Regulators Need To Engage By Listening And Experimenting When Innovating - SC

KUALA LUMPUR, Oct 1 (Bernama) -- Regulators need to continuously listen to feedback from various parties as part of their engagement when incorporating innovation.

Securities Commission Malaysia (SC) executive director Dr Wong Huei Ching said it is important to listen to feedback on different topics and from multiple levels of stakeholders such as chief executive officers (CEOs), chief technology officers (CTOs) and the rest of the working teams that come up with the various types of proposals.

"We distilled all of it (the feedback) and also looked at other jurisdictions to see the trends (there) and identified the need to harness emerging technologies.

"Another matter is to continue experimenting, for example, by introducing the regulatory sandbox. 

"The sandbox served as a contained environment, and sandboxing plays a part towards the approach of licensing the industry player," she told reporters after the 'Jumpstart Dialogue - Regulators on The Future of Finance' panel session in conjunction with the SCxSC Fintech Summit 2024 here, today. 

The SC would be introducing a regulatory sandbox and enhancing its regulatory framework to encourage securities tokenisation to help spur innovations in the capital market. 

Meanwhile, Wong further said through experimenting, regulators would better understand the reality and be able to operationalise the products and services in the market in a big way. 

She also encouraged regulators and industries to explore more pilot projects and other initiatives to bring innovation and understand the underserved sectors. 

For the industries, Wong said players need to understand technologies better and that technology is different from innovation. 

"Moving to the forefront is no longer just a CTO player. Now, CEOs need to know how technology helps them with business models and strategies. These conversations need to happen at the leadership level," she added. 

-- BERNAMA