HB 922

Abstract

Virginia FinTech Regulatory Sandbox Program;temporary product testing; consumer protections; report. Creates the Virginia FinTech Regulatory Sandbox Program, which allows participantsto temporarily test a financial product or service on a limited basiswithout otherwise being licensed or authorized to conduct such businessunder the laws of the Commonwealth. The bill specifies application requirements and requires approval by the State Corporation Commissionprior to an applicant's participation in the Program. Participantsin the Program have a period of 24 months to conduct testing of afinancial product or service with the possibility of an additional12 months of testing if an agreement to do so is reached with theCommission. In addition, the bill provides that up to 30 days beforethe end of the testing period, a participant may request an extensionof up to six months for the purpose of obtaining a license or otherauthorization for conducting business in the Commonwealth. Participantsmust provide required disclosures to consumers, and the bill gives the Commission the right to remove Program participants and to require assurances regarding consumer protections during the testing period.The bill also includes recordkeeping and reporting requirements forProgram participants and a requirement for the Commission to providean annual report to the General Assembly.