UK Financial Regulator Introduces Global Fintech Sandbox, ‘90%’ Success Rate Domestically

Britain’s Financial Conduct Authority (FCA) is launching a global fintech regulatory sandbox, after the successful progress of their 2016 release of a UK sandbox, that allows for innovative fintech development without requiring a full, strict regulatory process for testing, TrustNodes reports today, March 19.

At the Innovate Finance Global Summit in London, which is taking place March 19-20, FCA board member and Director of Strategy and Competition Christopher Woolard said in a speech that he sees a need for a sandbox on a global level in order for companies to “grow at real scale and pace.”

According to Woolard, 90 percent of the companies that participated in the first round of applications for the UK sandbox, including Blockchain companies and startups, have “gone on to market.” He added that “many firms fin[d] it easier to get funding as a result of participating in the sandbox [because they have learned] an enormous amount about how new technologies are being applied.”

Woolard also sees an “aspiration for global standards” in terms of regulations possibly stemming from collaboration in a global sandbox, eliminating the possibility of redundant regulatory work internationally in areas like AML and KYC:

“Later this week we start work with interested regulators, including colleagues across Europe, the US and Far East, on a blueprint […] Participating in a global sandbox would represent a truly momentous step forward, but we think it could do a lot more than just allow innovators to test their ideas.”

[…]

Read Full: UK Financial Regulator Introduces Global Fintech Sandbox, ‘90%’ Success Rate Domestically