Regulated Exchanges and AI: What’s Behind the Hype
|
The topic of AI has been the subject of a number of panels at recent industry events attended by Exberry. We thought it would be helpful to provide a snapshot of some of the leading thinking on AI, particularly how it is predicted to affect regulated exchanges.
The potential revolutionary impact of AI is the number one consideration. Actionable intelligence from massive datasets can finally be unlocked. Productivity through the automation of manual workflows can be improved, providing more effective risk management and combating cybercrime.
While the opportunities are huge, we also have to recognise that AI is simply a technological tool which can be used for both good and bad. We need to be careful, for example, that this technology won’t hamper the smooth functioning and integrity of markets. Sophisticated GenAI deep fakes pose a serious concern, and regulators need to step up and start introducing rules that put safeguards around this. We also need to remember that while some of the most popular GenAIs are open-sourced and currently provided for free, this might not always be the case. Similar to other large technology providers, exchanges should be aware of vendor lock-in.
In the meantime, a handful of the larger exchanges have been in pursuit of AI use cases for the past few years. Financial crime capabilities are a common one, whereas others are looking into introducing innovations such as settlement prediction or maximising fill rates of orders at a particular time.
Notwithstanding the issues around cybercrime and potential system market risk, there is a general feeling that GenAI will fundamentally alter methods of trading. It might still be in the very early stages, but it could stand to have a lasting impact in the industry.
Exberry arrives on Google Cloud Marketplace
Building upon its strong track record as a cloud-agnostic exchange infrastructure provider, with numerous clients already benefiting from its cloud-based solutions, Exberry’s collaboration with Google Cloud marks a significant milestone to create a dynamic ecosystem tailored for the future of financial markets.
Transforming markets: Innovations shaping the future of capital markets
In today’s capital markets, we’re witnessing a period marked by an extraordinary cadence of changes. The confluence of technological innovation, evolving regulatory frameworks, and shifting investor behaviour is unlike any other time in history. This era is juxtaposed with significant infrastructure changes: the rise of cloud computing, AI and SaaS operations. These advancements are enabling a level of flexibility, agility and innovation that traditional solutions cannot match.
Top 3 Things for Financial Exchanges to Think About This Summer
The financial industry is at a critical juncture. Exchanges worldwide are exploring future technological landscapes, grappling with frustrations and pain points in current systems