chapter 02 FINANCIAL SERVICES AND THEIR PERMANENT INNOVATION Innovation has been essential for the banks. Legend has it that one of the Rothschilds, in the Napoleon Bonaparte era, was able to enforce certain credit guarantees upon hearing of the Emperor’s failure in Waterloo by using a then state-of-the-art commu- nication technology, a carrier pigeon! Historically, leading banks have had a constant ability to innovate, demonstrated in the application of ATMs to systems of inter-bank electronic payments or wire transfers. However, it must be recognized that the financial sector, because it is highly regulated, can only carry out activities that the particular law allows and, although certain laws establish the possibility for regulators to authorize exceptions, this logic generates a comprehensible brake for technological or procedural advances arguing that “the regulation prevents us from….” Likewise, new companies with ideas that may not have been foreseen by the Law are limited by other factors such as access to capital or the cost to acquire clients. The new vision of the FinTech Law, is a logical horizon of collaboration for both existing banks and entrepreneurs of the financial system. The new framework offers the possibility of obtaining temporary authorizations. Thus, through Completely New Models, business entities that have obtained the relevant permits may carry out activities that are required to have a registration or conces- sion to carry them out, in accordance with the FinTech Law or any other financial A TWO-WAY PATH 27