Weekly Update of Global Fintech【Vol.246】

Recently, Ulrik Vestergaard Knudsen, Deputy Secretary General of the Organization for Economic Co-operation and Development, and Amandeep Singh Gill, Special Envoy of the United Nations SecretaryGeneral for Technology and Under-Secretary-General, announced on the sidelines of the Futures Summit at the United Nations Headquarters in New York that the The UN and the OECD will strengthen their cooperation on global AI governance. It was noted that this collaboration between the two organizations will focus on conducting regular scientific and evidence-based AI risk and opportunity assessments, leveraging their respective networks, convening platforms and ongoing AI policy and governance work, and supporting the efforts of their member States and other stakeholders to promote a globally inclusive approach.

(Source: weiyang, September29, 2024)

On September 17, 2024, the Federal Deposit Insurance Corporation proposed a new regulation that would force banks to keep detailed records for customers of fintech apps. Often, fintech app platforms centralize many customers' funds into one large account at a bank, which typically relies on fintechs or third parties to maintain transaction and ownership information. This situation can expose customers to risks, such as incomplete records being kept by the relevant non-bank institution, which can make it difficult to determine who to pay in the event of a failure.This happened with the Synapse platform crash, which affected more than 100,000 fintech app users, including Yotta and Juno.The FDIC has said that keeping better records will enable the FDIC to quickly, in the event of a bank failure, to The FDIC has said that keeping better records will allow the FDIC to pay depositors quickly in the event of a bankfailure, helping to fulfill the conditions required for “pass-through insurance”. While FDIC insurance won't pay out in the event of a fintech provider's failure, as was the case with Synapse, the enhanced and complete version of the records will help the bankruptcy court clarify the debt situation.

(Source:weiyang September 20, 2024)

On September 25, 2024, the Bank of England announced the launch of the Artificial Intelligence Coalition, which invites public and private organizations to participate by gathering the views of interested parties on the capabilities, development, deployment, and use of AI in financial services in the U.K. Specific objectives include 1) identifying how AI can or may be used in financial services; 2) discussing the benefits, risks, and challenges associated with the use of AI; and 3) informing the Bank of England's approach to addressing risks and challenges and promoting the safe adoption of AI. The deadline for application submissions is November 8, 2024 .

(Source: weiyang, September 29, 2024)

On September 25, 2024, the Monetary Authority of Singapore (MAS) announced the establishment of the Cyber and Technology Resilience Expert Group (CTREX). The panel will replace the previously established Cybersecurity Advisory Group and its mandate will be expanded to include technology resilience, which, along with cybersecurity, is a critical foundation for operational resilience in the financial sector. Going forward, CTREX will advise MAS on the key emerging technology risks and threats facing the financial sector and propose strategies and programs of measures to improve the technological and cyber resilience of Singapore's financial sector. The group, comprising 13 global industry thought leaders, experts and practitioners in cybersecurity and technology resilience, is said to meet for the first time in mid-2025.

(Source: weiyang, September 26, 2024)