Mediation in the Reg-Tech Era: An Instrument for Balancing Regulatory Compliance with Innovative FinTech Development

Abstract

This paper explores the growing significance of mediation as an effective dispute resolution mechanism within the FinTech and RegTech sectors, against a backdrop of intensifying regulatory requirements and rapid technological innovation. It argues for the integration of mediation into compliance frameworks as a flexible, confidential, and cost-efficient Alternative Dispute Resolution (ADR) tool capable of addressing sector-specific challenges such as AML/KYC obligations, data protection, and regulatory uncertainty. By examining the intersection between RegTech solutions and evolving legal standards, the study demonstrates how mediation enhances regulatory compliance while supporting the sustainable development of the sector.