Tag: FinTech

Insights arising from the discussions held at the FCA’s quarterly Cyber Coordination Group meetings

On 8 December 2022, the FCA published a new webpage providing insights arising from the discussions held at the FCA’s quarterly Cyber Coordination Group (CCG) meetings throughout 2021. The webpage is split into three sections: the first highlights the cyber risk landscape, as well as emerging cyber risks discussed at the CCGs in 2021. The … Continue Reading

Digital Regulation Cooperation Forum workplan 2023 to 2024: Call for input

On 7 December 2022, the Digital Regulation Cooperation Forum (DRCF) issued a call for input on its workplan for 2023 to 2024. The DRCF comprises of four UK regulators – the Competition and Markets Authority, the Office of Communications, Information Commissioner’s Office and Financial Conduct Authority – which seek to deliver a coherent approach on … Continue Reading

DAO token holder personal liability continues to take center stage for the CFTC

A seemingly straightforward enforcement action by the Commodities Futures Trading Commission (CFTC) has attracted the attention of US regulators, large digital asset industry players and the crypto industry in general for its potential wide-reaching implications for DAO governance. The CFTC pushed back on various amicus briefs filed by top industry participants in the digital asset … Continue Reading

Reflections on DeFi, digital currencies and regulation – speech by Jon Cunliffe

On 21 November 2022, the Bank of England (the Bank) published a speech by Jon Cunliffe at Warwick Business School’s Gilmore Centre Policy Forum Conference on Defi and Digital Currencies. In his speech, Mr Cunliffe reflects on recent crypto market developments and the work the authorities are doing on the regulation of crypto stablecoins and … Continue Reading

The European Council of the European Union announces the adoption of the Digital Operational Resilience Act

On 28 November 2022, the Council of the European Union adopted the Digital Operational Resilience Act (DORA). Now that the DORA proposal is formally adopted, aspects that require national transposition will be passed into law by each EU Member State. At the same time, the relevant European Supervisory Authorities, such as the European Banking Authority, … Continue Reading

New UK – Singapore MoU boosting FinTech trade and cooperation

On 25 November 2022, the UK and Singapore reached an agreement on a new Memorandum of Understanding (MoU) boosting FinTech trade and cooperation at the seventh UK-Singapore Financial Dialogue in Singapore. The UK and Singapore have agreed on a MoU on the UK-Singapore FinTech Bridge. The FinTech Bridge seeks to support continued growth, investment and … Continue Reading

FCA concerned about problem behaviours linked to trading app design

On 21 November 2022, the FCA announced that it has warned stock trading app operators to review design features, including those with game-like elements, which risk promoting consumers to take actions against their own interests. Features the FCA have warned operators to avoid include, sending frequent notifications with the latest market news and providing consumers … Continue Reading

FCA publishes Discussion Paper on the potential competition impacts of Big Tech entry and expansion in the retail financial services industry

On 25 October 2022, the FCA published Discussion paper DP22/5 on the potential competition impacts of Big Tech entry and expansion in retail financial services. The Discussion Paper notes that Big Tech firms’ presence internationally and in UK financial services markets has been increasing, with the potential to grow and change market outcomes quickly. Big … Continue Reading

FSB consultative document on achieving greater convergence in cyber incident reporting

On 17 October 2022, the Financial Stability Board (FSB) published a consultative document in which it sets out proposed recommendations to address impediments to achieving greater convergence in cyber incident reporting (CIR) with a view to promoting better practices, while recognising that a one-size-fits-all approach is not feasible or preferable. The FSB’s proposals include: Recommendations … Continue Reading

PRA / FCA Joint Discussion Paper 22/4 ‘Artificial intelligence and machine learning’

On 11 October 2022, the PRA and FCA jointly published Discussion Paper 22/4 ‘Artificial intelligence and machine learning’ (DP22/4). The FCA, PRA and Bank of England have a close interest in the safe and responsible adoption of artificial intelligence (AI) in financial services. Although the use of AI may bring a range of benefits, it … Continue Reading

International Regulation of Crypto-asset Activities: A Proposed Framework – For Consultation

On 11 October 2022, the Financial Stability Board (FSB) published a consultative report which sets out a number of proposed recommendations to promote the consistency and comprehensiveness of regulatory, supervisory and oversight approaches to crypto-asset activities and markets intended to strengthen international cooperation, coordination and information sharing. The recommendations apply to any type of crypto-asset … Continue Reading

ESMA publishes report on the DLT pilot regime

On 27 September 2022, the European Securities and Markets Authority (ESMA) published a report on the Regulation on a pilot regime for market infrastructures based on distributed ledger technology (DLT Pilot). The DLT Pilot will start applying on 23 March 2023. The DLT Pilot includes a recital requiring ESMA to assess whether the regulatory technical … Continue Reading

