BAKU, Azerbaijan, August 13. Director of Governmental Relations in the CIS for Binance Olga Goncharova has shared this week Binance's expectations of the introduction of new technologies to combat cyber attacks, Trend reports.
She noted that the company anticipated the introduction of new technologies to counter cyber attacks, as well as an increase in the level of transactions, in the financial sector, including the crypto currency market, in the future.
According to her, Binance employs measures such as self-insurance and has established a Secure Asset Fund for Users (SAFU).
Goncharova said that the fund has a $1 billion budget and is intended to cover operational risks as well as risks from cyber assaults, as well as the loss of customer funds in the event of a cyber attack.
Besides, Binance employs a multi-tiered security system, she added.
This week, the Deputy Director of the Payment Systems Department at the Bank of Baku and the Head of the Expert Group on Payment Systems and Digital Banking at the Azerbaijan Banks Association (ABA) Tamerlan Rustamov said that the law "on payment services and payment systems" adopted on August 9 will promote the formation of an innovative and more competitive digital payment ecosystem and the overall financial market.
According to Rustamov, first of all, once the law is put into effect, banks and non-bank credit organizations payment systems and electronic money systems will be classified as payment service providers.
This implies that financial institutions that have been a part of the digital payment ecosystem for a while will be legally recognized as payment systems or electronic money systems through licensing or registration, he explained.
Besides, according to him, the law enables the above organizations to broaden the range of their services.
"These payment service providers typically prioritize the implementation of innovative payment solutions and technologies to compete with traditional financial institutions," Rustamov noted. "The encouragement of innovative payment instruments and technologies will offer new opportunities in financial markets. Intermediary services and services related to providing information about accounts, defined as payment services in the law, will require the application of open banking technologies."
He also emphasized that the law will further accelerate the process of forming digital platforms, embarking on a new stage of development for financial markets.
Rustamov pointed out that another innovation will be the strengthening of consumer rights protection.
"Informing users of payment services, handling payment claims, introducing service fees, sharing responsibilities for unauthorized payment operations, further clarifying contractual relationships, and demanding obligations related to payment instruments and personalized information security will contribute to further reinforcing consumer rights," he added.
The ABA representative also noted that this law will enable all fintech players and participants in Azerbaijan's financial market to issue payment cards and electronic money, as well as facilitate money transfers.
According to Rustamov, fintech players are expected to benefit more from the law's enforcement than the Central Bank of Azerbaijan.
"So, fintech companies will be able to implement innovative solutions and technologies, primarily to provide competitive payment services and form a new customer segment. Such services include issuing payment cards for digital money and facilitating money transfers," he noted.
Furthermore, according to him, payment systems also have opportunities to utilize Open Banking technology.
"Studies indicate that countries with similar laws have seen expanded and diversified digital platform activities. As digital transformation progresses, we'll witness the use of both physical and online payment agent activities via various mobile solutions," he concluded.
It was also reported this week that Apple co-founder Steve Wozniak will participate in the Inmerge Innovation Summit Baku event.
Wozniak will give a speech at the summit's opening ceremony.