The UK’s Financial Conduct Authority (FCA) has unveiled plans to establish a ‘regulatory nursery’ for newly-authorised financial services companies, creating a period of greater oversight and guidance as they develop.
The World Economic Forum (WEF), in collaboration with the Shanghai Advanced Institute of Finance (SAIF) has published a new white paper, ‘At a Crossroads: The Next Chapter for FinTech in China.’
The Financial Stability Institute (FSI) has published an Occasional Paper by Fernando Restoy on how regulation should encourage fair competition between traditional banks and new fintech and big tech players.
Amid the chaos that Covid-19 has wrought on the financial sector, it has also created an urgency to prioritise and deploy regulatory innovation and fintech initiatives.
With the centrality of technology and innovation to the financial sector only growing, the US’ SEC recently announced that the Strategic Hub for Innovation and Financial Technology, commonly referred to as FinHub, is to become a stand-alone office.
Fintech promises to revolutionise the financial sector, with efficiency, choice, and financial inclusion on the horizon. However, disruptive growth in finance needs to be supervised and regulated so risks are properly managed. That’s where regulatory sandboxes come in – they allow start-ups to trial innovations under the watchful eye of authorities.
A recent Bank of International Settlements (BIS) paper takes a deep dive into the landscape, prospects and challenges of FinTech in Latin America, arguing that the continent is at the cusp of progress in this area.
Regulatory Technology, or RegTech, could help transform today’s regulatory landscape, drawing on similar advances as FinTech to improve the efficiency, utility and cost of supervision.
A recent European Commission (EC) consultation – designed to inform the new EU digital finance strategy – has been considering amendments to the EU regulatory framework in response to rapidly evolving financial-technology landscape.
A couple of weeks ago we highlighted news that the Covid-19 crisis has been a boon for digital payments in India, traditionally a cash-is-king country. However, India is, of course, not alone in choosing to shun paper currency right now, with digital payments and, in some cases, fintech services, receiving a pandemic boost worldwide.