Skip to Main Content
Services Talent Knowledge
Site Search
Menu

News

March 5, 2025

Charles Nerko Featured in The Fintech Times Article on AI-Related Challenges in Fintech Industry

Charles Nerko, team leader for data security litigation in Barclay Damon’s Data Security & Technology Practice Area, was featured in The Fintech Times article “As AI Grows, So Do Its Challenges: Industry Reveals Technology’s Biggest Hurdles.” The article explores how the rapid integration of artificial intelligence (AI) into the fintech industry has brought significant challenges that organizations must address to harness AI’s full potential. 

A primary concern is the presence of data silos within companies, which impede the continuous data flow essential for effective AI systems. Newer organizations often have an advantage, as they typically possess modern tech infrastructures with fewer legacy issues, facilitating smoother AI integration. The article highlights another critical issue: the need for transparent and explainable AI models. 

In the financial sector, where trust and accountability are paramount, it’s essential for AI systems to provide clear rationales for their decisions to maintain user confidence and meet regulatory standards. Charles said, “Keeping pace with evolving laws is another challenge. AI regulations are nascent, with a growing, fragmented patchwork of federal, state, and industry-specific rules. Staying ahead of new regulations and following industry best practices are necessary to avoid regulatory scrutiny, litigation, and reputational damage.”

Furthermore, as cyber threats and fraud tactics evolve, fintech firms must remain vigilant by continuously updating and retraining their AI models to stay ahead of malicious actors. This ongoing maintenance is crucial to maintaining the integrity of AI-driven systems in the financial landscape.

Click here to read the full article.

Subscribe

Click here to sign up for alerts, blog posts, and firm news.

Featured Media

Alerts

Key Affordable-Housing Provisions in the One Big Beautiful Bill Act

Alerts

What the One Big Beautiful Bill Act Means for Clean-Energy Tax Credits

Alerts

One Big Beautiful Bill Act Changes Tax Incentives for Charitable Giving

Alerts

Website Accessibility Lawsuits: Several "Tester" Plaintiffs—Wislande Claude, Felipe Fernandez, Howard Wilson, Lisa Cantwell, and Erika Alexandria—Targeting Businesses in Recent Flurry of Lawsuits

Alerts

NYS Appellate Court Holds Family Members Are Not Bound by Arbitration Agreement Signed by Deceased Relative

Alerts

Website Accessibility Lawsuits: Several "Tester" Plaintiffs—Milagros Senior, Sylinia Jackson, Edery Herrera, Henry Tucker, and Carlton Knowles—Targeting Businesses in Recent Flurry of Lawsuits