to the first element : innovation. the banque de france is a proponent of digital innovation in financial services. there is no denying that technology has opened up a wealth of opportunities for innovation, and that we still haven ’ t unlocked its full potential. however, in finance, the majority of these innovations also have the potential to be highly disruptive, be it in payments, in financing ( think of crowdfunding ) or in financial markets ( think of hft, which has more questionable objectives ). we are witnessing the emergence of a fully - fledged and constantly evolving digital ecosystem. faced with the competitive threat from innovative newcomers, traditional players can respond using different strategies : establishing partnerships, acquiring fintechs or competing for new markets and activities. 2. the second element is stability. although banking and financial innovations can stimulate growth in the financial system and foster economic expansion, we know bis central bankers ’ speeches only too well that they can also be a source of instability, as evidenced by the subprime crisis. digital innovations actually expose the financial system to new forms of risk. first of all, the digitalisation of financial services presents a new issue for central banks as they perform their task of ensuring safe financial transactions ( payment, delivery and settlement ). in particular, the significant growth of decentralised trading systems, driven for example by blockchain technology, could change the conditions in which central banks perform their duties. the transition to cyberspace has also left finance exposed to the increased threat of cybercrime. lastly, the rise of digital innovation could also provide an opportunity for criminals to develop new methods of laundering money and financing terrorism. in this context, the new players in this digital era must also be fully subject to all anti - money laundering and counter - terrorist financing regulations. 3. the third element needed in order to reconcile innovation and stability and construct our “ possible trinity ” for digital finance is regulation. the regulation of financial services created in the wake of the digital wave must be tailored to its specific risks. to this end, we must adhere to two principles of action. the first principle is an absolute guarantee of payment and transaction security. in the framework of its mandate to oversee the security of payment instruments, the banque de france strives to promote innovative, effective and safe payment solutions. in this respect, it ensures that the emergence of new players and new solutions does not reduce security. central banks are also trying to take a proactive approach towards the digital transition, to avoid

##5 represents a key step in addressing the issue of occupation pension coverage in ireland. it is worth noting too, that, based on international experience, the start of auto - enrolment and the significant increase in investment that it will create, should support the growth of capital markets – which is an important objective of the european union at present and will in turn support wider economic growth. across the full pensions landscape, it will remain critical that workers understand exactly what their pension products are. the bank has engaged with the pensions authority and the ccpc, key pensions stakeholders, who have welcomed our research. building on our recommendations, we have undertaken to work with the pensions authority to conduct a review of disclosures and other information available which can help improve understanding and engagement for consumers on their pensions. we also engaged with the ccpc and we will continue to support any future initiatives relating to pension education or literacy, including examining the role that financial services firms can play in this regard. conclusion in conclusion, a well - rounded strategy will make a world of difference to citizens in terms of being more financially confident and secure. from our perspective, it is critical to recognise that the onus here is not just on individuals alone to make more informed decisions. there is also a major onus on firms and the state's consumer protection framework to ensure consumers'interests are protected. needless to say - and as we have demonstrated – as a regulator, we will also act where there are failures to protect consumers'interests. financial conduct regulation forms a core part of the wider national consumer protection framework. our role is to set the rules for the sector as a whole, monitor compliance, and take appropriate action when misconduct occurs. 5 / 6 bis - central bankers'speeches my colleagues and i are delighted to participate in today's session and engage with other stakeholders, and the central bank will do everything in our power to support the development and successful implementation of the strategy. thank you. 1 my thanks to fionnuala carolan, ronan smith, brendan beere, nicola faulkner, anna marie finnegan, john montgomery, paul o'brien, ben burton, cian connaughton and james o'sullivan for their contribution to my remarks. 2 webarchive. nationalarchives. gov. uk 3 https : / / www. centralbank. ie / news / article / the - central - bank % 27s - role - in - the - national - consumer - protection - framework