The Conference of State Bank Supervisors recently formalized its plans to modernize state banking regulations in the next three years. The new plan, Vision 2020, outlines six ways in which the CSBS seeks to provide "a regulatory system that makes supervision more efficient and recognizes standards across state lines" by 2020. This includes: redesigning the Nationwide Multistate Licensing System (NMLS), harmonizing multistate supervision, forming a fintech industry advisory panel, assisting state banking departments and making it easier for banks to provide services to nonbanks as well as making supervision more efficient for third parties, according to the association.
RK&O partner Vincent Basulto gave his opinion on the new Vision 2020 plan in the article "CSBS' Margaret Liu on Bank Regulators' Vision 2020 for Fintechs" published in The National Law Journal. Mr. Basulto said it appears to be "part of a multipronged strategy aimed at undermining the OCC fintech charter proposal." In the Corporate Counsel article, "Fintech Lawyers on State Regulators' Possible Alternative to OCC Charter Plan", he also added that "having more consistent state regulatory approaches makes the need for a national approach less necessary, which may quell some of the lobbying support for the national charter."
Please click here to read The National Law Journal article. (Subscription Required)