Online hub to support fintech innovation

The Isle of Man Financial Services Authority has created a dedicated website presence to support the development of fintech innovation in the Island.

New online content provides information about how to submit a licence application, an overview of the legislative framework, and guidance regarding best practice.

It also features a guide to the regulatory sandbox, which offers a way to test financial products or services in a live environment, while reducing the potential risks to consumers.

The Authority is sharpening its focus on innovation to support the goal of encouraging more data-driven and digital ways of doing business within a dynamic, appropriately-regulated finance sector.

Progress to date includes the approval of the Island’s first digital banking licence, the development of new technology platforms, and the introduction of crowdfunding as a regulated activity.

The Authority recently approved a licence for a pioneering e-money and payment services company and is also collaborating with the Department for Enterprise to promote the Fintech Innovation Challenge.

Ros Lynch, Head of Supervisory Practices and Innovation Strategy, said: ‘Innovation has an important role to play in futureproofing the financial services sector and expanding the Island’s economic activities. The Authority is seeking to embrace fintech, while ensuring an appropriate level of compliance and consumer protection.’

She added: ‘Firms are encouraged to look at our website and engage with us at an early stage to discuss their proposals for innovative new products, services and solutions.’

In a wider context, the Authority is continuing to monitor fintech developments around the world as a member of the Global Financial Innovation Network (GFiN).

This work is a key part of efforts to maintain the Isle of Man’s reputation as an agile and forward-looking jurisdiction.