HB922:

Virginia FinTech Regulatory Sandbox Program; created.

Bill Summary:

Virginia FinTech Regulatory Sandbox Program;
temporary product testing; consumer protections; report. Creates
the Virginia FinTech Regulatory Sandbox Program, which allows participants
to temporarily test a financial product or service on a limited basis
without otherwise being licensed or authorized to conduct such business
under the laws of the Commonwealth. The bill specifies application
requirements and requires approval by the State Corporation Commission
prior to an applicant's participation in the Program. Participants
in the Program have a period of 24 months to conduct testing of a
financial product or service with the possibility of an additional
12 months of testing if an agreement to do so is reached with the
Commission. In addition, the bill provides that up to 30 days before
the end of the testing period, a participant may request an extension
of up to six months for the purpose of obtaining a license or other
authorization for conducting business in the Commonwealth. Participants
must provide required disclosures to consumers, and the bill gives
the Commission the right to remove Program participants and to require
assurances regarding consumer protections during the testing period.
The bill also includes recordkeeping and reporting requirements for
Program participants and a requirement for the Commission to provide
an annual report to the General Assembly.