Technological innovation transcends borders. The Ontario Securities Commission’s (OSC) Innovation Office works with other regulators to strengthen partnerships and improve access to opportunities for fintech firms and investors on a domestic and international level.
CSA Regulatory Sandbox
The Innovation Office, through OSC LaunchPad, is an active and key partner in the CSA Regulatory Sandbox.
An Ontario business seeking to test its business across Canada can follow these steps:
- Engage with OSC LaunchPad, as the principal regulator for Ontario-based businesses, and present your business model.
- OSC LaunchPad staff will analyze the business model, ask questions, and discuss potential flexible approaches that may be available (for example, limited-time exemptive relief).
- Apply to OSC LaunchPad. OSC LaunchPad staff will aid in preparing the application and will coordinate with CSA staff on the review of the application on an expedited basis.
- If the CSA agrees that the exemptive relief/approval should be granted, the business will be permitted operate across Canada for a given period in the CSA Regulatory Sandbox, subject to appropriate limits and conditions.
Global Financial Innovation Network (GFIN)
The GFIN seeks to provide a more efficient way for innovative firms to interact with regulators, helping them navigate between countries as they look to scale new ideas. This includes a cross-border testing program for firms wishing to test innovative products, services or business models across more than one jurisdiction. It also aims to create a new framework for co-operation between financial services regulators on innovation related topics, sharing different experiences and approaches.
The OSC has been a participant in the Global Financial Innovation Network (GFIN) since it was formally launched in January 2019 and will continue to participate in the GFIN Cross Border Testing program.
International cooperation agreements
The OSC has signed agreements with international financial regulators to make it easier for Ontario-based innovators to attract and do business with investors around the globe.