Financial Technology Sandbox Act
HB 763 was introduced by Representative Todd Jones (R), South Forsyth. This bill would create a ‘sandbox’ program to allow program participants to test financial products or services under the supervision of the Attorney General. In order for a product or service to qualify for the sandbox program, such product or service must satisfy the two-pronged definition of “Innovative”. First the product or service must use new or emerging technology or reimaging existing technology. Second, the product of service must be “a product, service, business model, or delivery mechanism that is not known by the Attorney General to have comparable widespread offering.” The bill outlines other administrative requirements for applying for and implementing the program, including consumer disclosures, but otherwise, our initial understanding is that the “sandbox” could be more like a beach, depending on the discretion exercised by the Attorney General.
Given the highly regulated financial industry, the unknown scrutiny from a federal level, and the potential impact of this bill on Georgia’s community banks, CBA is closely reviewing this bill and will monitor its progress throughout the session.
This bill was assigned to the House Banks & Banking Committee.
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EVP, Chief of Staff, Government & Regulatory Relations