Altcoins Talks - Cryptocurrency Forum
Further Discussions => Legality & Taxation of Cryptos => Topic started by: Pegasus on November 07, 2018, 03:17:44 AM
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The State of Arizona has announced two new participants in its fintech sandbox with one of the projects, Sweetbridge, using blockchain technology to offer lending services. The additions bring the total number of selected sandbox applications to three with Sweetbridge being the only distributed ledger technology (DLT) company so far, according to a press release from Arizona’s Attorney General’s Office on Friday. This initiative is the first-ever US testing in a regulatory environment for emerging technologies like blockchain and Artificial Intelligence (AI).
Sweetbridge will trial token-based asset lending on vehicles with the participation of over 10,000 Arizona residents over the next two years. The project utilizes blockchain as the technology can make lending more affordable for poor people.
“We believe it’s possible for tokenized, asset-backed lending to lead to a lower-cost, more accessible kind of capital for many families in Arizona. We think this is a great time to live in Arizona, and we’re excited to bring our transformative economic models to Arizona citizens,” Will Munsil, Sweetbridge’s head of legal projects, said in a blog post on Friday.
Arizona’s Attorney General’s Office launched the fintech sandbox in August this year, following the model of British Financial Conduct Authority (FCA). The US state is still accepting applications for the initiative. The sandbox is open for companies developing innovations in banking, payment systems, or investment advice. Startups that target securities, insurance products, or services that provide solely deposit-taking functions cannot participate in the sandbox.
Arizona’s sandbox allows firms to trial their new products with a limited number of consumers for a maximum of two years. After that period, the startup should apply for a license or stop offering their products and services within the borders of the state.
Source (https://cryptovest.com/news/arizona-state-adds-blockchain-driven-tokenized-lending-platform-to-its-sandbox/)