News in Brief – week ending 25 November 2022

This week’s NIBs see the SEC’s chief accountant defend its accounting guidance for crypto holding firms following the FTX collapse, a new reporting resource from ISDA, proposed ESMA rules on the names of sustainability-linked funds, and new EBA guidelines on remote onboarding.

24 November 2022

Banks should be able to issue stablecoins without specific approval, Sullcrom memo argues

US federal regulators should not bar banks from issuing stablecoins, according to a white paper prepared by Sullivan & Cromwell, which argues banks already have all the statutory authority they need in order to do so.

23 November 2022

New ESMA passporting proposals target aggressive marketing

The European Securities and Markets Authority has proposed new standards for cross-border passporting, after national regulators complained of “aggressive” marketing activities in their jurisdictions from investment firms located elsewhere in the EU single market.

23 November 2022

FTX failure bolsters “same risk, same regulation” argument, UK regulator says

The Bank of England’s deputy governor for financial stability Jon Cunliffe has spoken out about how the collapse of crypto exchange FTX will impact the UK’s plans for crypto regulation – while giving details on the central bank’s plans for a systemic payment systems regulatory regime and a digital pound.

22 November 2022

“After the crisis is always before the crisis”, says BaFin president

BaFin president Mark Branson has called for greater urgency in the implementation of regulatory reforms – including Basel III implementation and revisions to the risk-weighting of sovereign bonds – ahead of the next crisis.

22 November 2022

Banco Espírito Santo creditors bring treaty claim against Portugal

The 2014 collapse of Banco Espírito Santo has prompted the first known investment treaty arbitration against Portugal, with two US hedge funds claiming its resolution authority bungled the “no creditor worse off” principle.

22 November 2022

New FTX chief describes litany of control failures

New information from FTX’s chapter 11 petition have shown how unseriously the management of the world’s second-largest crypto exchange took basic controls, after its former CEO revealed his true feelings towards regulators in a late-night interview.

21 November 2022

CMS hires from Bank of England, as Lenz & Staehelin, Simpson Thacher and Mayer Brown all promote partners

A senior legal counsel at the Bank of England has joined CMS as a partner, while Switzerland’s Lenz & Staehelin and US firms Simpson Thacher and Mayer Brown have all promoted new financial regulatory partners.

21 November 2022

Revolving door pays off as Binance gains ADGM custody licence

The world’s largest crypto exchange has obtained its third licence in the Gulf region, after a distressing few weeks for the digital assets space following the implosion of its major rival FTX.

17 November 2022

EBA to increase banks’ role in resolvability testing

After several years of policy development by institutions, the EU’s bank regulator said that it’s time to put arrangements in place for adequate resolution strategies.

17 November 2022

Unlock unlimited access to all GBRR content