FCA Launches “Global Sandbox” For Fintech Regulation
The Financial Conduct Authority has launched a new "global sandbox" for fintech regulation. The so-called Global Financial Innovation Network aims to foster innovation in the fintech space by streamlining collaboration between regulators. First announced earlier this week, the GFIN will initially comprise 12 financial regulators and related organisations, including the FCA, united by the common goal of fostering innovation within the fintech space.
The network is intended to provide a more efficient way for innovative firms to interact with regulators across borders and quickly scale new ideas. Additionally, it will create a cooperation framework for financial regulators on matters related to innovation. By allowing regulators to share experiences and approaches, the GFIN intends to facilitate the creation of global regulatory standards for financial technologies.
The GFIN’s first publication is a consultation on the role the network will play in delivering objectives, including the tools it will use. Its three main functions include acting as a network of regulators, providing a forum for joint policy work, as well as creating an environment in which to trial cross-border work.
Christopher Woolard, FCA Executive Director of Strategy and Competition and Board member commented:
“The establishment of the GFIN can help share the experiences and knowledge from across different markets, while also providing a platform for innovative firms wishing to scale their propositions via testing in multiple countries.”