@JuanLlanos

BULDING APOSITIVE

REGULTORY LANDSCAPELaBitConf, Buenos Aires, November 4, 2016

SEOUL

SEOUL

SINGAPORE

SINGAPORE

© 2016 Juan Llanos

DUBAI

DUBAI

WTF?

© 2016 Juan Llanos

systemic corruptionlimited competition

regulatory obstaclesSource: World Bank

© 2016 Juan Llanos

“REGULAT ION”

© 2016 Juan Llanos

© 2016 Juan Llanos

PRUDENTIAL

LAW ENFORCEMENT

POLICY

© 2016 Juan Llanos

< D O W N s i d e+ > U P s i d e

© 2016 Juan Llanos

© 2016 Juan Llanos

PRUDENTIAL

LAW ENFORCEMENT

POLICY

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[-]

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Regu la t ion à i nev i tab le, bu t va l idCompl iance à onerous , bu t va luab le

© 2016 Juan Llanos

@JuanLlanos

írituà esp

Source: 2015 Transforming Finance Conference

The Fintech Revolution

© 2016 Juan Llanos

Attitudes

conservative vs. progressiverestrictive vs. expansive

misguided vs. enl ightened

formal vs. substant ialaggressive vs. permissive

© 2016 Juan Llanos

PRESCR IPT IVE ( e x a n t e )

DESCR IPT IVE ( e x p o s t )

© 2016 Juan Llanos

PROPORT IONIMPACT

© 2016 Juan Llanos

RETHINKREDEFINEREINVENT

© 2016 Juan Llanos

© 2016 Juan Llanos

A successful algorithmic regulation system has the following characteristics:

1.Desired outcome2.Real-time measurement3.Adaptive algorithms4.Deeper analysis

Algori thmic R e g u l a t i o n *

* Tim O’Reilly, “Open Data & Algorithmic Regulation” (in Beyond Transparency)

© 2016 Juan Llanos

© 2016 Juan Llanos

@JuanLlanos

© 2016 Juan Llanos

© 2016 Juan Llanos

© 2016 Juan Llanos

© 2016 Juan Llanos

© 2016 Juan Llanos

© 2016 Juan Llanos

SANDBOXREGULATORY

© 2016 Juan Llanos

© 2016 Juan Llanos

© 2016 Juan Llanos

"The UK is a global gold standard for the progressiveness of its regulatory regime.”

“The UK’s regulatory regime leads for its simplicity, transparency and industry-led approach.”

© 2016 Juan Llanos

”Strong competition from other regions is emerging: some are actively competing to create best-in-class FinTech ecosystems and are increasingly progressive in their use of government and regulatory policy to support FinTechs.”

© 2016 Juan Llanos

"Early in a technology, a thousand flowers should bloom. And the government should add a relatively light touch, investing heavily in research and making sure there’s a conversation between basic and applied research. As technologies emerge and mature, then figuring out how they get incorporated into existing regulatory structures becomes a tougher problem, and the government needs to be involved a little bit more. Not always to force the new technology into the square peg that exists but to make sure the regulations reflect a broad base set of values. Otherwise, we may find that it’s disadvantaging certain people or certain groups."

President Obama, 2016-10-13© 2016 Juan Llanos

@JuanLlanos

INNOVATEIMPLEMENTINFLUENCE

© 2016 Juan Llanos

INNOVATE& reinvent the World

INFLUENCEpublic policy

IMPLEMENTapplicable rules

ResponsibleEvolution

© 2016 Juan Llanos

INNOVATE

INFLUENCEdisarraycaptureimprudencechaos

We innovate and influence policy to accommodate our

interests, but we really don’t implement

effective controls.

© 2016 Juan Llanos

IMPLEMENT INFLUENCE

monopolyentropyossificationirrelevance

We stay where we are because we don’t have an

innovation-friendly environment

© 2016 Juan Llanos

INNOVATE

IMPLEMENT clientelisminflexibilityexclusioninequality

We innovate within outdated, inflexible,

anachronistic legal and regulatory frameworks

© 2016 Juan Llanos

INNOVATE& reinvent the world

INFLUENCEpublic policy

IMPLEMENTapplicable rules

ResponsibleEvolution

Adult population with NO USE OF formal or semiformal FINANCIAL SERVICES

© 2016 Juan Llanos

SCALE

GLOBALUNIVERSAL

HUMANITAR IAN

© 2016 Juan Llanos

PUBL IC POL ICY

INNOVATIONINCLUSION

DEVELOPMENT

© 2016 Juan Llanos

SILICON

© 2016 Juan Llanos

CRYPTO

© 2016 Juan Llanos

LATIN AMERICA

BIGsma l l

© 2016 Juan Llanos

@JuanLlanos