ASIC has published Report 523 ASIC’s Innovation Hub and our approach to regulatory technology which gives an update on its fintech regulatory sandbox policy.

Launched in December 2016, the regulatory sandbox framework is currently being used by only one entity.

The conditions are set out in Regulatory Guide 257 Testing fintech products and services without holding an AFS or credit licence.

The Government recently announced it will change the ASIC regulatory sandbox to allow businesses to test for a period of 24 months (increased from 12 months) a wide range of new financial products and services, allowing businesses to evaluate the commercial viability of new concepts without a licence but subject to meeting minimum consumer protection obligations.

ASIC will commence a review of the entire framework in 2017–18.