Why Talking about ethics is not enough: a proposal for Fintech's AI ethics
This work tackles ethical governance challenges in the financial technology sector, offering a practical framework to enhance trust and compliance, though it is incremental as it builds on existing theories.
The paper addresses the growing ethical concerns and distrust in Fintech's AI applications by proposing the use of stakeholder theory and a Social License to foster trust and implement ethical principles, aiming to involve early-stage Fintechs and stakeholders in creating a dynamic ethical code.
As the potential applications of Artificial Intelligence (AI) in the financial sector increases, ethical issues become gradually latent. The distrust of individuals, social groups, and governments about the risks arising from Fintech's activities is growing. Due to this scenario, the preparation of recommendations and Ethics Guidelines is increasing and the risks of being chosen the principles and ethical values most appropriate to companies are high. Thus, this exploratory research aims to analyze the benefits of the application of the stakeholder theory and the idea of Social License to build an environment of trust and for the realization of ethical principles by Fintech. The formation of a Fintech association for the creation of a Social License will allow early-stage Fintech to participate from the beginning of its activities in the elaboration of a dynamic ethical code and with the participation of stakeholders.