DFSA Issues Multiple Updates for Financial Entities in March 2022
The Danish Financial Supervisory Authority (DFSA) published an application form for third-country cross-border license, appointed members to a new working group for blockchain and cryptocurrency, and issued a statement on inspection of the local savings bank Sparekassen Djursland.
Below are the key details of the recent updates:
- DFSA has made available an Application Form for the Danish third-country cross-border investment services and activities license. The form must be used when applying for either a license or a renewal of a license including applying for a renewal of a conditional and temporary license granted to a credit institution or an investment firm from the United Kingdom in light of Brexit. The application for renewal of such a license must be submitted to DFSA in due time before the expiration of the license. DFSA encourages submission of the renewal application for a Brexit conditional and temporary license before April 15, 2022, to ensure that DFSA will be able to assess the application before June 30, 2022.
- DFSA has appointed 15 members to the new working group for blockchain and cryptocurrency. DFSA received 85 applications for participation in the new working group, which is intended to support the ongoing work of DFSA and future supervisory function vis-à-vis financial service providers whose activities are based on the use of cryptocurrencies and blockchain.
- DFSA, in November 2021, inspected Sparekassen Djursland, which operated as a local guarantor savings bank with a focus on small and medium-size business customers as well as private customers in the local area of Djursland and the municipalities of Aarhus and Randers. DFSA found that Sparekassen's credit policy required adjustments to clearly reflect the Board's desired risk profile and that at times its credit management was insufficient. DFSA determined that an action plan must be prepared for weak loans. Moreover, the inspection led to an increase in the solvency requirement by 0.2 percentage points to 11% and to increased write-downs of DKK 1.115 million.
Related Links (in Danish)
- Press Release on Application Form for Cross-Border License
- Press Release on Working Group for Blockchain
- Statement on Inspection of Sparekassen Djursland
Keywords: Europe, Denmark, Banking, Brexit, Licensing Applications, Cross-Border Activities, Blockchain, Cryptocurrency, Regtech, Fintech, DFSA
Previous Article
CBB Amends Requirements for Cyber-Security Incident ReportingNext Article
ECB Issues Opinion on Proposed Amendments to CRRRelated Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.