SB 951

This bill creates the Office of Financial Technology Innovation in the Department of Financial Institutions to support responsible financial innovation in Wisconsin. The bill also requires DFI to conduct a cryptocurrency pilot project that includes grant awards.

Under the bill, the office must assist Wisconsin residents in establishing or expanding businesses offering innovative financial products by 1) providing guidance in understanding and navigating the regulatory process applicable for the business; 2) assisting the business, to the extent practicable, in securing any required license and complying with operational requirements; and 3) coordinating regulatory activities among different DFI divisions or units to streamline the regulatory process and collaborating with other state agencies. However, the office must also consider any risk to the public or consumer protection concern that may be associated with the proposed innovative financial product. An “innovative financial product” is defined as a financial product or service that incorporates new or emerging technology, as applied to the product or service, and that is under DFI’s regulatory jurisdiction. The office may conduct research, and publish its findings, related to emerging financial technology or innovative financial products to identify opportunities and risks associated with the technology or product. The office may also recommend rule changes that would facilitate or promote the development or growth of innovative financial products in Wisconsin. The bill also allows the office to recommend, and requires DFI to grant upon such a recommendation, a waiver of the initial license fee for a business that seeks a DFI-issued license to offer an innovative financial product.

The bill also requires DFI to conduct a pilot project that includes 1) education of the public on cryptocurrency; 2) education and assistance for the state’s business community in implementing cryptocurrency as an accepted method of payment for goods and services; 3) assistance to the state’s entrepreneurs in establishing or growing cryptocurrency-related businesses; and 4) awarding grants to promote the purposes specified in items 1 to 3. This pilot project ends on July 1, 2030.