Technology and Finance

Darrell Duffie, Thierry Foucault, Laura Veldkamp, Xavier Vives 27 May 2022



The fourth report in the series on The Future of Banking, part of the Banking Initiative from the IESE Business School, examines the growing impact of technology on financial markets and institutions and identifies the key challenges in three specific areas: payment systems, the use of big data and trading in markets.

Highlighted issues are the suitability of central bank digital currency, the trade-offs involved in the massive use of data in terms of efficiency, privacy and market power, and the changes induced by the electronification of financial markets.

The digitalisation of financial services presents formidable tests for incumbent financial intermediaries, firms, exchanges and regulators. Building a modern, efficient and stable financial system is crucial to harness the benefits of new digital technologies and alleviate current policy concerns.

Adams Distinguished Professor of Management and Professor of Finance, Stanford Graduate School of Business

Chaired Foundation Professor of Finance, HEC; CEPR Research Fellow

Professor at Columbia Business School

Professor of Economics and Finance and Academic Director of the Public-Private Sector Research Center at IESE Business School; CEPR Research Fellow


CEPR Policy Research