Early last week Ohio Chamber was the first trade association to testify in support of Senate Bill (SB) 249. The legislation creates a regulatory “sandbox” program for novel financial products and services in Ohio. SB 249 would allow Ohio to move ahead with a dynamic, evidence-based regulatory environment to test emerging products and services as the demand for new and innovative products grows both here and around the globe. This legislation would be another sign to innovators, investors, and established firms that Ohio is creating an environment to attract and retain financial sector investment and jobs.
Once enacted, SB 249 will benefit both the participant and the regulatory agencies that monitor and supervise the sandbox. Participants can test new products and services with volunteers and, with this evidenced-based model, use the results to go to market or in some cases decide which products or services need to be put on a shelf or scrapped. This new model will create more dynamic testing, lower the cost of going to market and provide Ohioans with new and innovative products that have been shaken out in a sandbox. In turn, the regulatory institutions or agencies can use the sandbox to better understand the ever-changing marketplace and determine if the existing regulatory requirements are unclear or if old rules and regulations need adjustment to better serve the public and the market.