Global Weekly Fintech Round-up
14 October 2019
14 October 2019
Welcome to this week's global fintech round-up, summarising fintech regulatory developments that have happened around the world along with our Clifford Chance fintech publications and upcoming events.
Details of these and previous developments can also be found on our Fintech Topic Guide on the Clifford Chance Financial Markets Toolkit.
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CLIFFORD CHANCE PUBLICATIONS AND MATERIALS
Talking Tech Article – Syndicated loans: can you sign electronically?
Talking Tech article – Australia gets serious about fintech: new committee eyes reforms
Talking Tech article – Is Romania set to become CEE's fintech hub? At first glance no; but take a closer look
Talking Tech Article – First piece of Russian crypto legislation becomes effective
Talking Tech Article – The Law Commission's report on electronic signatures: paving the way for digitalisation?
For those who weren't able to join us in Berlin for September's inaugural Talking Tech Live conference, we captured some of the highlights.
GLOBAL LEGAL AND REGULATORY UPDATES
- (10 Oct 2019) Securities and Exchange Commission (SEC) announces that it has denied Bitwise's exchange-traded fund application due to a failure to demonstrate that the bitcoin spot market is free from manipulation. | SEC order.
- (10 Oct 2019) Commodity Futures Trading Commission (CFTC) Chairman, Heath P. Tarbert, comments on cryptocurrency regulation and states that ether, like bitcoin, is a commodity under the Commodity Exchange Act. | Press release.
- (9 Oct 2019) Internal Revenue Service guidance and FAQs on the tax treatment of virtual currencies. The guidance addresses, amongst other things, the tax treatment of a cryptocurrency hard fork and the FAQs cover issues related to holding virtual currency as a capital asset. | Press release.
- (9 Oct 2019) Senate Committee on Banking, Housing, and Urban Affairs announces it will be holding a Committee hearing, 'An Examination of Facebook and Its Impact on the Financial Services and Housing Sectors', on 23 Oct 2019. | Hearing webpage | Press release.
- (1 Oct 2019) Federal Deposit Insurance Corporation Chairman, Jelena McWilliams, speech on the future of banking, in which she states that 'data is the new capital'.
- (26 Sep 2019) CFTC Commissioner, Dan M. Berkovitz, speech on reforms to the global financial system, in which he cites the improvement of financial infrastructure technology as central to the CFTC's work and calls on increased collaboration with fintechs to facilitate more effective and efficient compliance.
- (4 Oct 2019) Securities and Futures Commission circular on regulatory standards for licensed corporations managing virtual asset portfolios. | Portfolio managers' terms and conditions.
- (30 Sep 2019) Financial Services Agency consultation (in Japanese) on proposed amendments to its guidelines for financial institutions. Amongst other things, the amendments define cryptoassets as 'non-specific assets', which would mean trusts would be unable to invest in them.
- (7 Oct 2019) Monetary Authority of Singapore Chairman, Tharman Shanmugaratnam, response to a parliamentary question in which he summarises the current regulatory regime applicable to digital advisors.
- (8 Oct 2019) EU Commission's science and knowledge joint research centre report on the use and impact of distributed ledger technologies in finance, industry, trade and the public sector. | Press release.
- (20 Sep 2019) Federal Government response (in German) to parliamentary questions on Facebook's cryptocurrency project, in which it states, amongst other things, that it will work to prevent stablecoins being established as an alternative to legal tender | Press release (in German).
- (3 Oct 2019) Token and TT (Trusted Technologies) Service Provider Act (in German) passed by Parliament. The law, which will enter into force on 1 January 2020, is intended to improve investor protection, combat money laundering and provide regulatory clarity with regards to the token economy. | Press releas
- (1 Oct 2019) Amendment to Civil Code on digital rights (in Russian) enters into force. This law gives a legal definition to certain categories of cryptoassets ('digital rights') and smart contracts and creates a basic legal framework for cryptoassets in Russia. | Press release (in Russian) | Clifford Chance summar
- (9 Oct 2019) BoE Finance Policy Committee meeting record and financial policy summary, which amongst other things discusses innovation in the payments sector and sets out principles that innovative payment systems, such as Facebook's proposed cryptocurrency project, would have to follow
- (8 Oct 2019) The Bank for International Settlements (BIS) and the Swiss National Bank (SNB) have signed a cooperation agreement to collaborate on establishing an Innovation Hub in Switzerland and on projects relating to central bank digital currencies and monitoring of electronic markets. | Press release.
CLIFFORD CHANCE EVENTS
London Perspectives Series: The digital future of finance (12/13 Nov 2019): The Huw van Steenis report on the Future of Finance predicts major changes for the finance industry over the next decade, as the market and regulators adapt to a digital economy. Our experts will discuss what this means for financial institutions and how the Bank of England is looking to shape this transformation through smart data, the responsible use of AI and by responding to new risks. | For more information and to RSVP see the event webpage.
London Perspectives Series: Loan and securitisation transactions - getting smarter? (3/4 Dec 2019): Much buzz surrounds the possibility of using blockchain and smart contracts to replace the role of the middle man and enhance efficiency so reducing the costs in financial transactions. Drawing on our experiences from the US, Europe and London, this session will examine the extent to which lending and securitisation are ripe for this treatment and how far it is already underway. | For more information and to RSVP see the event webpage.
Frankfurt - Legal Revolution 2019 (4-5 Dec 2019) CREATE. DISRUPT. DELIVER. The pace of digital change is rapidly accelerating and has an impact on all sectors, including legal advisory services. On 4 - 5 December, Europe's largest congress and exhibition for legal innovation will take place in Frankfurt, Germany: The Legal ®Evolution 2019. We are proud to be the main sponsor of this trendsetting exhibition and congress for the entire legal department, compliance department and law firm. With us and many other exhibitors, you will learn more about efficient legal processes, legal tech and legal design, and about artificial intelligence, cyber security, data protection, change management and much more. | For more information see the event webpage
This publication does not necessarily deal with every important topic nor cover every aspect of the topics with which it deals. It is not designed to provide legal or other advice. Clifford Chance is not responsible for third party content. Please note that English language translations may not be available for some content
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