Regtech: Case studies of cooperation with banks in italy

Aims: After the financial crisis financial institutions must comply and manage a huge amount of regulation coming from the EU and Italy. We would like to examine the experiences of technology integration applied to the regulation of the markets and to the compliace, in the banking sector in Italy. Our paper responds to a gap in literature that on the subject of regtech is mainly based on legal, defining arguments and about reviewing the literature on the macro context and the issues generated by the huge amount of regulation. The article will explore three cases of RegTech companies in Italy presenting advantages and criticalities in the adoption of regtech solutions on the Italian market. Methods/Approach: Today the literature about case study in RegTech is not proposing any solution of cooperation on the regulatory field in Italy. So we have to fill the gap we find in exploration of literature. An analysis in the field cannot be separated from a preliminary systematic review of the literature on regulatory case studies. We begin our scientific analysis of the subject through a preliminary literature review individuating any case study around RegTech through exploratory case study. Due to the scarcity of papers about case study in RegTech field, we adopt an approach already used for well-studied cases widespread in the FinTech area and an exploratory investigation through in deep interviews following models used in FinTech area and in ERM field. Results/Findings: In this article, we will, therefore, propose case studies in the FinTech sector applied to regulatory technology in Italy and we expect to answer the following research questions: We present three RegTech's cases in Italy's financial system exposing the fields of collaboration with financial institutions in RegTech field between incumbents and RegTech industries. We expose also how big I.T. companies, which are providing services for banks, are refocusing and improving compliance through RegTech to provide services linked to compliance, Kyc, Aml, privacy, payments to the incumbents. In conclusion we express topics interested by cooperation between banks and RegTech companies describing the potetial expansion lines. Implications: Understand how financial companies through regulatory technology can: Improve risk management and governance in financial institutions. Improve prudential compliance, anti money laundering and customer protection. Reduce the risks of traditional banking business through better knowledge and customer identification and profiling may also offer more favourable terms to companies and lowering compliance costs to shift economic resources towards FinTech's disruptive innovation.