Abstract
This paper summarizes the main regulatory limits, imposed primarily by public law, which restrict broader implementation of advanced technological innovations across the financial sectors. The technological development offers a lot of opportunities for radical changes on the financial markets, however, this collides with the restrictions openly prohibiting, or as an effect of partial legal regulation significantly decreases their effectiveness (which is more often).
In particular, we are talking about the personal data protection rules, not allowing free sharing of data in order to provide more comprehensive service, requirements in the area of information- and cyber-security, which impacts e.g. using cloud services, uncertainties regarding some of the virtual instruments such as tokens (possibly falling under the definition of investment instruments and thus under the MiFID II regime) etc. It is a paradox that although the rules in the area of financial law are getting more and more detailed, when interpreting the rules, we are coming across a lot of ambiguities and contradictions.