A new agreement between Singapore and Switzerland will focus on Fintech regulation. Regulators from both countries decided to cooperate, allow startups to flourish. Regulation in the fintech sector can be a good thing, but too many startups are encumbered by strict guidelines. This new agreement should alleviate some of those concerns.
The Monetary Authority of Singapore and the Swiss Financial Market Supervisory Authority came to a new agreement. It is not the first time we see such an international collaboration when it comes to fintech. Bilateral treaties will help bolster the international fintech community.
A New Fintech Agreement For Singapore
Both Singapore and Switzerland want to play a significant role in financial technology innovation. That also means new opportunities will have to be created for international expansion. Moreover, both authorities will share information regarding emerging trends and regulatory issues.
Particularly this latter segment could prove to be vital for both countries. While fintech startups should not be left unregulated, not all of the traditional guidelines are applicable. At the same time, these regulatory guidelines can hinder growth in the sector, which needs to be avoided.
Singapore is putting a lot of effort into their fintech strategy lately. An innovation lab was opened in August of 2016. Moreover, the MAS signed agreements with the UK and Australia, similar to the deal with Switzerland. All of this goes to show the country has some big plans for the future of financial technology.
Switzerland, on the other hand, is trying to bolster the local startup community. A point of contact has been created, going by the name of Fintech Desk. Moreover, a local Bitcoin initiative in the Zug area has been gathering a lot of positive attention. An exciting future is ahead for all countries who focus on Fintech innovation, rather than regulation.
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