FDIC published a letter for supervised financial institutions to provide information and clarification on the Rapid Phased Prototyping, or RPP, initiative of FDIC. The Rapid Phased Prototyping initiative is a competition designed to accelerate the adoption of modern technological solutions to help financial institutions, particularly community banks, provide more timely and granular data to FDIC in a more effective and efficient manner. The lessons learned from this competition, and future FDIC tech sprints, will promote the safe and sound adoption of technology. The FDIC letter clarifies that solutions or reporting systems produced by this initiative are voluntary and banks will not be required to adopt them.
In its letter, FDIC also highlights the following:
- Rapid Phased Prototyping competitors were selected through an FDIC-approved and -controlled competitive procurement process. The agreements are between the FDIC and the Rapid Phased Prototyping competitors and do not extend to any financial institution.
- Some FDIC-supervised financial institutions have inquired about the FDIC expectations for them to partner with Rapid Phased Prototyping contestants. Rapid Phased Prototyping competitors will independently determine whether they will seek to collaborate with FDIC-supervised financial institutions to receive feedback and input on proposed prototype designs. Financial institutions are not obligated to collaborate with any Rapid Phased Prototyping competitors.
- If financial institutions collaborate with any Rapid Phased Prototyping competitor, they will be responsible for complying with the appropriate consumer protection laws, privacy laws, and other legal requirements.
- Any information collected by competitors in connection with the current Rapid Phased Prototyping is not collected on behalf of, or for, the FDIC.
- During the course of any demonstrations or negotiations of prototype capabilities, FDIC will work with the Rapid Phased Prototyping competitors to ensure compliance with applicable consumer protection laws, privacy laws, and other legal requirements.
Keywords: Americas, US, Banking, Regtech, Suptech, Rapid Phased Prototyping, RPP Initiative FDITech, Reporting, Community Banks, FDIC
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