30 Jan I’m a FinTech Firm, Should I Be Registered with FINRA?
If your firm plans to conduct securities transactions and business with the investing public in the United States, it needs to be registered with FINRA. In order to become a FINRA-registered broker-dealer, certain membership standards must be met regardless if you are a broker-dealer or a FinTech firm.
If you are a FinTech firm, FINRA registration may be required. FINRA actively monitors FinTech developments in the securities industry and recognizes that firms in this sector are embracing new technology solutions such as machine learning, cloud computing, and blockchain technology, pioneering innovative products and developing client-oriented financial services business models. SDDco Regulatory Services, LLC’s (SDDco-RS) team of experienced consultants are knowledgeable of emerging trends in the FinTech space and are prepared to guide you through the FINRA registration process to avoid any hurdles you may encounter with the OFI.
FINRA’s Office of Financial Innovation (OFI) is tasked with understanding and addressing issues related to FinTech, identifying and analyzing emerging trends in the securities industry, as well as facilitating awareness of, and responses to, these issues. They have engaged in an active dialogue with the industry in order to assess the impact of various emerging FinTech-related business models and tools on broker-dealer operations as well as on investors.
Sometimes, regulatory oversight is a good thing. For aspiring industries, working under the structure of a federal entity will allow your FinTech firm to continue to be innovative while ensuring your operations are compliant with current regulations.
If your FinTech firm is already registered with FINRA, SDDco-RS consultants are equipped to review your firm’s business model to assist you in satisfying your compliance obligations.
Whether your firm seeks help in the registration process or could benefit from a second pair of eyes, SDDco-RS is ready to support you in any way necessary.