OSC Publishes TestLab 2022 Report: Exploring Innovations in RegTech with Participate Solutions | National Crowdfunding & Fintech Association of Canada

• Promotion of RegTech Innovation:
  • OSC TestLab, an initiative of the Ontario Securities Commission (OSC), has released its inaugural report outlining the importance of fostering regulatory technology (RegTech) innovation within the capital market.
  • The report underscores the OSC's commitment to making product information more accessible, enhancing client relations, and improving information sharing. The TestLab initiative is designed to provide an environment for market participants and innovators to trial and refine new technologies and approaches.

See:  OSC Announces New and Free SME Institute Webinars

• Collaborative Regulation:
  • The OSC is transitioning from a top-down regulatory model to a more collaborative approach. By directly engaging with the capital market participants, the organization aims to better understand and address the challenges of RegTech innovation.
  • The OSC has demonstrated this through their inaugural test, conducted between June and December 2022, in which seven businesses tested RegTech solutions with over 100 testers, providing invaluable insights and feedback.
• Encouraging Stakeholder Participation:
  • The OSC is actively seeking public input and collaboration for future development in RegTech, underlining the importance of shared perspectives in driving innovation.
  • The OSC's Innovation Office will support RegTech innovation by encouraging greater collaboration among innovators, regulators, and market participants. This includes exploring the potential for machine-readable securities regulation and encouraging capital markets testing through platforms like the OSC IdeaHub.

See:  Financial Institutions and Regulators Alike are Showing Growing Interest in Fintech and Regtech Solutions.

• The following companies participated in the TestLab 2022 event
  • They showcased their unique solutions designed to enhance regulatory technology (RegTech) in Ontario's capital markets. Their proposed solutions varied from wealth management to secure document storage, and they all shared a common goal to experiment, learn, and improve.
  • Despite the different stages of business development, all participants agreed that the TestLab experience was beneficial in highlighting the challenges and successes in their development process. With feedback, several participants were able to enhance their solutions by adding features and functionalities to cater to the requirements of registrants.
  • Both start-ups and multinational enterprises took part in this event, demonstrating that RegTech innovation is not confined to any specific type of business.

View the original release --> here