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Quiz 13 FinTech Questions and Answers

Question No 1

1. Which of the following is not a benefit of Algorithmic Trading?

  • Guaranteed long-term market liquidity
  • Efficient security pricing
  • Lower risks caused by panic reaction & hearding behavior
  • Reduced transaction cost

Answer: Guaranteed long-term market liquidity

The benefits of Algorithmic Trading include efficient security pricing, lower risk during selloffs and reduced transaction cost

Question No 2

2. The "Flash Crash" of 2010 which happened in US when broad stock market indices the S&P 500, the Nasdaq 100, and the Russell 2000 collapsed and rebounded with extraordinary velocity can be attributed to which of the following

  • Limited understanding of Distributed Ledger Technology (DLT)
  • Algorithmic Trading used for High Frequency Trading
  • Excessive use of Robo-advisors
  • Inaccurate credit scoring models

Answer: Algorithmic Trading used for High Frequency Trading

On May 6, 2010, in the course of about 36 minutes starting at 2:32pm ET, U.S. financial markets experienced one of the most turbulent periods in their history.Read more:

Question No 3

3. Tokenization of Assets in Blockchains does not cover

  • Shares & Equities
  • Real Estate
  • Art work
  • Manpower

Answer: Manpower

Tokenization is the process of representing real-world assets in the form of tokens issued on the Blockchain.

Question No 4

4.All of the following are payment processing models used in mobile wallets, except for

  • SMS-based transactions
  • Near-field communications (NFC)
  • P-Cards
  • Mobile web payments

Answer : P-Cards

A Purchasing Card (P‑Card) is a type of Commercial Card that allows organizations to take advantage of the existing credit card infrastructure to make electronic payments for a variety of business expenses (e.g., goods and services).

Question No 5

5. By 2026, the Global Digital Payment Market is forecast to reach

  • USD 10.07 Trillion
  • USD 537 Billion
  • USD 4.8 Trillion
  • USD 874 Billion

Answer: USD 10.07 Trillion

The Global Digital Payment Market is forecast to reach USD 10.07 Trillion by 2026, according to a new report by Reports and Data.

Question No 6

6.Which system functions as an ‘aggregator’ for Goods and Services Tax collections in India?

  • OLTAS
  • e-Kuber
  • ICEGATE
  • NTRP

Answer: e-Kuber

RBI’s e-Kuber system functions as an ‘aggregator’ for Goods and Services Tax collections and is integrated with Central Board of Indirect Taxes and Customs (CBIC), the 28 state Governments (excluding Sikkim) and Union Territories, 25 agency banks and GST Network (GSTN)

Question No 7

7. A framework set up by a financial sector regulator to allow small scale, live testing of innovations by private firms, both regulated and unregulated, in a controlled environment under the regulator’s supervision, is known as a __________

  • Financial Innovation Funnel
  • Regulatory Sandbox
  • Global Financial Innovation Framework
  • Financial Integrity Validation System

Answer: Regulatory Sandbox

A framework set up by a financial sector regulator to allow small scale, live testing of innovations by private firms, both regulated and unregulated, in a controlled environment under the regulator’s supervision, is known as a Regulatory Sandbox

Question No 8

8. Which of the following Crypto Assets has the highest market capitalization?

  • Bitcoins
  • Ethereum
  • Ripple
  • Stablecoins

Answer: Bitcoins

Bitcoins crypto Assets has the highest market capitalization

Question No 9

9. Robo advisor is

  • A form of automated investment management service that requires little to no human interaction once the client makes the initial contact.
  • A virtual assitant available of retail banking portals to help with the navigation on the site
  • A virtual assitant that can help with all sorts of bill payments using digital wallets
  • All of the above

Answer: A form of automated investment management service that requires little to no human interaction once the client makes the initial contact.

A robo-advisor is, like the name suggests, a form of automated investment management service that requires little to no human interaction once the client makes the initial contact....

Question No 10

10. Ethereum was initially described in a white paper by

  • Satoshi Nakamoto
  • Vitalik Buterin
  • Jed McCaleb
  • David Schwartz

Answer: Vitalik Buterin

Ethereum was initially described in a white paper by Vitalik Buterin
Read more here.