FinTech Magazine March 2025 | Page 87

Head of Digital Risk and Privacy payabl .

Now that DORA is in play too , how much more important is security ? In many ways , DORA is a step by regulators to address the vulnerabilities exposed by the rapid innovation of fintech .

It signals the end of the “ move fast and break things ” era that accelerated growth but often left critical resilience gaps , exposing institutions and markets to significant operational risks .

While it may look cybersecurity oriented , the reality is that DORA addresses a wide range of risks . These include service availability , business insolvency and hostile takeover as the framework seeks to balance the need for innovation with sustainable growth .

DORA is the right step to improve resilience but it has placed a significant burden on fintechs . The high compliance costs and heightened scrutiny of third-party providers demand significant resources , which may be challenging – especially for start-ups and scale-ups .

For larger , multinational institutions like payabl ., the harmonisation of resilience rules between the UK and the EU reduces the need to navigate divergent frameworks . At the same time , dual compliance frameworks still create significant operational obstacles .

Although it has presented an enormous challenge for the industry , it is a necessary growing pain as the industry matures and shifts its focus toward long-term stability .

Marios Joannou fintechmagazine . com 87