This story appeared in Bank Digest.
The Consumer Financial protection Bureau, working in collaboration with 11 financial regulators and related organizations, has announced an initiative to create the Global Financial Innovation Network, which will seek to provide a more efficient way for innovative firms to interact with regulators, helping them navigate between countries as they look to scale new ideas. It will also create a new framework for cooperation between financial services regulators on innovation-related topics, according to the Bureau's release.
The Bureau said the collaborative effort is organized around a draft Consultation Document that sets out three main proposed functions of the GFIN: (1) act as a network of regulators to collaborate and share experience of innovation in respective markets, including emerging technologies and business models; (2) provide a forum for joint policy work and discussions; and (3) provide firms with an environment in which to trial cross-border solutions.
The CFPB and the other regulators are seeking views on the mission statement for the GFIN, its proposed functions, and where it should prioritize activity, and would also welcome hearing from other interested regulators who wish to get involved. The working group is asking for feedback on questions contained in the Consultation Document by Oct. 14, 2018.