WE ARE FINTECH

Enabling the widespread adoption and application of technology in financial services within a safe and secure environment

What is FinTech?

FinTech is an abbreviation of the phrase ‘financial technology’ and initially referred to technology which was applied to the back-end systems of banks or other financial institutions.

Today, we are increasingly familiar with using fintech; whether making payments using methods such as PayPal or Bitcoin, using online banking, digital only banks, or crowdfunding platforms, for example. 

Fintech continues to revolutionise financial services businesses, applying new technologies such as blockchain or smart contracts to improve service levels, enabling cost and time efficiencies, to make doing business smarter and faster. 

Though it is still an emerging industry, global fintech investment rose to US$137.5 billion in 2019 up from under US$930 million in 2013. 

A strategic vision for FinTech

In 2018 Guernsey’s government and WE ARE GUERNSEY jointly published a set of aims and priorities for its fintech mission - To enable the widespread adoption and application of technology in financial services within a safe and secure environment.

 

Fintech Icons 02

50 YEARS

As a global finance centre  

Fintech Icons 05

FINANCE CENTRE OF SUBSTANCE

Breadth and depth of finance sector expertise in wealth, investment and insurance management

Fintech Icons 01

LEGAL AND REGULATORY CERTAINTY

The Electronics Transactions (Guernsey) Law ensures the legal effect, validity and enforceability of “smart contracts” 

Fintech Icons 06

WORLD FIRST

For the application of blockchain technology in private equity and insurance-linked securities

Fintech Icons 04

PROXIMITY TO LONDON

Guernsey is the closest specialist global finance centre to the City of London

Fintech Icons 03

GLOBAL CITIZEN

Guernsey has a track record of international engagement and the application of international standards

First in Fintech

Guernsey has a strong track record in enabling technology across financial services.

Smart Contracts and Electronic Agents

A smart contract is one where computer code carries out a task in response to information received, without further human input.

An electronic agent is a computer program, electronic or other automated means that performs specific actions on behalf of a user, without reference to the user.

The Electronic Transactions (Electronic Agents) (Guernsey) Ordinance, 2019 provides enhanced certainty for smart contracts in relation to legal effect, validity and enforceability of a contract carried out by an electronic agent, enabling the use of AI and blockchain technology, to form, execute, perform and terminate contracts. 

World-first listing of digitised notes on a regulated exchange

In 2018, the International Stock Exchange (TISE) became what is believed to be the world’s first regulated exchange to list notes digitised on a blockchain. 

Case studies

Some of the firms that have chosen to take advantage of the environment Guernsey offers include:

In February 2017, Northern Trust, in collaboration with IBM, launched the first commercial deployment of blockchain technology for the private equity market. 

Together they have built a distributed ledger solution, which is being used for the management and administration of a private equity fund by Unigestion - a Swiss-based asset manager with $20 billion assets under management. 

The group opted for a Guernsey-based fund because the use of blockchain has already been approved by the Guernsey authorities. 

"As a jurisdiction we continually monitor new technologies, support businesses in developing ground-breaking new ideas and provide a supportive environment where products can not only flourish but be first-to-market."
Deputy Gavin St Pier, Guernsey's Chief Minister 2016-2020

Visit Northern Trust's website
 

FINTECH LITERATURE

READ THE NEW ELECTRONIC AGENTS BROCHURE