Fintech development and corporate misconduct

Chen, X. ORCID: https://orcid.org/0000-0002-0597-4352 and Zhang, Z. (2025) Fintech development and corporate misconduct. Technological Forecasting and Social Change, 213. 123988. ISSN 1873-5509 doi: 10.1016/j.techfore.2025.123988

Abstract/Summary

This study examines the influence of fintech development in a region on the likelihood of corporate misconduct. The fintech has the potential to mitigate information asymmetry, provide financial resources, and enhance monitoring, thus deterring corporate misconduct. Data from publicly listed firms in China indicates that firms located in regions with advanced fintech development are less likely to engage in financial misconduct. Additionally, this study delves into the interplay between formal and informal institutions, revealing that in regions with higher levels of social trust, the effect of fintech on corporate misconduct will be less pronounced. Moreover, institutional ownership, as a prominent governance mechanism, moderates the relationship between fintech development and corporate misconduct.

Item Type	Article
URI	https://reading-clone.eprints-hosting.org/id/eprint/120192
Identification Number/DOI	10.1016/j.techfore.2025.123988
Refereed	Yes
Divisions	Henley Business School > International Business and Strategy
Publisher	Elsevier
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