This archive report was first published on 19 June 2020.
Published on June 19, 2020, the Capital Markets Authority's regulatory Sandbox has expanded with the admission of two new firms, Belrium Kenya and Pyypl Group Limited.
Belrium Kenya, a subsidiary of Belfrics Malaysia Sdn Bhd, will test its blockchain-based innovations surrounding sharable know-your-customer (KYC) solutions for capital market intermediaries and investors. The nine-month test is expected to run smoothly, with the company's entry into the Sandbox marking a significant milestone in the fintech industry.
Pyypl Group, licensed by the securities market regulator in the UAE, will test a blockchain-based platform for issuing unsecured bonds among entrepreneurs. The company's active subsidiaries in Bahrain and Kazakhstan further underscore its commitment to innovation and expansion.
The admission of the two firms into the Sandbox required cross-border cooperation with other regulators to verify their applications. This highlights the importance of coordination between financial sector regulators and other agencies to ensure seamless innovation and growth.
Acting CEO Wycliffe Shamiah commended the admission, emphasizing the need for stronger coordination to ensure scalable solutions touching on multiple sectors.
"We are encouraged to note the Regulatory Sandbox's appetite among fintech firms and innovators within and beyond Kenya's borders. This underscores the need for stronger coordination with financial sector regulators and other government agencies to ensure that there are no gaps or overlaps. Additionally, such coordination will put in place scalable solutions touching on multiple sectors," Shamiah said.
The regulatory Sandbox aims to allow companies to test their innovations with minimal regulatory interference, paving the way for innovation and growth in the fintech industry.
