The Fintech Report

U.S. Developments Regulatory Updates  FinCEN Issues Advisory on FATF’s Updated Recommendations On October 31, FinCEN published an advisory on the international Financial Action Task Force’s (FATF’s) updated list of jurisdictions with serious regulatory deficiencies in anti-money laundering and combatting the financing of terrorism (AML/CFT). The advisory focused on North Korea (DPRK) and Iran, and FinCEN reminded financial institutions of their obligations when dealing with those jurisdictions.…
International Developments Policy Updates IMF and World Bank Launch Bali FinTech Agenda On October 11, 2018, the International Monetary Fund (“IMF”) and the World Bank Group launched the Bali FinTech Agenda, “a set of 12 policy elements aimed at helping member countries to harness the benefits and opportunities of rapid advances in financial technology that are transforming the provision of banking services, while at the same time managing the inherent risks.”  The 12 policy…
On October 3, 2018, a group of federal bank regulators and FinCEN announced in a joint statement that banks and credit unions could collaborate and share resources to manage their Bank Secrecy Act (“BSA”) and anti-money laundering (“AML”) obligations.  A collaborative arrangement does not modify or abrogate any of the bank’s BSA/AML obligations, and the joint statement merely provides examples and guidance for how banks can manage their obligations more effectively and efficiently. Banks that…
The following is a summary of Fintech specific related topics, for the Blockchain Week in Review, please visit our sister blog post at the Virtual Currency Report. Roundup of CFTC Resources The Commodity Futures Trading Commission (CFTC) announced on September 20, 2018 that it would hold an open meeting on September 27, 2018 to discuss fintech cooperation agreements, among other topics not directly related to virtual currencies. The CFTC cancelled the open meeting on September…
The following is a summary of Fintech specific related topics, for the Blockchain Week in Review, please visit our sister blog post at the Virtual Currency Report. State Bank Regulators and NYDFS to renew litigation against OCC On September 12, the Conference of State Bank Supervisors (“CSBS”) announced that it would renew litigation efforts in opposition to the Office of the Comptroller of the Currency’s (“OCC”) decision to accept applications from financial technology firms for…
The following is a summary of Fintech specific related topics, for the Blockchain Week in Review, please visit our sister blog post at the Virtual Currency Report. Varo Bank Receives Preliminary Approval for a National Bank Charter On September 4, the organizers of the fintech start up Varo Bank, N.A. announced that they have been granted preliminary approval by the Office of the Comptroller of the Currency (“OCC”) for their application to form a de…
The following is a summary of Fintech specific related topics, for the Blockchain Week in Review, please visit our sister blog post at the Virtual Currency Report. U.S. Chamber of Commerce Announces FinTech Innovation Initiative The U.S. Chamber of Commerce released “FinTech Innovation Initiative: Bridging the Gap Between Tech and D.C.”  The document includes a number of guiding principles for the FinTech industry, which include, among other things, promoting “new and innovative ways…
The following is a summary of Fintech specific related topics, for the Blockchain Week in Review, please visit our sister blog post at the Virtual Currency Report. OCC Begins Accepting National Bank Charter Applications from Financial Technology Companies On July 31, the Office of The Comptroller of the Currency (“OCC”) announced that it will begin accepting applications for special-purpose national bank charters from fintech companies engaged in banking. A special-purpose national bank is a national…
FINRA Issues a Regulatory Notice for Firms to Let FINRA Know About Digital Asset Activities On July 6, the Financial Industry Regulatory Authority (“FINRA”), a self-regulatory organization that primarily oversees the regulation of broker-dealers, issued a new Regulatory Notice to encourage firms to notify FINRA if they engage in activities related to digital assets. For FINRA, the Regulatory Notice is part of a greater effort to determine the extent of FINRA member involvement relating to…
Summary of SDNY order holding that CFPB is unconstitutional CFPB v. RD Legal Funding, LLC, 17-cv-890 (June 21, 2018, S.D.N.Y.) Last week, a federal court in New York ruled that the entire Consumer Financial Protection Bureau (“CFPB”) is unconstitutional. The CFPB was established by Congress in response to the 2007-2008 financial crisis to regulate financial institutions and protect consumers, especially with respect to mortgages, credit cards, and student loans. Although the CFPB has refrained from…