Amazon’s finance ambitions reportedly draw attention from Fed

From: Bloomberg News via The Seattle Times

Fed Vice Chairman Randal Quarles, the U.S.’s most influential banking watchdog, has expressed concern about how tech companies could provide financial services outside of regulators’ oversight, according to people who’ve spoken with him privately.

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Fed Vice Chairman Randal Quarles, the most influential banking watchdog in the U.S., is monitoring the potential for disruption to the industry and has expressed concern about how tech companies could provide financial services outside of regulators’ oversight, according to people who’ve spoken with him privately. Quarles hasn’t yet made any moves to intervene and the Fed’s influence would be limited.

Should the Fed get involved in the debate, it could be welcome news for traditional banks, who view Amazon and other technology companies as potential threats that enjoy fewer regulatory constraints. The companies are increasingly encroaching on lenders’ business, as evidenced by Amazon’s recent interest in offering a product akin to checking accounts.

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