Big Picture

DLT Can Enhance Settlement Systems, But Not Replace Them

14/06/2019

A new paper from Greenwich Associates says DLT cannot replace settlement infrastructure entirely without imposing the very costs it was designed to reduce.

Market Infrastructure

China Issues Draft Rules on Cross-border Data Flows

14/06/2019

It is difficult to see how prior regulatory approval of every transfer of personal data from China is workable, says Hogan Lovells partner Mark Parsons.

Securities / Derivatives

Singapore Bourse Pushes into Foreign Exchange Market

12/06/2019

SGX wants to reduce its reliance on equity index derivatives by aggressively pushing into the FX markets over the next five years.

Market Infrastructure

SFC Directs Prime Brokers on Regulatory Obligations

11/06/2019

If prime services are carried out in Hong Kong, prime brokers are expected to comply with Hong Kong rules and regulations regardless of where the risk positions are booked.

Fintech / Regtech

FSB: Decentralisation Could Benefit Financial Stability

08/06/2019

While decentralised financial technologies do pose risks, they may increase competition and diversity in the financial system and reduce existing entities’ systemic importance.

AML / KYC

MAS Consults on AML/CFT Notices for Payment Services

07/06/2019

The first Notice covers account issuance, money transfers and money changing services. The second Notice sets out a separate framework for digital payment tokens.

Market Infrastructure

FSB, IOSCO Issue Complementary Reports on Market Fragmentation

06/06/2019

The FSB and IOSCO have separately published reports on market fragmentation as they seek to minimise its adverse effects on financial stability and market efficiency.

Crypto / Digital Assets

FSB Issues Report to G20 on Crypto-Asset Regulation

04/06/2019

Forward-looking risk assessments are needed in crypto-asset markets to identify trends that may give rise to financial stability and other risks and assess their potential significance early on.

Market Infrastructure

Banks Should Start Considering HONIA Products – HKMA

03/06/2019

HKMA Deputy Chief Howard Lee says global banks are the “best equipped” and should be taking the lead in the transition to alternative reference rates.