DRFC publishes response to call for input submissions on the algorithmic processing work stream

On 23 September 2022, the Digital Regulation Cooperation Forum (DRCF) published stakeholder views submitted in response to two discussion papers that it published in April 2022 related to algorithmic auditing. One of the papers looked at the specific harms and benefits posed by algorithmic systems, including those powered by machine learning methods. The other looked … Continue Reading

Regulating crypto-assets in Europe: Practical guide to MiCA

We have published a new briefing note, Regulating crypto-assets in Europe: Practical guide to MiCA. The briefing note provides a high-level overview of some of the key requirements that the new legislation will impose upon issuers of crypto-assets and crypto-asset service providers and sets out some practical points for consideration for firms active in crypto-asset … Continue Reading

Monthly Global FinTech regulatory updater

Every month we provide the Global Blockchain Business Council’s Post-Trade Distributed Ledger group with a global regulatory FinTech updater, the latest version of which can be found here  Post Trade Distributed Ledger (PTDL) Group is composed of over 40 prominent market infrastructure stakeholders whose shared vision of the use of distributed ledger technology has brought … Continue Reading

FCA Occasional Paper No. 61 ‘Robo-Advice for Borrower Repayment Decisions’

Introduction On 30 August 2022, the FCA published Occasional Paper No. 61 ‘Robo-Advice for Borrower Repayment Decisions’. Concerns about consumer indebtedness and financial distress are growing. Most debt advice services – both free and paid for – are designed to help consumers already in serious financial difficulty. But poor repayment decisions upstream of this – … Continue Reading

FCA launches webpage on diversity, equity and inclusion innovation spotlight

 On 24 August 2022, the FCA launched a new webpage announcing that it has launched a diversity, equity and inclusion (DEI) spotlight initiative. The initiative aims to encourage firms developing innovative products, focused in the DEI space, to work with the FCA’s innovation services. The FCA is mindful that the financial wellbeing of consumers has … Continue Reading

Terms of reference for the Digitisation Taskforce

On 20 July 2022, HM Treasury published the Terms of Reference for the Digitisation Taskforce. On 19 July 2022, the Government announced that it would be taking forward Mark Austin’s Secondary Capital Raising Review (SCRR) recommendation to establish a taskforce driving forward full digitisation of shareholdings, led by an independent, neutral chair. The objectives of … Continue Reading

IOSCO recommendations related to the use of innovation facilitators

On 14 July 2022, the International Organization of Securities Commissions (IOSCO) issued a report on the use of innovation facilitators in growth and emerging markets. The report covers three types of innovation facilitators (IFs): innovation hubs, regulatory sandboxes, and regulatory accelerators. Chapter 1 of the report covers definitions and the risks and opportunities posed by … Continue Reading

Monthly Global FinTech regulatory updater

Every month we provide the Global Blockchain Business Council’s Post-Trade Distributed Ledger group with a global regulatory FinTech updater, the latest version of which can be found here. Post Trade Distributed Ledger (PTDL) Group is composed of over 40 prominent market infrastructure stakeholders whose shared vision of the use of distributed ledger technology has brought them … Continue Reading

ESMA consults on draft guidelines on standard forms, formats and templates to apply for permission to operate a DLT market infrastructure

On 11 July 2022, the European Securities and Markets Authority (ESMA) published a consultation paper on draft guidelines on standard forms, formats and templates to apply for permission to operate a distributed ledger technology (DLT) market infrastructure. Regulation No 858/2022 on a pilot regime for market infrastructures based on distributed ledger technology (DLTR) introduces three … Continue Reading

KryptoFAV: Germany introduces crypto fund units as part of dematerialisation of securities law

Germany further broadens the scope of its new legislative regime for electronic securities: On 18 June 2022, the German Regulation on Crypto Fund Units (Verordnung über Krypto­fonds­an­teile – KryptoFAV; link) entered into force. The KryptoFAV introduces the possibility to issue units in common funds (Sonder­ver­mögen) via decentralised crypto securities registers which are typically based on distributed ledger … Continue Reading

Published in OJ – Regulation 2022/858 on a pilot regime for market infrastructures based on DLT, and amending MiFIR, CSDR and MiFID II

On 2 June 2022, there was published in the Official Journal of the EU, Regulation 2022/858 of 30 May 2022 on a pilot regime for market infrastructures based on distributed ledger technology (DLT), and amending MiFIR, CSDR and MiFID II. Most of the provisions of the Regulation apply from 23 March 2023. The Regulation is … Continue Reading

HM Treasury consultation on managing the failure of systemic digital settlement asset firms

On 31 May 2022, HM Treasury published an open consultation seeking views on a regime to address the failure of a systemic digital settlement asset (DSA) firm. The government is taking a staged approach to cryptoasset regulation with the goal to create the conditions for issuers and service providers of stablecoins (used as a means … Continue Reading
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