BCB Publishes Proposal for Regulatory Sandbox
BCB proposed "normative acts" for the controlled testing environment for financial and payment innovations (regulatory sandbox) and on the conditions for provision of products and services in the context of this environment and within the National Financial System and the Brazilian Payments System. The public consultation also covers specifics for the first cycle of the regulatory sandbox, such as duration and limitation of the number of participants, required documentation, classification criteria, schedule of the application phase, and selection and authorization process. Interested parties are requested to submit comments by January 31, 2020.
The regulatory sandbox will allow institutions to test innovative projects (new products, services, or business models) with real customers, subject to specific regulatory requirements. To participate in the regulatory sandbox, companies will need BCB authorization. Therefore, in addition to meeting the eligibility criteria, institutions must submit proposals for the supply of products or services within the concept of an innovative project and within the scope of the National Monetary Council (CMN) and BCB. For the first cycle of the regulatory sandbox, BCB will select 20 companies, which will have a one-year period, renewable for another year, to develop the product.
Related Links (in Portuguese)
Comment Due Date: January 31, 2020
Keywords: Americas, Brazil, Banking, Regulatory Sandbox, Fintech, Regtech, BCB
Previous Article
IASB Publishes Summary of October Meeting of Global Preparers ForumRelated Articles
UK Authorities Consult on Implementation of Basel 3.1 Standards
The UK authorities have published consultations with respect to the Basel requirements for banks. The Prudential Regulation Authority (PRA) published the consultation paper CP16/22 on rules for the implementation of Basel 3.1 standards.
ESAs Issue Multiple Regulatory Updates for Financial Sector Entities
The three European Supervisory Authorities (ESAs) issued a letter to inform about delay in the Sustainable Finance Disclosure Regulation (SFDR) mandate, along with a Call for Evidence on greenwashing practices.
FSB and NGFS Publish Initial Findings from Climate Scenario Analyses
The Financial Stability Board (FSB) and the Network for Greening the Financial System (NGFS) published a joint report that outlines the initial findings from climate scenario analyses undertaken by financial authorities to assess climate-related financial risks.
FSB Issues Reports on NBFI and Liquidity in Government Bonds
The Financial Stability Board (FSB) published a letter intended for the G20 leaders, highlighting the work that it will undertake under the Indian G20 Presidency in 2023 to strengthen resilience of the financial system.
ISSB Makes Announcements at COP27; IASB to Propose IFRS 9 Amendments
The International Sustainability Standards Board (ISSB) of the IFRS Foundations made several announcements at COP27 and with respect to its work on the sustainability standards.
IOSCO Prioritizes Green Disclosures, Greenwashing, and Carbon Markets
The International Organization for Securities Commissions (IOSCO), at COP27, outlined the regulatory priorities for sustainability disclosures, mitigation of greenwashing, and promotion of integrity in carbon markets.
EBA Finalizes Methodology for Stress Tests, Issues Other Updates
The European Banking Authority (EBA) issued a statement in the context of COP27, clarified the operationalization of intermediate EU parent undertakings (IPUs) of third-country groups
EU Finalizes Rules Under Crowdfunding Service Providers Regulation
The European Union has finalized and published, in the Official Journal of the European Union, a set of 13 Delegated and Implementing Regulations applicable to the European crowdfunding service providers.
OSFI Sets Out Work Priorities and Reporting Updates for Banks
The Office of the Superintendent of Financial Institutions (OSFI) published an annual report on its activities, a report on forward-looking work.
APRA Finalizes Changes to Capital Framework, Issues Other Updates
The Australian Prudential Regulation Authority (APRA) finalized amendments to the capital framework, announced a review of the prudential framework for groups.
