A group of money services businesses, working with other interested parties including the American Bankers Association, issued a best-practices guide for MSBs related to anti-money laundering and Bank Secrecy Act compliance.
The banking system remained strong overall, with robust capital and liquidity and improved asset quality in the second half of 2021, according to the Federal Reserve’s latest supervision and regulation report. Fed expands watch over banks’ fintech use.
According to a recent survey, around 80% of institutional investors believe that cryptocurrency investments are likely to overtake many traditional investment types and predict mainstream adoption.
The Consumer Financial Protection Bureau today said it would invoke a “largely unused” authority under the Dodd-Frank Act to directly examine nonbank financial services providers. “Given the rapid growth of consumer offerings by nonbanks, the CFPB is now utilizing a dormant authority to hold nonbanks to the same standards that banks are held to,” said CFPB Director Rohit Chopra.
As the Federal Reserve continues to consider which entities may become eligible for access to its payments systems, ABA and a coalition of trade groups called for the Fed to clarify how it will address problems of institutions with novel charters—such as state-chartered non-depository banks and crypto firms—seeking access.
Innovation that puts the payment system at greater risk isn’t “disruption.” It’s an unforced error that the Fed can and should easily avoid.
Fintech firms and traditional banks should be governed by proportional policies, International Monetary Fund analysts wrote in recent blog that accompanies the IMF’s latest chapter in its Global Financial Stability Report exploring fintech’s rapid growth.
The FDIC and the Financial Crimes Enforcement Network recognized three teams for excellence in a recent “tech sprint” to develop solutions for banks and regulators to help measure the effectiveness of digital identity proofing—the process used to collect, validate and verify information about a person.
The Financial Stability Board today outlined its work priority areas for 2022, including a timeline for the publication of a series of research reports on a range of financial stability topics.
Banking as a service—where organizations provide retail banking products using an existing licensed institution’s infrastructure—is expected to reach a value of $7 trillion by 2030, according to a new report from core technology provider Finastra.