- 08 Jul, 2018
The Securities and Exchange Board of India (SEBI) has constituted an advisory committee under the Chairmanship of Shri T.V Mohandas Pai, Chairman, Manipal Global Education, to study financial applications of blockchain and other technologies. The Committee on Financial and Regulatory Technologies (CFRT) includes experts from investment platform, digital payments, product and process re-engineering, e-brokerage, data analytics and e-commerce platforms. The committee will research on the feasibility for blockchain and other technologies such as distributed ledger technology, big data, data analytics, machine learning and artificial intelligence in the Indian financial market. This development has come at a very appropriate time when the government is already considering regulating cryptocurrencies such as bitcoin in the country. The SEBI’s move is very well received by investors, financial experts, cryptocurrency experts and the financial market users.
SEBI forms Committee on Financial and Regulatory Technologies
Committee on Financial and Regulatory Technologies (CFRT) will study and advise SEBI on formulating a technology driven financial market for securities management, fund raising, product innovation, online portfolio management, and other related areas. The committee acknowledges that technology have transformed the global financial markets, and these technologies will only get better over the coming years. The committee also realizes that technologies such as blockchain possess a huge potential and may serve a long-term solution to Indian financial market.
Role of Committee on Financial and Regulatory Technologies
The Committee on Financial and Regulatory Technologies (CFRT) will analyse short-term and medium term technological development in the global financial markets. It will also analyse the challenges and opportunities posed by such technologies and their impact on the Indian financial market. The committee will also be responsible to draft a tailored regulatory framework for adoption and promotion of these advanced technology solutions. This regulatory sandbox will test innovative technologies for their safety, security, adaptability, and scalability to the Indian Financial market.