In this regular update, we round-up FinTech-related regulatory developments for the week ending 12 February 2021.
|GLEIF: ‘LEI Digital Strategy – Digital Certificates and Introducing the vLEI’
The Global Legal Entity Identifier Foundation (GLEIF) has published a presentation titled ‘LEI Digital Strategy – Digital Certificates and Introducing the verifiable LEI (vLEI)’ and a related Questions & Answers (Q&A) document. The presentation contains the issuance and technical infrastructure models for the GLEIF’s verifiable LEI (vLEI) system, which is a secure digital attestation of a conventional LEI. GLEIF’s webpages on its digital strategy for the LEI and the LEI in digital certificates are available here and here.
|PSR issues two CfVs relating to provision of greater protections in payments
The Payment Systems Regulator (PSR) has issued the following two Calls for Views (CfVs) relating to the provision of greater protections in payments:
CP21/3 outlines three measures that the PSR believes could help reduce APP scam losses, while CP21/4 focuses on current and future protections regarding consumers’ interbank payments. Feedback to both CfVs is requested by 8 April 2021. The PSR has also updated its webpage on APP scams. [11 Feb 2021]
|Covid-19: FCA statement on MoU with BoE on supervision of FMI and payment systems
The FCA has issued a statement on its Memorandum of Understanding (MoU) with the BoE on the supervision of financial market infrastructure (FMI) and payment systems. Following a consultation and having reviewed their cooperation in relation to FMI – particularly in the context of the market events of Spring 2020 as a result of Covid-19 – the FCA and BoE have concluded that the arrangements for cooperation set out in the MoU remain effective, with appropriate coordination and no material duplication. [9 Feb 2021]
|PSR Consumer Research
The PSR has published the findings of research it commissioned into consumers and payment systems. The research looked into consumer awareness and perceptions of payments, and also sought to identify what consumers expect from the future payments landscape. The researchers found that consumers’ priorities for the future of UK payment systems focused on tackling fraud and payment scams; improving the security of payment systems; supporting access to cash; and ensuring consumer protection across all payment types.
With regard to digital payments, researchers concluded that age and socioeconomic grade are key predictors of adoption of digital payment methods, with those aged under 35 and those from higher socioeconomic grades significantly more likely to claim they use mobile payments, bank transfers or digital wallets at least weekly. [9 Feb 2021]
|ESAs publish letter on the proposed DORA
The European Supervisory Authorities (ESAs) have published a letter sent to the European Parliament, European Commission and Council of the EU on the proposed Digital Operational Resilience Act (DORA), first published on 24 September 2020. The ESAs agree with the main principles of DORA, and provide recommendations on how to take forward certain aspects of the governance and operational processes of the oversight framework for Critical Third Party Providers (CTPPs) and the application of the proportionality principle in DORA. [9 Feb 2021]
|ECB: Fabio Panetta interview on digital euro
The European Central Bank (ECB) has published an interview with Fabio Panetta, Member of the Executive Board, on the digital euro. Mr Panetta said that the ECB will present its preliminary analysis on the digital euro to the ECB’s Governing Council in early summer 2021. If the Governing Council decides that work should proceed, the ECB will then decide on the operational scope and technical solution, which will take at least 18 months. The Governing Council must then make another decision, following which the digital euro may be implemented. Mr Panetta noted that the implementation of the digital euro could take four or five years. [9 Feb 2021]
|Latest edition of the Australian Securitisation Journal – February 2021
The latest edition of the Australian Securitisation Journal (Edition 19 – February 2021) has been released. Features include:
|RBI releases Statement on Developmental and Regulatory Policies
The RBI has published its Statement on Developmental and Regulatory Policies. The Statement sets out various developmental and regulatory policy measures on the following: