US Regulatory Authority and Singapore to Collaborate on FinTech Innovation Initiative
Making its way into the mainstream, blockchain continues to garner attention from governments around the world. On Sept. 13, the U.S. Commodity Futures Trading Commission (CFTC) partnered with the Monetary Authority of Singapore (MAS) in an effort to promote fintech innovation.
‘Joint Commitment to Grow the FinTech Landscape’
The signed agreement aims to support new developments in financial technology for both jurisdictions in their respective markets, according to a press release.
The arrangement marks the CFTC’s first collaboration with an Asian regulatory authority, as MAS acts as both a regulatory body overseeing financial institutions and market activity and a facilitator of new technology and infrastructure in the financial industry.
Through the agreement, both regulatory bodies will share information and data on emerging fintech innovations and market trends. The CFTC and MAS will also provide each other with discoveries from proofs-of-concept and innovation competitions.
In the press release, CFTC Chairman J. Christopher Giancarlo said:
“I am delighted to join Ravi Menon in signing this arrangement to demonstrate our mutual commitment to facilitate market-enhancing innovation and share best practices in FinTech engagement. … By collaborating with MAS’ FinTech & Innovation Group, the CFTC, through LabCFTC, can continue to enhance global awareness of the critical role of regulators in 21st century digital markets.”
LabCFTC is the CFTC’s platform for gathering and adopting new information on fintech developments that can help inform policy decisions. With an increasing rate of innovation, LabCFTC ensures that the regulatory body is at the forefront of emerging fintech solutions.
Giancarlo mentioned that LabCFTC will participate in the Singapore FinTech Festival later this year as well.
Expressing similar excitement for their partnership, Ravi Menon, Managing Director of MAS, noted:
“The CFTC is a highly reputed and progressive regulator, with whom MAS has had a close working relationship. This arrangement is a significant step forward in our joint commitment to grow the FinTech landscape. We have seen increasing interest from FinTech firms in the U.S. to expand to Asia. Through this cooperation arrangement, we hope to create more opportunities for firms in both jurisdictions, especially in developing innovative business models for the derivatives market.”
Notably, Menon indicated that the CFTC and MAS would work toward developing new fintech solutions for “the derivatives market,” which could potentially mean the introduction of novel investment products for digital assets.