As the lines between banking, technology, and user experience continue to blur, the future of financial services in Europe is being shaped not just by innovation—but by regulation, adaptability, and intelligent strategy. At the European Digital Finance Conference in Amsterdam, I had the pleasure of moderating a forward-looking panel featuring:
Frans van Bruggen, Senior Policy Officer FinTech & AI, Dutch Central Bank (DNB)
The discussion revealed a shared recognition: the coming years will determine which banks remain relevant, which fintechs scale successfully, and which players master the art of embedding intelligence into compliance.
The Banking App Is Evolving—Fast One of the strongest themes to emerge was the growing expectation that banking apps evolve into multifunctional super apps. As Thomas Vles pointed out, modern business owners are overwhelmed with disjointed financial platforms.
“If closing your books takes two weeks across seven platforms, but a single banking app can reduce that by 70%, that’s not just convenience—it’s a strategic shift.”
But speed and functionality alone aren’t enough. As Francesco Aghemio emphasized, any added feature must create real value:
“We never add services just for the sake of it. At Revolut, whether it’s travel bookings or insurance, we only integrate what improves the customer experience. That’s how we stay relevant and gain trust.”
Innovation’s Friction Point: Regulation
Despite the sector’s momentum, innovation continues to collide with regulatory complexity. Europe’s patchwork of national rules means even digital-first institutions struggle with localization. Francesco provided compelling examples—from outdated savings legislation in Belgium to proposed Dutch rules on ATM cash access—that show how well-intentioned laws can hinder customer-centric innovation.
Frans van Bruggen from DNB acknowledged this tension:
“There are over 15,000 pages of regulation in banking. Compliance is bordering on impossible. That’s why we advocate for pan-European regulation instead of national directives—and we’re actively pushing back against ‘gold plating’ at the country level.”
His candor resonated. Regulation, he argued, must evolve in step with technology—or risk strangling it. Yet the reality, as Marijus Plančiūnas noted, is that regulators are often refereeing with only one tool: the red card.
“In Lithuania, we built a fintech ecosystem of 250+ institutions. But now it feels like a chaotic football match. Regulators need to evolve too—and celebrate success, not just penalize failure.”
Scaling Across Europe: One Market, 27 Realities
The dream of a single European financial market remains elusive. Despite the EU framework, companies face distinctly local challenges in each country—from company registries to data rules.
“Europe isn’t one market,” Thomas Vles explained. “It’s 27 mini-continents. If you want to scale, you have to think like a multinational from day one.”
Paysera’s experience reinforces this. While launching in emerging markets like Albania and Georgia, Marijus emphasized that product localization and rapid development cycles are essential.
“The super app isn’t just about offering everything—it’s about offering the right thing in the right place, fast. AI is accelerating that shift.”
Revolut’s Head of Legal for Netherlands Timothy Manoj Bissessar has a question for DNB
RegTech and AI: From Cost Center to Competitive Edge
As regulation increases, traditional compliance models become unsustainable. But here, the panel agreed: AI and RegTech are turning compliance into a strategic asset—if adopted early and responsibly.
Frans van Bruggen was unequivocal:
“If you don’t use AI in compliance, you’re lost. The volume of new rules from the EU isn’t slowing. But AI, used wisely, can turn that into a competitive advantage. We need compliance to move from box-checking to boardroom strategy.”
Thomas echoed the opportunity—but warned of the execution gap:
“We’re lucky to build smart compliance in from day one. But convincing regulators to approve AI-driven systems isn’t easy—they often don’t understand what they can’t see.”
Frans acknowledged that challenge.
“Most of our staff are lawyers and economists. To understand AI, you need to think statistically. We’re investing in that education internally—but it takes time.”
He added that some breakthroughs only happen when innovators push back:
“Sometimes it takes a court case to shift a regulator’s mindset. But good ideas, backed by evidence, do make a difference.”
A Sector Maturing—Together
If there was one closing sentiment, it was that Europe’s financial sector is growing up—balancing innovation with accountability, customer focus with scalability, and ambition with restraint.
As Marijus put it:
“It’s a fascinating time to be alive. Traditional banks, challengers, regulators—we’re all on the field now. And if we get it right, we’ll not only serve customers better, but build a smarter, more resilient financial system for Europe.”
Panelists with The BankPanelists with The Banking 50 Co-Founders Elena and Morten Kriek
