ABSTRACT
The term “financial ecosystem” gained visible interest of the financial community, but it is frequently misunderstood. This chapter explains what an “ecosystem” is and proposes a framework of its financial representation. The model contains ten characteristics, relating to organizations as organisms that coexist, compete and cooperate within a biome and externally. The model is then used to reflect the impacts of digitalization on the relationships and interactions between the private and public sectors. The results are based on expert interviews and Delphi sessions that covered debates on the current and the expected future state of the public and private relationships within the European Union’s member ecosystems.
The chapter is concluded with a summary of key observations that can be used in shaping the future of public and private relationships, with the ultimate goal of assuring the survival and development of the financial ecosystem. This is to be accomplished by utilizing digitalization as a positive disruption and a growth catalyst, however with a necessity for monitoring and regulation aimed at protecting the biome’s equilibrium, stability and diversity. It is proposed to place a higher accent on the aspects of financial ecosystem ecology, which as in the current natural environment, represents an immediate call for action.
