Britain and Australia have signed an Enhanced Cooperation Agreement to extend their existing agreement of cooperation and coordination on FinTech innovation.
In this agreement the Financial Conduct Authority (FCA) and the Australian Securities and Investments Commission (ASIC) have agreed to explore ways to quicken the licensing process in terms of the authorisation of innovative businesses that are already authorised in the other jurisdiction. Where a business is a participant in either Authority’s regulatory sandbox and would like to enter the other’s, the FCA and ASIC will endeavour to facilitate that participation.
The FCA and ASIC will also raise topics or approaches of common interest at an international level to promote greater levels of international cooperation on financial innovation.
“Today’s enhanced agreement underscores the FCA’s and ASIC’s commitment to a deeper level of cooperation on Fintech,” explained Christopher Woolard, FCA’s Executive Director of Strategy and Competition. “Cooperation between regulators is a vital part of helping innovative businesses across international jurisdictions to flourish and bring their products to market for the benefit of consumers.”
In an attempt to build on these types of cooperation agreements, the FCA recently asked for views on the merits of creating a global sandbox, which could potentially allow firms to conduct tests in different jurisdictions at the same time and allow regulators to work together and identify and solve common cross-border regulatory problems.
The FCA says it will consider all feedback received, discuss the concept with international regulators such as ASIC and provide a further update in due course.
Contact Selachii - FinTech Lawyers, London
At Selachii, we understand that while it is fundamentally important for existing FinTech businesses and customers of those businesses to be aware of the regulations that affect them, it is especially important that new FinTech companies are aware of which regulations apply so they can remain compliant. Contact us today to find out how we can help you.
