Summary: Two law firms in Malaysia and Singapore launched fintech practices in response to growing industries in both countries.
Singapore and Malaysia have a growing financial technology industry, prompting two law firms to launch fintech practices to keep up with demand. Allen & Gledhill, based in Singapore, and Malaysia-based Lim & Partners, an associate firm of Allen & Gledhill, made the announcement of the introduction of fintech practices for both countries.
Finews Asia reported that the practices will collaborate together in order to meet the demands in financial regulatory, technology, and intellectual property matters. Their goal is to present legal solutions in areas that other financial technology firms in the two countries have trouble with.
The fintech sector is seeing growth around the world with law firms establishing practices to support new and existing companies. U.K. law firm Addleshaw Goddard stated last November that they were offering free mentoring and legal advice to fintech startups. For twelve months, the fintech companies that took Addleshaw Goodard on their AG Elevate Scheme were able to attend their training and networking events.
Global firm Steptoe & Johnson LLP established a multidisciplinary blockchain practice to provide support the legal issues fintech companies deal with. The U.K.’s Financial Conduct Authority (FCA) has taken measures to help fintech firms through their regulatory sandbox. The FCA’s Project Innovate was established in 2014 with the mission to provide businesses with advice on the regulations they are required to follow.
There are a number of other law firms in the U.K. with their own programs aimed at fintech companies. This includes Slaughter and May and Simmons & Simmons. Both are international law firms that see how strong the fintech industry is in London and may serve to be quite profitable. Both are providing services for fintech companies to use. Slaughter and May are providing free legal services to five fintech startups. The five companies are Enforced, Tide, Garrison, Just Miles and WorldRemit. Over 25 companies applied for the program, Fintech Fast Forward.
Simmons & Simmons established a fintech and regtech student support program in partnership with the Centre for Commercial Law Studies at Queen Mary University in London in addition to their fund to give free advice to fintech startups. They emphasized that not much has been done to examine the law and legal implications. They hope their program will support and educate those involved.
Regulations flow through blockchain with companies subjected to different laws by separate authorities. Shanghai’s Financial Service Office has called for the legal regulation of blockchain while the European Securities and Markets Authority says that regulatory action for blockchain at such an early stage is premature.
With no official regulations set in place to guide startup fintech companies, the role of law firms, and established fintech practices are crucial. Law firms understand this need and setting up practices and programs to help govern the law in complicated issues. The blockchain is being understood better each day, resulting in the fintech sector continuing to grow. More firms will likely join in and start launching more programs to further assistance to new and existing fintech companies.
Do you think more regulations will be set in place as the fintech industry grows? Tell us in the comments below.
To learn more about the startup industry, read these articles:
- Ten Startup Companies Capitalizing on Legal Software Demands
- Andrews Kurth Launches Fixed-Fee Startup Package
- Wal-Mart Acquires E-Commerce Startup Jet.com for $3.3 Billion
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