A near dozen financial regulators from countries around the world have collaborated to form a new network to help further the development of financial technologies like blockchain.
Now labeled as the ‘Global Financial Innovation Network (GFIN)’, the alliance sees 11 financial regulators of their respective nations come together under a proposed mandate by the U.K.’s Financial Conduct Authority (FCA) earlier this year. The British regulator is working with 11 counterparts from nations including Australia, Abu Dhabi, Bahrain, Dubai, Hong Kong, Singapore and Canada.
The GFIN’s genesis is based on the idea of a ‘global sandbox’, the FCA said, suggesting the network will help bridge innovative firms to interact with regulators both domestically and internationally “between countries as they look to scale new ideas”, the announcement added.
Now in a preliminary phase that sees the body seek feedback for core objectives, a roadmap and where its priorities should lie, the GFIN stressed its main functions would include bringing firms “with an environment in which to trial cross-border solutions.”
The FCA has already seen 50 responses as feedback to its own consultation call earlier in February 2018 when it embarked on the idea of launching a ‘global sandbox.’ The key takes from the responses included a focus on emerging financial technologies such as blockchain technology and the ‘regulation of securities and Initial Coin Offerings (ICOs),” the latter a radical new form of fundraising in recent years powered by cryptocurrencies.
Coinciding with its launch, the group has published its consultation paper and is seeking public feedback up to mid-October, this year.
Among the member bodies, a number of regulators from Abu Dhabi, Hong Kong, Singapore and Bahrain are already working on blockchain endeavors involving cross-border payments, trade finance and a number of other applications for the decentralized technology.