RegPac April 2018 Newsletter
The Happenings in Singapore
MAS to develop Guide for Artificial Intelligence and Data Analytics
On 2nd April 2018, the Monetary Authority of Singapore (MAS) announced its intention to produce, together with several industry players, a guide to promote responsible and ethical use of Artificial Intelligence (AI) and data analytics by Financial Institutions. The guide aims to help financial institutions by laying out key principles and best practices to “strengthen internal governance and reduce risks of data misuse”. MAS is looking to publish the guide by the end of the year.
While the potential for AI and data analytics application in the financial services industry is great, the potential for misuse is comparable. As such, the MAS is trying to set up a conducive environment for technology innovation but at the same time put in place the appropriate guidelines for responsible and ethical use of technology.
GDPR, How will this affect Singapore?
Singapore is progressing towards becoming a Smart Nation, in which data will be a major driver behind Singapore’s digital economy. Companies needs to step up on their cybersecurity efforts while preparing for the onset of the General Data Protection Regulation (GDPR) on the 25th of May this year. With EU being the largest commercial partner within ASEAN, companies in Singapore will surely feel the brunt of GDPR, risking massive fines for non-compliance. Companies in Singapore has been suffering blows to their reputation recently from the emergence of fake news and cases of personal information breaches. Perhaps GDPR could be a remedy for those companies to recover their reputation through the compliance of standards set in GDPR.
With expectations that other jurisdiction will follow suit, data protection and privacy requirements world-wide will eventually become similar to the GDPR. To stay ahead of the race, companies need to plan ahead, strategize and review data protection and privacy as a key concern.
Getting through the Hype of Cryptocurrencies
The MAS is positive about cryptocurrencies but approaching it with caution. At Money 20/20 Asia, Ravi Menon, the managing director of MAS, said “with technology, never say never,”. Mr Menon emphasized on the concerns and risks from cryptocurrency activities such as fraud, money laundering and terror financing. At the current state, MAS will continue to assess the cryptocurrency-related activities but not directly regulate cryptocurrencies, as to not stifle innovation.
The Singaporean government is developing a central bank digital currency, Project Ubin. In the first phase of the project experimented domestic inter-bank payments using a central bank issued SGD equivalent using blockchain and Distributed Ledger Technology (DLT). Phase 2 of the project explored the usage of DLT for a real-time gross settlement system. The project will continue to experiment and refine its capabilities through future phases.
Upcoming Activities to look out for!
Coming Soon: RegTech 101 in India
Business Compliance requirements in India are evolving together with its focus on going digital and the boom of FinTech are pushing businesses to adopt technology. RegTech is set become a prevalent part of the Indian Economy. As an initiative to bridge the knowledge gap for RegTech in India, RegPac and Value3 Advisory will be jointly piloting RegTech 101 Trainings at two Indian Universities before the end of April. Through a 4-hour program, a series of topics surrounding RegTech, Technology, and the Regulatory Landscape will be covered. The concept of RegTech is still immature even as a category of Start-ups in India, the importance of filling in the knowledge gaps is crucial.
The Dawn of the 4th Industrial Revolution – Are you prepared?
We are moving towards the digital transformation of our environment; emerging technology will reinvent the way we live and the way we work; while increasing efficiencies and bringing benefits to the society as a whole. As the paradigm shifts from manual paper-based work flow to automated digital-based work flow, the world will soon experience the so called “4th Industrial Revolution”. Are you prepared? Are you ready? Would you like to know which technologies will evolve and prevail the coming years? Will you or your child still have a job when you don’t learn coding?? Or do you think it is all just a big hype fired up by a small group of innovative influencers?
Want to have your say? Join us on the 16th of May as we dive into the most anticipated potentials of AI (Machine Learning and Deep Learning), DLT, Robo Advisory and many more in the future, exploring too the risks and liabilities of using these technology; and answering the question of how we can be prepared.
For more information, visit the Eventbrite Page here: https://www.eventbrite.sg/e/the-dawn-of-the-4th-industrial-revolution-are-you-ready-tickets-44749767760
Recap: RegPac Activities in March
RegTech Discovery Day
As pilot test for RegTech Training Programs, RegPac and encognize jointly conducted a RegTech Discovery Day and provided an in-depth program for a group of professionals in Tokyo, Japan. Through the RegTech Discovery Day on the 1st of March 2018, RegPac and encognize delivered a series of classes ranging from the regulatory landscape, to application of RegTech, to successful use-cases of RegTech, to the potential of RegTech. The level of interest for RegTech in Japan is surely present and resonates strongly with its focus on digital technology.
In Light of the Smart Nation Initiative, The AI and Digital Identity Event
In light of the Smart Nation Initiative in Singapore and rapidly increasing interest in the concept of a Smart City world-wide, RegPac hosted the event, on 12th of March 2018, to discuss the enabling technology of a Smart Nation. With various stakeholders in the financial services industry, RegPac brought the Regulators, Banks and RegTech providers together for an evening of impactful and interactive discussion. The event concluded that AI and Digital Identity technology will become an indispensable pillar for a Smart City and that regulatory oversight must be present to manage the financial and regulatory risks.
Check out our highlight video for the event: