-
Ìàðèíà Èâàíîâà Ìèëèíîâà
New Opportunities for Development of the Fintech Sector through the Sandbox Regulatory Regime
Summary:
The changes that are becoming more and more rapid and irreversible in the financial world inevitably lead to the need to introduce tools for their monitoring and regulation. This need for legislation requires the emergence of new technologies, including and the new sandbox-type control modes. The RegTech Sandbox itself is one of the sophisticated RegTech regulatory technology tools. The Sandbox is a "safe place" where businesses can test their innovative products and services, business models and delivery mechanisms so that consumers are protected. New financial products and technologies can be checked to see if they meet certain rules, regulatory and safety requirements. The most significant contribution from the use of sandbox is the help they provide to new companies to orient themselves in compliance with the complex legal and regulatory norms governing the financial industry.
-
Elena Stavrova
The Changes in the Banking Industry under the Influence of the Digitalization Process in the Conditions of Covid-19 Pandemic
Summary:
The market capitalization on the world banking market reached USD 7.2 trillion, and on the digital banking market - more than USD 800 trillion. The average annual growth of 4% has long been a stable source of income for banks. The development of digital consumer lending and payment systems is also attracting non-banking players, who are expanding their influence in institutional business, which makes the corporate banking market dynamic. The profound change brought about by the open and interconnected corporate banking ecosystem is taking place in conditions of extreme change, zero interest rates and a surplus of money supply. Although some areas of the financial markets are less exposed to these significant shocks, it is impossible to protect them from development in an open ecosystem. These changes may even be slower or less pronounced in some services, such as structured lending, large corporate payments, but technological developments are also taking place. Working with 'full vaults', emerging FinTech competitors, the COVID-19 pandemic and the slower-than-expected recovery of global supply chains are all challenges that banks need to address and are the subject of this study.
-
Svetoslav Borisov
Regulatory and Tax Challenges to Cryptoasset Market
Summary:
Many potential benefits of crypto assets for the financial sector are widely recognized, including cost savings, improved efficiency and transparency. The proliferation of cryptocurrencies and the remarkable expansion of novel economic practices associated with them pose an unprecedented challenge to established norms of taxation and market regulation. Currently, at the EU-wide level, there is a regulatory gap, which contributes to legal uncertainty and weak investor protection. The European Commission took the first steps to assume its competence over all crypto assets within the EU and, after a comprehensive review of the entire crypto assets ecosystem, issued a proposal for a regulation on markets in crypto assets. The EU legislative initiatives seek to unlock the potential of crypto-assets while mitigating the risks to financial stability, market integrity and consumer protection. This will lead to additional and better financial products for consumers, improving financial inclusion and financing of businesses. This study analyzes the regulatory achievements and challenges to overcome the widespread implementation of blockchain technology and the use of cryptocurrencies. The strengths and weaknesses in the tax practices for taxation of virtual currencies in some countries are discussed, and the emphasis is on the possibilities for overcoming the problem of tax evasion.
