In his speech in Berlin, Branson emphasised that technologies with huge disruptive potential such as distributed ledger technology, artificial intelligence and quantum computing are developing at a rapid pace. This presents great opportunities for companies in the financial sector, he noted. Quantum computers, for example, could massively boost the efficiency of artificial intelligence systems. “A really fascinating combination,” he said.

At the same time, Branson cautioned, new technologies harbour considerable risks. Quantum computers could undermine established encryption technologies, and AI could exacerbate unfair discrimination, for example. The spread of cryptoassets could create dangerous feedback loops affecting the traditional financial system. “We cannot ignore these risks. In the worst-case scenario, they could impact the entire financial system,” he warned.

In light of this, BaFin strives to maintain the right balance between innovation and stability. Branson explained: “We want digital innovation. Today it´s the foundation of a strong, competitive financial sector – and only a strong, competitive financial sector can remain robust.” Innovation is therefore firmly anchored in BaFin’s strategic objectives for the years 2026 to 2029. At the same time, Branson added, BaFin is mandated to pursue the goal of ensuring the proper functioning, stability and integrity of the financial system. This is also reflected in BaFin’s strategic objectives.

BaFin therefore scrutinises digital technologies and new business models carefully, Branson said. “We want to enable digital progress while ensuring the proper functioning, stability and integrity of the financial system. That is our guiding principle.” Branson emphasised that cooperation is needed in order to seize the opportunities of digital change in a responsible manner. “This is our shared responsibility.”