Abstract
In recent years, Financial Technology (FinTech) has swept the globe to promote the financial industry and the New Southbound Policy by Taiwan Government, to create a win-win situation in finance and industry. As a result, the Financial Supervisory Commission has put forward the vision of “Innovative digital technology creates finance intelligence" in response to technological trend. However, the Government launched the Financial Technology Innovation Experiment Ordinance in 2016 to balance the development and financial supervision of FinTech innovation. The Bill encourages the financial services industry and related industries to apply innovative technology. This is to enhance the quality, efficiency and competitiveness of the overall financial services and to assist or guide the transitions of the financial and technological industry. However, the system of financial and technological innovation has led to the Government regulatory policy into a bilateral situation. In the field of cross-border exchange, the traditional financial institutions have been holding the business because of franchising. However, in recent years, new FinTech dealers have been gradually provided with new types of services. For example, Trust2Trust is a cross-border exchange platform for Malaysian financial services. It uses Internet technology combined with traditional financial exchange business to create the space of value exchange, resource sharing, help them reduce the cross-border remittance bilateral fees, and avoid information asymmetry. Moreover, it is aimed to achieve further cross-time and cross-dimensional flow services to meet the needs of users and to gain good respect. However, the exchange platform is constrained by the development of the existing legal system. This paper will take Trust2Trust cross-border exchange platform as a case study, and apply it on the basis of "Financial Technology Innovation Experimental Ordinance" draft to explore the contradictions between the innovation and financial supervision. Furthermore, it can also look over the pros and cons of financial supervision and the cross-border exchange platform development with the multi-financial supervision, and experience from the international fintech-sandbox-in-the-world. Finally, this paper shows the solution to improve this platform, government supervision policy and ideas to promote this cross-border exchange platform services. The importance of promoting this platform is to avoid friction between government supervision and the platform itself by enhancing bilateral communication and interaction, resulting in friendly financial exchange benefits for Malaysians in foreign countries. Moreover, this platform can also assist to achieve innovation and supervision to create an effective development of financial technology, international synchronization, new era of financial technology, and lastly bring a win-win situation.