FinTech: The Revolution in Financial Systems

The financial sector is a primary beneficiary of technological innovations. The rapid advancements in technologies such as blockchain, DLTs, AI/ML, and big data analytics have left everyone grappling to comprehend their integration into financial services. For business leaders, it is essential to identify the relevant technology stack that can either streamline business operations and compliance or drive revenue growth.

This course aims to achieve two main objectives: first, to gain a deep understanding of the technology landscape; and second, to apply these insights to real-world use cases within their respective organizations. In the realm of FinTech, it is critical not only to grasp the underlying technologies but also to assess the inherent risks associated with their integration. This knowledge equips decision-makers to make informed choices during the design and implementation phases, effectively mitigating and managing technological risks.

Participants will delve into the pivotal stages of our modern financial system's evolution and explore the technological breakthroughs that have driven these advancements. This foundational understanding is crucial for navigating existing FinTech offerings and developing successful FinTech applications. The course will also analyze recent prominent case studies, elucidating the intricate interplay between technology, finance, and regulatory frameworks. By synthesizing the benefits and drawbacks of current state-of-the-art technologies, this course aims to stimulate informed discussions on the future of the financial system.

Measurable outcomes: Upon successful completion of this course, participants will:

• Gain a comprehensive understanding of the FinTech ecosystem, encompassing various payment systems.
• Explore the IndiaStack ecosystem and its interfaces to leverage in building their own FinTech applications.
• Acquire insights into regulatory and compliance challenges within the FinTech space, along with strategies to effectively address them.
• Develop the ability to outline the workflow of a typical FinTech application

Learning Objective A: Gain a comprehensive understanding of key technologies in FinTech. Explore the opportunities and challenges introduced by modern-day data platforms.

Module 1: Introduction to FinTech

• Overview of the FinTech Landscape
• Exploration of Key Technologies
• Analysis of Key Challenges & Opportunities

Module 2: Era of Platform Ecosystems

• Differentiation between Public and Private Data Platforms
• Utility of Data Platforms in Financial Services
• Economic Aspects: Privacy as a Currency, User Perceptions, and Controls

Learning Objective B: Understand the fundamental component of financial systems - the payment system and its operational characteristics. Study payment systems in two distinct forms: 1) Payments via interconnected private rails (Visa, MasterCard, RTGS, SWIFT, etc.), and 2) Payments on DPI (Digital Public Infrastructure like IndiaStack).

Module 3: Payment Rails

• Core Components of Financial Systems and Functional Requirements of Payment Systems
• Expansion of Financial Services through Neobanks, NBFCs, and Secondary Markets
• Open Banking API (PLAID Use Case)
• Examination of Global Payment Innovations
• Case Study: M-PESA

Module 4: IndiaStack DPI

• Identity Layer: Aadhaar and eKYC, CKYC
• Payment Layer: UPI and Related Payment Interfaces/Instruments
• Data Layer: Account Aggregators, OCEN, DigiLocker
• Case Study: Namma Yatri & ONDC

Learning Objective C: Explore the inception of blockchain technology as a global payment rail and its regulatory challenges. Understand how these concepts are evolving as foundations for cross-border asset movement and emerging asset classes.

Module 5: Digital Assets

• Digital Cash, Blockchains, DLTs, Cryptocurrencies
• DeFi, NFTs, CryptoETFs, Crypto Exchanges
• Programmable Money, CBDCs - Unlocking Potential
• Use Cases for Digital Assets

Learning Objective D: Examine how AI/ML technologies assist financial service providers in extracting insights from vast data sets and automating business processes using actionable insights.

Module 6: Analytics & Automation

• AI/ML-Driven User Insights for Operational Improvements
• Fraud Detection through Cross-Source Data Correlation
• RPA (Robotic Process Automation) using DLTs
• Case Study: Leading Bank's Customer Acquisition, Retention, and Service Delivery Experience

Learning Objective E: Gain a clear understanding of Indian financial regulations, directives, and guidelines applicable to the FinTech sector.

Module 7: Navigating FinTech Regulations

• Regulatory Concerns, RBI Master Direction on DPSC, EPT Directions, PPI/PAPG Guidelines
• Sector-Specific Licences for TSPs, Regulatory Sandbox & Self-Regulation (Sahamati), Operational Guidelines
• Taxation Issues, PDPA Compliance, DEPA, FIU-IND (FINnet, FINGate)
• AML/CFT (ARIFAC, FPAC)
• Case Study: Paytm Bank's Regulatory Compliance Challenges

Learning Objective F: Study how global FinTech applications navigate regulatory compliance and apply classroom learning to design a hypothetical FinTech application.

Module 8: Design Considerations in FinTech Applications

• Overview of Prominent Global FinTech Applications
• Tokenization, Interoperability Initiatives
• Group Assignment: Designing Process Flows for Hypothetical FinTech Applications (e.g., BNPL in E-commerce, Incentive-linked Insurance, Smart Energy with EV, Credit Facilities using UPI Plug-ins)

Learning Objective G: Explore potential future directions of financial systems - envisioning a global payment rail operating seamlessly across jurisdictions and for various asset classes.

Module 9: Finternet

• Futuristic Initiatives from the Bank of International Settlements (Working Paper on Finternet)
• Emerging Trends due to FinTech: AgTech, HealthTech
• Towards Unified Ledgers

This course is designed for professionals from an array of backgrounds including: 

• Working professionals with 5+ years of experience (at least 2 years in FinTech) 

• Banking professionals: product architects/managers/developers in FinTech 

• Financial regulators, and risk managers who want to complement their role with sound exposure to the technological underpinnings that drive FinTech 

• Taxation authorities, Regulatory bodies (including regulators of other countries)  

• Investors (VC), Consultants, Policymakers, Incubated FinTech start-ups  

1. Registration fees include the following:

   For all the participants:

   • Classroom sessions
   • Reading material
   • Registration kit
   • Internet and Library access
   • Hard Copy Certificate for Course Completion at the end of the programme

   Residential participants:

   • Single occupancy AC rooms in the MDP hostel
     Check-in and check-out time: The earliest check-in time 3.00 pm (one day before program commencement
     The latest checkout time is 10.00 am (one day after program completion)
   • Tea, breakfast, Lunch, dinner in working hrs.

   Non Residential participants:

   • Breakfast, Working Lunch, tea & snacks

2. Refund policy

   Fees once paid can be adjusted for 1 financial year against future nominations only. In case a course is canceled on account of inadequate participation or any other unforeseeable reasons, the participants will be informed of the cancellation by e-mail or Fax and the fee will be refunded. IIM Mumbai will not be liable for any other expenses incurred by the company or the participant. Any transaction fee will not be refunded.

3. Individual Registration

   If you wish to register & make payment, please click here Register

4. Company-sponsored / Bulk Registration:

   • In the case of company-sponsored candidates, please share the nomination list and GST details to program@iimmumbai.ac.in for invoice generation.

     Download the INVOICE DETAILS FORM

   • Note: Discount is applicable for 5 or more participants from same organization against invoice.