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ALBERTA FINTECH DEVELOPER EXAM QUESTION AND
CORRECT ANSWER (VERIFIED ANSWERS) PLUS
RATIONALE 2026 Q&A|INSTANT DOWNLOAD PDF
1. What is FinTech? A. Farming technology B. Financial technology C. File transfer system D. Game engine Answer: B FinTech refers to technology used to improve financial services. 2. What is a payment gateway? A. Bank branch B. System that processes payments C. Database D. Wallet Answer: B It securely routes payment information between parties. 3. What is an API in FinTech? A. App interface only B. System communication bridge C. Bank account D. Token system Answer: B APIs allow financial systems to communicate securely. 4. What is Open Banking?
A. Closed banking system B. Sharing financial data via APIs C. Cash-only system D. Mining system Answer: B Banks share data with authorized third parties.
5. What is KYC? A. Know Your Customer B. Key Yield Control C. Crypto mining D. Wallet system Answer: A Identity verification process for financial compliance. 6. What is AML? A. Automated Money Ledger B. Anti-Money Laundering C. Asset Market Layer D. API Management Layer Answer: B Prevents illegal financial activities. 7. What is a digital wallet? A. Physical card B. Software for storing funds C. Mining rig D. Database Answer: B Stores payment credentials and funds digitally.
12. What is fraud detection system? A. Wallet B. Identifies suspicious transactions C. API gateway D. Token system Answer: B Detects fraudulent activity. 13. What is machine learning in FinTech? A. Hardware system B. Predictive analytics for finance C. Wallet system D. Blockchain mining Answer: B Used for fraud detection and credit scoring. 14. What is credit scoring? A. Wallet rating B. Risk assessment of borrower C. Token system D. API call Answer: B Determines loan eligibility. 15. What is interest rate? A. Token fee B. Cost of borrowing money C. Wallet balance D. Mining reward
Answer: B Fee charged on borrowed funds.
16. What is digital banking? A. Physical banking only B. Online banking services C. Mining system D. Blockchain only Answer: B Banking services delivered digitally. 17. What is neo bank? A. Traditional bank B. Digital-only bank C. Mining company D. Wallet provider Answer: B Banks without physical branches. 18. What is payment processor? A. Wallet B. Handles transaction execution C. Token system D. API server Answer: B Processes card or digital payments. 19. What is settlement in payments? A. API call B. Final fund transfer
A. Crypto exchange B. Euro payment system C. Wallet D. Node system Answer: B European bank transfer system.
24. What is escrow? A. Wallet B. Third-party fund holding C. Token system D. API Answer: B Holds money until conditions are met. 25. What is chargeback? A. Token refund B. Payment reversal C. Wallet sync D. Mining reward Answer: B Customer disputes transaction. 26. What is BNPL? A. Blockchain payment B. Buy Now Pay Later C. Banking node layer D. Token system Answer: B Deferred payment service.
27. What is microfinance? A. Large loans B. Small financial services C. Mining system D. Token exchange Answer: B Provides small loans to individuals. 28. What is fintech API aggregation? A. Wallet sync B. Combining multiple APIs C. Mining system D. Token burn Answer: B Unifies financial services. 29. What is PSD2? A. Crypto protocol B. EU payment regulation C. Wallet system D. Node system Answer: B Regulates open banking in Europe. 30. What is biometric authentication? A. Password system B. Fingerprint/face login C. Token system D. API Answer: B Uses physical traits for security.
Answer: B Uses two different keys.
