FCA accepts 22 businesses into cohort 6 of regulatory sandbox

Maria Nikolova

Examples of propositions that have been accepted into cohort 6 include financial education platforms, a digitised motor finance proposition, safekeeping and transacting of digital assets using distributed ledger technology and a sustainable finance investment platform.

The UK Financial Conduct Authority (FCA) today announces that it has accepted 22 businesses into cohort 6 of the regulatory sandbox to test innovative products and services.

The regulator received 68 applications to cohort 6 of the regulatory sandbox. Applications came from firms operating in the UK and overseas. Primarily, applications came from firms looking to operate in the retail banking, payments and retail lending sectors.

For cohort 6, the FCA called out, for the first time, areas where it would like to see more innovation. This included propositions that ‘make finance work for everyone’ and ‘support the UK in the move to a greener economy’. More than half of the applications received were propositions that seek to address issues around access and exclusion to financial services and vulnerable consumers, with two successful applicants developing sustainable finance models.

Examples of propositions that have been accepted into cohort 6 include financial education platforms, a digitised motor finance proposition, safekeeping and transacting of digital assets using distributed ledger technology and a sustainable finance investment platform, which enables the mobilisation of capital towards green projects.

Tests will be conducted on a short-term and small-scale basis. The FCA works closely with each firm to agree testing parameters and build in appropriate consumer safeguards.

The regulator is also collaborating with key strategic partners and the industry to pilot a digital sandbox, which looks to provide enhanced regulatory support for innovative firms tackling challenges caused by the coronavirus.

Firms that have been accepted to test in the regulatory sandbox are:

AgeWage; AID:Tech; DLA Piper; Climate Chain; CrediCar; Crowdz UK; Faizpay; Fronted; FundAdminChain; HipayUK; Hitachi Europe Limited; HUB Financial Solutions; Huozhi; Mintago; Moneyfold; My Ahmed Ltd; Nest Insight; NestEgg; Project Pyctor; Student Finance; Weather Solutions; Your Block.

Let’s recall that the FCA accepted 29 businesses into cohort 5 of the regulatory sandbox to test innovative products, services, business models and delivery mechanisms.

Read this next

Digital Assets

Societe Generale launches its own cryptocurrency, EURCV

French banking giant Societe Generale has launched its own euro-pegged stablecoin, EUR CoinVertible (EURCV). This move by France’s third-largest bank reflects the increasing trend of mainstream financial institutions embracing cryptocurrencies on a global scale.

Executive Moves

Stelios Eleftheriou leaves NAGA Group to join BVNK

BVNK, the crypto-powered payments and banking platform for businesses, has appointed FX industry veteran Stelios Eleftheriou, who has a colorful career across the gaming industry, as Business Development Director (CFD & iGaming).

Retail FX

CAPEX.com introduce ETFs on UAE, Saudi stocks

Abu Dhabi-based broker CAPEX.com has expanded its asset class offerings to include a new suite of Exchange-Traded Funds (ETFs) tailored for the United Arab Emirates (UAE) and Kingdom of Saudi Arabia (KSA) markets.

Institutional FX

Tradeweb Markets surges past $1.80 ADV in November

Tradeweb Markets Inc. (Nasdaq: TW) has reported a total trading volume of $38.2 trillion and a record average daily volume (ADV) of $1.80 trillion for November 2023. These figures mark a 59.2% year-over-year increase.

Inside View

A Mission in Accounting

Ismael Haber, an auditor and accountant, has made it his mission to help businesses improve the quality of their financial information by eliminating fraud and error. In the next five years, the demand for these specific financial services, being external financial audits, forensic accounting, and other fraud preventive and detective services is envisaged to increase.

Institutional FX

CME Group to launch new spot FX marketplace ‘CME FX Spot+’ in 2024

US derivatives exchange, CME Group today announced plans to introduce ‘CME FX Spot+’, a novel spot foreign exchange (FX) marketplace.


FMLS:2023: Andrew Mreana provides an exclusive sneak peek into cTrader’s 2024 innovations

cTrader’s focus for the next year would be on developing new tools for Introducing Brokers (IBs) and partners, particularly those related to algorithmic (algo) trading, the company’s head of growth told FinanceFeed in an exclusive interview at the Finance Magnates London Summit 2023.

Digital Assets

Grayscale’s Ethereum ETF stalls: SEC extends review to January 2024

The United States Securities and Exchange Commission (SEC) has extended the evaluation period for Grayscale’s proposed Ethereum spot ETF.

Institutional FX

BMLL completes China equity data offering: Shanghai, Shenzhen, and Hong Kong

“Demand for China data has never been higher. This is set against a general industry trend of increased market participant sophistication, and an increasing demand for quality historic market data to understand market microstructure and venue behaviour. Market participants need to get the full picture of market quality, liquidity and order book dynamics to ultimately make better informed decisions on the markets they trade and the venues they run.”