ASIC just made it easier for Australian fintechs to go global
The regulator has launched the Global Financial Innovation Network with 28 organisations from around the world.
The Australian Securities and Investments Commission (ASIC) has been part of a formal launch of an international network designed to support innovative businesses with global ambitions. The Global Financial Innovation Network (GFIN) was proposed in August 2018 and is a group of 28 international organisations, including ASIC, that supports financial innovation in the interests of consumers.
"Innovation has the potential to offer consumers better quality and value products and services and to promote improved risk management and compliance outcomes by firms through use of regulatory technology," said ASIC Commissioner John Price.
ASIC has entered into a number of cooperation agreements with regulators from various regions including Asia, the Middle East and the US but this is the first international network the regulator has joined for financial innovation. It comes off the back of news that national fintech association FinTech Australia joined the Asia-Pacific FinTech Network earlier in January 2019 to facilitate greater collaboration and encourage innovation across borders.
As part of the launch of GFIN, firms are invited to apply to be part of a pilot to trial and scale new technologies across multiple jurisdictions. This will allow the participating regulators to gain insight into how each product or service might operate in different markets.
Applications must be submitted by 28 February 2019. To take part in the trial, the product or service being tested must meet the regulatory guidelines of each jurisdiction it is being tested in. Australia's guidelines are the ASIC regulatory sandbox licensing exemption rules. The pilot tests will run for a six-month period in Q2 2019.
You can find information on GFIN members participating in the cross-border pilot test on ASIC's website.
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