35. What is HTTPS? A. Token protocol B. Secure web communication C. Wallet system D. Mining system Answer: B Encrypts data between client and server. 36. What is blockchain in fintech? A. Central DB B. Distributed ledger C. API gateway D. Wallet Answer: B Secure decentralized transaction system. 37. What is stablecoin? A. Volatile token B. Price-pegged cryptocurrency C. Mining reward D. Wallet Answer: B Cryptocurrency tied to stable asset. 38. What is CBDC? A. Crypto mining B. Central Bank Digital Currency
C. Wallet system D. Token swap Answer: B Government-issued digital currency.
39. What is liquidity in finance? A. Token supply B. Ease of asset conversion C. Mining speed D. Wallet size Answer: B How easily assets are converted to cash. 40. What is volatility? A. Stability B. Price fluctuation C. Wallet sync D. Token burn Answer: B Degree of price change. 41. What is robo-advisor? A. Human broker B. AI investment system C. Wallet D. Token system Answer: B Automated investment management. 42. What is algorithmic trading?
46. What is cloud fintech architecture? A. Local server only B. Cloud-based financial system C. Wallet system D. Mining rig Answer: B Uses cloud infrastructure. 47. What is microservices in fintech? A. Monolithic system B. Small independent services C. Wallet system D. Token system Answer: B Modular system design. 48. What is event-driven architecture? A. Static system B. Reaction-based system C. Wallet system D. Mining system Answer: B Systems respond to events. 49. What is risk management in fintech? A. Token creation B. Identifying financial risks C. Wallet sync D. Mining Answer: B Reduces financial losses.
50. What is core banking system? A. Blockchain B. Central banking software C. Wallet D. API Answer: B Back-end system for banks. 51. What is payment orchestration? A. Manual banking B. Routing payments through multiple providers C. Token burning D. Wallet sync Answer: B It optimizes payment processing across multiple gateways. 52. What is payment reconciliation? A. Token creation B. Matching transactions across systems C. Mining process D. API gateway Answer: B Ensures records match between systems. 53. What is chargeback fraud? A. Bank transfer B. Illegitimate payment reversal C. Wallet sync D. Token burn Answer: B Customer falsely disputes a valid transaction.
Answer: B Global interbank communication network.
58. What is ISO 20022? A. Blockchain protocol B. Financial messaging standard C. Token system D. Mining protocol Answer: B Modern global financial messaging standard. 59. What is fraud scoring? A. Token rating B. Risk probability scoring C. Wallet sync D. Mining reward Answer: B Assigns risk level to transactions. 60. What is behavioral analytics in fintech? A. UI design B. User activity monitoring C. Token burn D. Wallet creation Answer: B Detects anomalies in user behavior. 61. What is synthetic identity fraud? A. Real identity theft B. Fake identity creation
C. Wallet system D. Mining issue Answer: B Combines fake and real data to create identity.
62. What is AML monitoring system? A. Token system B. Detects suspicious transactions C. Wallet sync D. Node system Answer: B Prevents money laundering activities. 63. What is sanctions screening? A. Token validation B. Checking against restricted lists C. Mining system D. Wallet sync Answer: B Ensures compliance with global regulations. 64. What is fintech API gateway? A. Database B. Entry point for APIs C. Wallet D. Token system Answer: B Manages API traffic and security. 65. What is microservices architecture in fintech?
69. What is data lake in fintech? A. Wallet B. Centralized raw data storage C. Token system D. Mining pool Answer: B Stores large-scale financial data. 70. What is data warehouse? A. Wallet system B. Structured analytics storage C. Token system D. Mining system Answer: B Used for reporting and analytics. 71. What is ETL process? A. Encrypt-Transfer-Log B. Extract-Transform-Load C. Event-Token-Ledger D. Exchange-Trade-Limit Answer: B Processes data pipelines. 72. What is API throttling? A. Wallet sync B. Limiting API requests C. Token burn D. Mining Answer: B Prevents system overload.
73. What is latency optimization? A. Increasing delay B. Reducing response time C. Token creation D. Wallet sync Answer: B Improves system speed. 74. What is horizontal scaling? A. Bigger server B. More servers added C. Token burn D. Wallet system Answer: B Expands system capacity by adding nodes. 75. What is vertical scaling? A. More servers B. Stronger server hardware C. Token system D. Wallet sync Answer: B Increases power of a single machine. 76. What is high availability system? A. Offline system B. Always-on system C. Wallet system D. Token system
