The Fintech Quarterly - Fourth Edition | Insights

Mayer Brown’s Fintech group brings together an integrated multipractice team to support clients with transactions, disputes and regulatory matters at the intersection of financial services and technology. The fourth edition of The Fintech Quarterly covers Mayer Brown’s Fintech-related videos, webinars, articles, legal updates and podcasts from June 2021 to September 2021. To be added to our Fintech mailing list, request additional information or share feedback about this or other Mayer Brown Fintech content, please reach out to us at Fintech@mayerbrown.com.

In this edition:

Banking as a Service (BaaS) refers to arrangements where licensed banks integrate their digital banking services directly into the products of other non-bank businesses. Mayer Brown partners David Beam, Rohith George and Joe Pennell speak with “Tech Talks” host Julian Dibbell about some of the key regulatory and contractual issues that arise when setting up these arrangements and other factors that financial institutions should consider when evaluating whether and how to enter the BaaS space. [Under Podcasts, see “Making Sense of Banking as a Service (BaaS): Recent Applications and Considerations”]
Recent episodes of “At the Crossroads: CFTC and DOJ Enforcement” with partners Matt Kluchenek and Glen Kopp focus on disruptive trading practices, including spoofing, as well as how exchanges, operating as front-line self-regulatory organizations (SRO), have been aggressive in prosecuting spoofing and other price manipulation violations. [Under Videos and Webinars, see “Spoofing and Disruptive Trading Practices – Overview” and “SRO Spoofing Enforcement”]
Looking at potential New York City unincorporated business tax and New York state personal income tax considerations, partners Zal Kumar and Leah Robinson and counsel Michael Kerman discuss whether transactions in cryptocurrency should be considered eligible for the taxes' respective self-trading exemptions. They also addresses whether cryptocurrency should be subject to sales and use tax at the state and city level. [Under Articles and Legal Updates, see “NY Tax Considerations For Fund Managers Handling Crypto”]
The rapidly-growing Buy Now, Pay Later (BNPL) industry presents unique regulatory and due diligence issues. Partners Amanda Baker, Steve Kaplan, Eric Mitzenmacher and Elizabeth Raymond discuss possible ways to address those issues as well as review how BNPL companies are financing their growth and the active transactional market that has developed in this industry. [Under Podcasts, see “Emerging Issues in the Buy Now, Pay Later Industry”]
Partner Sara Or and associate Jacqueline Choi identify key takeaways from an article published by Hong Kong Monetary Authority (HKMA) Deputy Chief Executive Arthur Yuen regarding the authority's stance in encouraging the development of virtual banks to promote innovation in fintech, enhancing user experience and fostering financial inclusion while reminding virtual banks of the importance HKMA attaches to consumer protection—especially in the context of introducing new and innovative personal credit products. [Under Articles and Legal Updates, see “HKMA Deputy Chief Executive Arthur Yuen's Article on New Personal Credit Products by Virtual Banks”]