On the 18th of April 2024, legal experts and academics will gather at the Athens Bar Association to discuss critical developments in banking law and capital markets. Christos Gortsos, President of the hosting Society, is slated to kick off the event with an introductory address.
The symposium, moderated by Christos Hatzis, a Professor in the Department of International and European Studies at the University of Piraeus and a practicing lawyer, promises to be a pivotal forum for the exchange of knowledge and ideas.
Among the focal topics is an analysis of the European Commission’s legislative proposals concerning the regulatory framework for the digital euro. As a legal tender with growing importance, understanding the digital euro’s standing is essential, a topic that will be covered by diligent legal experts, including Deputy Professor Dimitris Christodoulou.
The event also intends to delve into the innovative realm of “smart contracts” in banking transactions, an area that merges law with advanced technology. Legal nuances and applications of these self-executing contracts will be examined closely.
Last but not least, the symposium will explore the incorporation of Artificial Intelligence (AI) systems in making business decisions. This session, led by academia, will dissect the implications of AI’s expanding role in the financial sector from a legal standpoint.
The symposium represents a keystone event for legal scholars, law practitioners, and anyone interested in the intersection of law, finance, and technology.
Key Challenges and Controversies
1. Digital Euro:
– Privacy and surveillance concerns: A central challenge for the digital euro is finding balance between preventing illegal activities and maintaining user privacy.
– Impact on banks: Traditional banking sectors may face challenges due to the introduction of a digital euro, as it may alter the demand for bank deposits.
– Cybersecurity risks: Ensuring robust cybersecurity measures for the digital euro is crucial to prevent financial crimes and loss of public trust.
2. Smart Contracts:
– Legal enforceability: There are ongoing debates on how smart contracts fit within current legal frameworks and the issues regarding their enforceability.
– Technical flaws and bugs: Smart contracts are only as good as the code they are written in; code vulnerabilities can lead to legal and financial complications.
3. AI in Finance:
– Algorithmic bias and discrimination: AI systems can inadvertently perpetuate biases present in the data they are trained on, leading to discriminatory practices.
– Lack of transparency and explainability: AI’s decision-making processes can be opaque, leading to challenges in accountability and compliance with regulations.
– Liability issues: Determining liability for financial decisions made by AI can be complex, especially when adverse outcomes occur.
Advantages and Disadvantages
Advantages of a Digital Euro:
– Convenience and efficiency: Digital euros can offer faster and more convenient transactions for consumers and businesses.
– Lower transaction costs: Digitizing currency can reduce the costs associated with money production, distribution, and transaction fees.
– Financial inclusion: A digital euro could make financial services more accessible to unbanked or underbanked populations.
Disadvantages of a Digital Euro:
– Technological barriers: A digital euro requires access to technology, which could exclude parts of the population less familiar with digital environments.
– Market disruption: The implementation of a digital euro might disrupt existing financial markets and ecosystems.
Advantages of AI in Finance:
– Enhanced decision-making: AI can process vast amounts of data to inform better financial decisions.
– Automation: AI enables automation of routine tasks, reducing human error and increasing efficiency.
Disadvantages of AI in Finance:
– Job displacement: The automation afforded by AI may lead to job losses in the finance sector.
– Complex regulation: Regulating AI in finance remains complex due to the technology’s novelty and rapid evolution.
For those interested in further exploring the topics of digital currency and AI in the context of European finance and law, the official website of the European Central Bank (European Central Bank) and the European Commission (European Commission) are great starting points for reliable information. Additionally, you might want to keep an eye on the developments in AI legislation at the European Union’s AI initiative (EU AI).
The source of the article is from the blog karacasanime.com.ve