CSBS releases Vision 2020 Accountability Report on fintech initiatives

Fintech CSBS Licensing Supervision Vision 2020 Money Service / Money Transmitters

On January 7, the Conference of State Bank Supervisors (CSBS) released a report by its Fintech Industry Advisory Panel outlining progress made on several initiatives to streamline state licensing and supervision of financial technology companies. As previously covered by InfoBytes, the panel was convened in 2017 as part of Vision 2020—a state regulator initiative to modernize the regulation of fintech companies and other non-banks by creating an integrated, 50-state system of licensing and supervision. The Accountability Report charts progress on initiatives identified by the panel, which, according to the announcement, fit into four focus areas: (i) the use of CSBS regtech for licensing and exams, including expanding the use of NMLS among states across all license types for nonbank financial services, developing “state licensing requirements for multi-state consistency,” and launching a new state examination system; (ii) improved consistency among states, including 26 states signing on to the Multistate Money Service Business (MSB) Licensing Agreement, which is intended to streamline the MSB licensing process; (iii) the creation of uniform definitions and practices and the development of a 50-state MSB model law and state accreditation programs for MSBs, which will encourage greater consistency among states; and (iv) increased regulatory transparency, including online resources for state guidance and exemptions, as well as information sessions with regulators and industry to discuss fintech developments.