Regulators in the UK and US have announced a collaborative effort to work on Fintech projects.
The US Commodity Futures Trading Commission (CFTC) and the UK’s Financial Conduct Authority (FCA) have signed an arrangement that commits the regulators to supporting innovative firms through each other’s financial technology (FinTech) initiatives – LabCFTC and FCA Innovate.
“This is the first FinTech innovation arrangement for the CFTC with a non-US counterpart. We believe that by collaborating with the best-in-class FCA FinTech team, the CFTC can contribute to the growing awareness of the critical role of regulators in 21st century digital markets,” said CFTC Chairman J. Christopher Giancarlo.
The Cooperation Arrangement on Financial Technology Innovation (FinTech Arrangement) focuses on information-sharing regarding FinTech market trends and developments.
Andrew Bailey, Chief Executive of the FCA, commented: "International borders shouldn’t act as a barrier to innovation and competition in financial services and that is why agreements like the one we have signed today with the CFTC, a forward looking and proactive regulator, are so important.”
The FinTech Arrangement supports both regulators’ efforts to facilitate responsible FinTech innovation and ensure international collaboration on emerging regulatory best practices.