this cohort (i.e., "self-medication" of evening sedation with alcohol to combat the prior daytime ingestion of caffeine and vice versa). More generally, these results contribute to a unique understanding of the singular and combinatory impacts of two of the most commonly used substances for augmenting human consciousness under free-living, real-world conditions, the performance-impairing (and thus economic-cost) consequences of which may be important to the business sector and the society.

CHALLENGES AND FUTURE OPPORTUNITIES OF FINANCING URBAN SERVICES

The development of the urban grounds has turned out to be a vital aspect of the overall growth and betterment of the financial service sector. Through the bridging of the gap between the living standards of the population in the urban periphery, the proposition of an economic equilibrium can be maintained. With the rise in the financial budget for urban services, future opportunities such as the growth of sustainable architecture, the decline in climate change, and the effective utilization of land-based finance can be achieved. However, issues related to the lack of innovative measures to decline the steep prices of sustainable buildings or the weak absorptive capacity of the cities. The study has focused on several shortcomings and the futuristic viewpoint of applying potential financial measures to urban services

CHALLENGES AND FUTURE OPPORTUNITIES OF FINANCING URBAN SERVICES

The development of the urban grounds has turned out to be a vital aspect of the overall growth and betterment of the financial service sector. Through the bridging of the gap between the living standards of the population in the urban periphery, the proposition of an economic equilibrium can be maintained. With the rise in the financial budget for urban services, future opportunities such as the growth of sustainable architecture, the decline in climate change, and the effective utilization of land-based finance can be achieved. However, issues related to the lack of innovative measures to decline the steep prices of sustainable buildings or the weak absorptive capacity of the cities. The study has focused on several shortcomings and the futuristic viewpoint of applying potential financial measures to urban services

Alternative Insitutions on Dispute Settlement For Financial Services Sector (LAPS SJK) in Banking Disputes

A dispute is a problem submitted by the Customer or Customer Representative to the bank mediation organizer, after going through the complaint resolution process by the Bank. When the customer feels that the problem is not resolved through Complaint to the Bank, a dispute is born here. Disputes between the Bank and the Customer are inevitable because of the legal relationship between the two. Dispute resolution solutions are carried out through litigation or court and non-litigation channels. One of the best steps in resolving disputes between banks and customers is through Mediation which is facilitated by the Alternative Insitutions on Dispute Settlement For Financial Services Sector/Lembaga Alternatif Penyelesaian Sengketa Sektor Jasa Keuangan (LAPS SJK). The purpose of writing this article is to examine the optimization of the role of mediation for banking disputes. The settlement process at LAPS for the Financial Services Sector is confidential. The term confidential here means that the announcement is not announced. It prioritizes a win-win solution. Therefore it is more comfortable for the parties. Ultimately there will also be able to maintain consumer confidence in the financial services sector.

The Finance Money Crisis and Cryptocurrencies

The speculative financial services sector and the systemic failures of financial globalisation have prompted a growing call for delinking from the hegemony of the US dollar. These systemic failures have been illustrated by financial mismanagement and the financial crisis of 2007-8. This event paints a dire picture of the consequences associated with poor regulation of the financial sector. This study seeks to interpret these events in terms of Gramsci’s Prison Notebooks and his concept of the ‘morbid symptoms of the interregnum’. According to Babic (2020), these occur when a hegemony and its institutions are ‘dying’, thereby hampering their power. This notion also highlights that the future remains murky, despite public calls for change. Gramsci calls this the ‘new that cannot be born’.This study seeks to extend this framework to the current state of the dollar hegemony. The ‘morbid symptoms’ we will examine include the call to delink from the speculative high-risk US economy, the emergence of cryptocurrencies, and the politics surrounding fiat money. Some have argued that the emergence of cryptocurrencies could be the ‘new’. However, this study argues that the negative characteristics associated with cryptocurrencies such as cybersecurity concerns and price volatility create ambiguity about whether cryptocurrency is the ideal trajectory. Therefore, it argues that ambiguity and calls for change qualify our current monetary situation to be classified as a Gramscian interregnum.It also examines the current fiat money discourse by highlighting how the dollar hegemony may be succeeded by another fiat currency. However, it argues that the inflationary shortfalls of fiat money make this a fallible option, thereby perpetuating the ambiguities within the Gramscian interregnum.