Update From The Canadian Securities Administrators On Tts Regulatory Sandbox For Fintechs

Last week, the Canadian Securities Administrators (CSA) published some additional information on its CSA Regulatory Sandbox. The CSA Regulatory Sandbox, which was first launched on February 23, 2017, is an initiative of the CSA, designed to support Fintech businesses seeking to offer innovative products, services and applications in Canada.

Generally speaking, businesses must register under Canadian securities laws if they are in the business of trading in, or advising on, securities. In addition, there are a number securities law requirements that may be triggered by or in the context of operating certain business models. The CSA Regulatory Sandbox is intended to allow Fintechs that meet the CSA's criteria to register and/or obtain exemptive relief from Canadian securities law requirements, under a faster and more flexible process than through the standard channels.