The Monetary Authority of Singapore (MAS) has approved the first startup to use its regulatory sandbox.06 Mar 2017
Mobile insurance company PolicyPal said it will test its product over a six-month period from 2 March to 31 August, distributing insurance through its PolicyPal app.
MAS launched the sandbox in June 2016, saying that it would enable businesses to "experiment with financial technology (fintech) solutions". The authority said at the time that companies would have to apply to participate in regulatory sandbox testing. Applications would be considered against specific criteria, such as the innovativeness of the fintech product or service that has been developed, whether the company behind the solution intends to launch it widely in Singapore, and whether the innovation would deliver benefits to consumers and / or businesses.
MAS issued guidelines on the service in November, based on submissions to a public consultation and feedback from initial users of the service.
MAS relaxed some of the initial criteria and will allow firms to adjust the work they are doing in the course of experiments, it said. It will also work closely with applicants during the evaluation and experimentation process, and will publish information on approved applications on its website to increase transparency.
MAS has also launched a grant scheme to fund half the costs of Singapore-based fintech trials.
To date, PolicyPal is the only approved user listed on the MAS website.