As the financial industry emphasizes Environment, Social, and Governance (ESG) practices, Lanistar’s CEO Jeremy Baber highlights that while many fintechs champion external ESG initiatives, they often neglect their internal carbon footprint. Fintechs are urged to invest in sustainability metrics, incorporating them into business models for transparent reporting, ensuring accountability and aligning with anti-greenwashing measures. The financial sector, as a whole, is called upon to enhance transparency, aligning disclosure standards to facilitate meaningful comparisons and avoid ambiguity.
Baber emphasizes the need for fintechs to lead by example in addressing their environmental impact, mirroring the broader push for transparency and accountability within the financial sector. Regulatory efforts to combat greenwashing, such as anti-greenwashing measures in the European Parliament and Switzerland's initiatives, are seen as crucial for guiding consumers in making informed decisions about ESG-oriented financial products. Despite these positive steps, industry peers are encouraged to play a proactive role in collectively raising sustainability standards, fostering collaboration, and accelerating positive change across the fintech and financial services industries.
