FinTech are entities that provide technological solutions for delivery of financial products to consumers or provide regulatory compliance in partnership with traditional financial institutions.

• FinTech have redefined financial services by saving time, enhancing access, and lowering costs. However, they have also raised concerns like customer protection, data privacy, etc. 
• Therefore, RBI released SRO-FT framework.

About SRO-FT framework 

• SRO is an industry-led entity responsible for establishing and enforcing regulatory standards, promoting ethical conduct, ensuring market integrity, among its members.
• Key highlights 
  • SRO-FT to be built on a ‘representative’ structure to draw collective expertise of its members.
  • SRO-FT should be independent from influence.
  • SRO-FT should not set up entities / offices overseas without prior approval of RBI.
  • SRO-FT should put in place systems for managing ‘user harm’ instances that come to its notice or are referred to it by RBI or any other stakeholder. 
    • User harm includes fraud, unfair practices, unauthorized transactions, etc. 
  • SRO-FT should be an entity domiciled / registered in India.