Innovation Hub events
ASIC presents at fintech meetups and events to discuss the Innovation Hub and our approach to new business models, and to answer questions on regulation and compliance.
12th ASIC regtech liaison forum
ASIC's 12th Regtech Liaion Forum commenced with an opening address from Commissioner Cathie Armour. ASIC then provided an overview of our latest regtech engagements, followed by an industry panel discussion with RegTech Association board members and AusTrade.
The ACCC the delivered an overview of the Consumer Data Right Conformance Test Suite.
To close, representatives from the Department of Industry, Science, Energy and Resources and ASIC outlined the current Regtech Round of the Business Research and Innovation Initiative (BRII).
Financial Innovation: Regulator Meet-up
ASIC's regulator meet-ups bring together representatives from national bodies to outline their latest initiatives and news with financial innovation and technology. Audience members have the opportunity to submit questions directly to regulators and agencies during this virtual meet-up.
Our session, airing 2PM Friday 27 November, saw ASIC outline the latest from the Innovation Hub and its administration of the Government’s enhanced regulatory sandbox (ERS). APRA provided an overview of its work looking at stored-value facilities, followed by Austrade speaking on international, trade, and investment activities revolving around fintech. Finally, the OAIC and the ACCC covered the latest information on the Consumer Data Right (CDR).
For more information, download a copy of the agenda and presentation slides available at the relevant links or below.
During the webinar, we received several questions that our speakers didn’t have time to answer. Please find some brief responses below:
- What is the threshold for regulation responsibility moving from ASIC to APRA? In the proposed future framework (for SVF providers that offer accounts with functionality that allows account holders to store a significant amount of value for a long period of time) the threshold for requiring APRA authorisation will be $50 million of customer funds held.
- How are, or will be, BNPL considered by the SVF and PPF framework? Currently, BNPL as a standalone product does not meet the criteria to come under APRA authorisation as it is a short term credit facility rather than a facility that customers use to store value. The treatment of BNPL providers is still under consideration.
- Is there a good awareness of the need to ensure that regulatory language appropriately supports technology agnosticism going forward, particularly as it relates to using DLT as an alternative to a database+API? APRA is technology and supplier neutral. Authorised entities must demonstrate an ability to manage the risks of its chosen IT framework, infrastructure and solutions as set out in the relevant prudential standards.
- If an Australian SVF purchased with AUD pays has an at call facility that pays out the customer with a crypto asset, is that covered by these new regulations? The proposed new framework for SVF providers should be flexible enough to accommodate innovative business models and future developments.
Additional FY2019–20 regtech initiatives
ASIC has developed additional regtech initiatives for FY2019–20 with the nature and scale of these initiatives designed in light of the evolving situation surrounding the novel coronavirus (COVID-19).
The design of these initiatives have been informed by previous regtech projects undertaken during FY2018–19. ASIC’s upcoming initiatives include:
- Remote services and supervision webinar (14 July 2020)
A free webinar discussion forum between industry, regulators and guests highlighting regtech’s potential to support the provision and supervision of financial services whilst many staff work remotely. The panel will include representatives from financial firms and professional service providers. If you missed the live event, you can watch the recording below or by following the links provided.
- Responsible lending demonstration webinar (20 August 2020)
ASIC hosted a public problem-solving event with a curated synthetic data set in which selected regtech providers demonstrated how AI/ML can be used to support a firm’s compliance with responsible lending obligations. The regtech solutions were showcased at the public webinar followed by an industry panel discussion.