This is, in my view, a very productive area for future research for academics and regulators alike. Let me conclude by two points about Central Banks. First, they have a natural interest in the efficiency and stability of the financial system. Asset prices are a key channel through which monetary policy is transmitted to the real economy. The ability of the financial system to absorb shocks smoothly was supported by more predictable and transparent monetary policies in many countries. Stable and low inflation helped to reduce the financial system’s sensitivity to shocks. Second, for this reason, they have to monitor closely the process of financial innovation. Different approaches, involving both the public and the private sector, should be combined to enhance transparency, such as (i) the improvement of financial standards and supervisory regulation, (ii) an improvement of data reporting on OTC markets (bonds, derivatives), (iii) efforts to foster better disclosure from financial institutions, (iv) promotion of stronger market discipline. It is my strong belief that this can be done without impeding the efficiency and agility of modern finance, which is so important for our growth and future prosperity. 6  O. Cousseran and I. Rahmouni (2005) “The CDO market-Functioning and implications in terms of financial stability”, Financial Stability Review n°6, Banque de France. 4  BIS Review 64/2006
There are many examples of fraud that undermines said trust, such as identity theft when opening payment accounts, in “know your customer” procedures or to arrange and draw loans and credit; payment fraud, mainly in card transactions, transfers and remittances; and fraudulent offers of financial operations or services by unauthorised or unregistered operators, which are typically a prelude to actual fraud. More recently, though, new technologies and business models have paved the way for platforms and operators that, engaging in regulatory arbitrage, offer payment, credit or investment services without sufficient safeguards and transparency. Here I would specifically mention operators in the crypto-asset arena, which promise handsome rewards via apps, websites and apparently innocuous advertising, and sometimes even embed such offers in traditional payment service chains, making them harder to identify. Unfortunately, these practices do not distinguish between social groups, levels of financial literacy or risk profiles, and ultimately take a far greater toll on the more vulnerable groups, in particular young people and even teenagers, which is of particular concern. Against this background, and notwithstanding any action that might be taken by the public prosecution service, the courts or law enforcement authorities in relation to criminal offences, our role as supervisors is primarily a preventive one. This means oversight of advertising, ensuring that the registry of operators is fit for purpose and, very importantly, raising awareness of the risks among potential users and fostering their financial and digital education.