As published recently by FINMA, the Swiss Financial Market Authorities, the introduction of the new FinTech licence and a revision of the provisions relating to the sandbox necessitate certain technical changes to supervisory practice. FINMA already published the relevant revised circulars. As already mentioned in a previous newsletter (https://www.irglobal.com/article/swiss-fintech-license-goes-live-2) the Swiss parliament has introduced a new licensing category for FinTech companies. Furthermore, the Federal Council has adjusted the provisions concerning the sandbox. The changes will enter into force on 1 July 2019.
In particular but not limited to, FINMA relaxed the requirements relating to risk analysis and audit strategy for these institutions compared with larger or more complex companies (related to the FinTech licence). Based on the comments received, FINMA supplemented and refined the circular and prescribed an annual audit to ensure compliance with information requirements in relation to non-secured deposits.
Also and with respect to the sandbox, FINMA sets out its interpretation of the term “interest rate differential business” related to receiving deposits up to CHF 1 million. By doing so, FINMA is increasing the legal certainty for persons who wish to make use of the sandbox in the future.
Diego Benz, [email protected]