Utah announced that they have created a fintech regulatory sandbox, which will permit fintech companies to apply for a special exemption when setting up a business. Utah’s program allows participants to temporarily test new financial services or products on a limited basis without otherwise being licensed or authorized to act under Utah law. Utah becomes the second state in the U.S. to create such a sandbox, joining Arizona, which created a similar program in July 2018.
“I’m excited about Utah’s regulatory sandbox and the chance it will give fintech companies and entrepreneurs in Utah the chance to take innovative products and ideas to market without having to jump through the traditional regulatory hoops and licensing requirements which can be burdensome and costly," said state Rep. Marc Roberts, R-Salem. "This is good for Utah and the future of fintech innovation,” "It doesn't have to be a new startup with a new idea, it could be an existing entity or financial institution that has a new idea," he said. "It's a good opportunity for software tech companies, existing tech companies or entrepreneurs to improve and innovate in and around fintech."