Global Fintech Update
22 September 2022
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.
Digital services regulation in the EU: an evolving landscape
The regulatory landscape for digital services is being fundamentally redefined in the European Union (EU), with a boom in the number of legislative initiatives being progressively introduced and increasing extraterritorial reach.
This article provides a bird's eye view of some of the most recent adopted and pending proposals: the Digital Services Act, the Data Governance Act, the Digital Markets Act, the Data Act, the Cybersecurity Directive (NIS2), the Artificial Intelligence Act and the e-Privacy Regulation.
GLOBAL LEGAL AND REGULATORY UPDATES, INDUSTRY GUIDANCE AND PUBLICATIONS
- (13 Sep 2022) The Group of Central Bank Governors and Heads of Supervision that oversees the Basel Committee on Banking Supervision (BCBS) has reiterated the importance of designing a robust and prudent regulatory framework for banks' exposures to cryptoassets, which the BCBS is expected to finalise by the end of 2022. | Press release
- (16 Sep 2022) The White House has announced a "comprehensive framework for responsible development of digital assets", consisting of a set of new reports from various federal regulatory agencies outlining recommendations to protect consumers, investors, businesses, financial stability, national security, and the environment. | White House Fact Sheet
These include the following:
Department of the Treasury action plan to address illicit financing risks of digital assets | Request for comments (Deadline: 3 November 2022)
- (16 Sep 2022) The Department of Justice has announced the establishment of the nationwide Digital Asset Coordinator Network to support its efforts to combat the threat posed by the illicit use of digital assets. | Press release
- (15 Sep 2022) Testimony of Commodity Futures Trading Commission Chairman, Rostin Behnam, before the United States Senate Committee on Agriculture, Nutrition, and Forestry, regarding the Digital Commodities Consumer Protection Act.
- (15 Sep 2022) Testimony of Securities and Exchange Commission Chair, Gary Gensler, before the United States Senate Committee on Banking, Housing, and Urban Affairs, reiterating his position that most cryptotokens are securities and noting that the SEC is working with crypto intermediaries to ensure they register each of their functions.
- (13 Sep 2022) Speech by United States Senate Committee on Banking, Housing, and Urban Affairs Ranking Member Pat Toomey arguing that new financial products benefit consumers and that regulation should facilitate innovation and consumer choice.
- (19 Sep 2022) Australian Senator Andrew Bragg has presented a Private Member's Bill, The Digital Assets (Market Regulation) Bill 2022, which provides for the regulation of activities relating to digital assets and reporting by certain banks that facilitate digital yuan, China's central bank digital currency. | Press release
- (9 Sep 2022) The Association française des marches financiers (AMAFI) has published its response to the European Securities and Markets Authority's consultation on guidelines on standard forms, formats and templates to apply for permission to operate a distributed ledger technology market infrastructure. | AMAFI response (subscribers only)
(13 Sep 2022) The Russian Prime Minister, Mikhail Mishustin, has instructed the Russian Government to reach a consensus on regulating the issuance and circulation of digital currencies, cryptocurrency mining, and cross-border transactions in digital currencies, by 19 December 2022. | Press release (in Russian)