News Briefing - Crowdfunding, SME And Alternative Finance

Construction workers eat lunch 200 feet up in the air.

1.UK – FinTech

Cryptocurrency News reports “final guidance” on crypto regulation from the FCA.

 

“The Financial Conduct Authority (FCA), a financial regulatory body in the United Kingdom, issued the Final Guidance on Cryptoassets today.

This Policy Statement is FCA’s response to Guidance on Cryptoassets Consultation Paper published in January this year, as it was reported. It summarizes the feedback to that Consultation paper and FCA’s responses, and it sets out the regulator’s Final Guidance that “will enable market participants to understand whether certain crypto assets fall within our perimeter or are otherwise regulated,” adding “Our Final Guidance will make it clear that firms carrying on certain specified activities in relation to cryptoassets in the UK must get the appropriate authorisation from us.”

According to the Guidance, it will enable market participants to have increased certainty regarding their activities “while meeting our own regulatory objectives of consumer protection, enhancing market integrity and promoting effective competition in consumers’ interest.”

Here’s Reuters’ take:

 

“The Financial Conduct Authority said crypto markets were highly dysfunctional, with the onus on consumers to understand the risks associated with investing in unregulated assets.

A combination of market immaturity, volatility, and a lack of credible information or oversight raises concerns about market integrity, manipulation and insider dealing within cryptoasset markets,” the FCA said in a statement.”

2. UK – AltFi

The FCA’s CEO defends the decision to authorise Lendy shortly before its failure.

“Despite concerns about Lendy’s governance, systems and controls, if authorisation had been refused, the platform would have had to cease trading and the FCA was concerned about a disorderly wind-down process, Mr Bailey indicated.

“If we had taken the decision not to authorise there was a risk that the FCA would not be able to ensure the remediation plan progressed as planned, and there was an additional question over whether any redress could have been made if the firm was unable to trade. This could have led to increased consumer harm.

Mr Bailey set out his views in a letter to Lord Myners, the former City minister, who has called for an independent investigation of the regulator’s role in the demise of the peer-to-peer lender.”


 

3. US – FinTech

 

Venture Beat argues the tokenisation of securities is now a reality.

 

“On July 10, the SEC officially cleared blockchain startup Blockstack to hold the first regulated security token offering under Reg A+ crowdfunding rules.

This means that after years of back-and-forth with the SEC, Blockstack now has the regulatory green light to raise $28 million by selling Bitcoin-like, tokenized (digital asset) securities to the public, the first compliant offering of this kind. Influencer live-streaming app YouNow announced just a day later that it had received a similar approval for its Props utility token under the same Reg A+ structure.”

The tokenization of securities is happening right now and no one is noticing | VentureBeat


4. International – FinTech

 

Crowdfund Insider reports.

Crypto Marketplace Huobi Partners with Global Digital Finance to Establish Digital Asset Standards & Best Practices