Senator, The Hon. Jane Hume has announced new laws have been passed to drive fintech innovation and competition in the financial sector with the creation of a fintech regulatory sandbox.
The sandbox allows fintechs to test new products and services for 24 months without obtaining a financial services licence or a credit licence from the Australian Securities and Investments Commission (ASIC). It will provide a safe environment to help fintechs create a minimum viable product to take to market – to work out if their products and services are robust and have value for consumers.
By removing barriers to entry for new fintechs, the regulatory sandbox will enable greater competition in the financial system, which is critical in ensuring that both consumers and businesses get value for money from the financial products and services they use.
More information here. https://ministers.treasury.gov.au/ministers/jane-hume-2019/media-releases/new-laws-passed-drive-fintech-innovation-and-competition