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May 9, 2026The Journal of FinTech0 citations

Fintech SMEs in the financial ecosystem - Trends, Development perspectives, and Regulatory Implications in the AI era

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AWAndré WölfleRARuben Ascua

Key Points

  • This research aims to explore how regulations affect the development of Fintech SMEs compared to larger financial entities.
  • Expanded the Digital Finance Cube framework to analyze regulatory impacts on Fintech
  • Utilized bibliometric and systematic literature reviews alongside close-to-market sources
  • Examined varied business models within Fintech to identify trends and regulatory influences
  • Identified greater structural disadvantages for Fintech SMEs, such as limited data accessibility
  • Highlighted disadvantages for large financial players, including path dependency
  • Emphasized the necessity for improved regulations focusing on data privacy and fair competition

Abstract

This paper studies development directions of Fintech, discusses the influences of regulations through authorities in the development of Fintech SME and if there are disadvantages out of regulation for Fintech SMEs compared to large technology platforms or traditional financial institutions. The necessity of regulation is undisputed. We expand the Digital Finance Cube to structure the task and use existing bibliometric and systematic literature reviews as well as close-to-market sources to answer the above-mentioned questions. Due to lots of different types of Fintech we use different perspective of a business model to explain and anticipate trends, development directions and the influence of regulations in the field of Fintech. We found more structural disadvantages for Fintech SMEs (e.g., accessibility of data) than for large market participants. But also large players have disadvantages (e.g. path dependency) compared with Fintech SMEs. This shows the need of improving regulation (e.g., data privacy, fair competition, fraud prevention).

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Cite This Study

Wölfle et al. (2026) studied this question.

synapsesocial.com/papers/69fecf94b9154b0b8287694ehttps://doi.org/10.1142/s2705109926500033
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