FIS Horizons 2023 Brochure - Riding the wave - Flipbook - Page 3
Introduction
Sharon Lewis
Sector Group Leader of
Finance, Insurance and Investment
Paris / London
The outlook for 2023 looks uncertain, following another tumultuous year. The
collapse of a number of large cryptocurrency exchanges has shone another
spotlight on the digital asset market. The financial system’s resilience to wobbles
in the crypto market had already been tested in 2022 with the onset of a new
“crypto winter”. Wider macroeconomic issues are snowballing, and we continue
to keep a close eye on developments in Ukraine following its invasion by Russia,
China’s abandonment of zero-Covid policies, and potential recessions in the
West. During uncertain times the economic and political backdrop will create
challenges and opportunities. Against this backdrop, our Financial Institutions
team continues to support our clients, and identify growth opportunities.
We highlight key areas of focus within our 2023 edition of Financial
Institutions Horizons.
Our financial institutions clients are increasingly
turning to us for support with the adoption and
implementation of blockchain technology and
increasing use of digital assets. We have developed
our Digital Assets and Blockchain practice (DAB) over
the past year to allow us to work alongside our clients
as the market continues to mature, enabling them to
take advantage of blockchain and cryptoassets’ huge
potential while helping them navigate an everevolving legal and regulatory landscape. The group
brings together a multi-disciplinary team with
experience across all industry sectors to provide a
coordinated approach and full service offering to our
clients operating in or exploring the DAB space.
Recently we have seen key developments in the future
regulatory framework for the wider regulation of
cryptoassets which is really starting to take full-service
shape. In the UK, HM Treasury’s recent publication
of the long-awaited consultation paper and call for
evidence setting out proposals to mark the next stage
of the UK’s phased approach for introducing a UK
regulatory regime for cryptoassets is a step in the right
direction, aiming to reflect the opportunities and
potential risks that cryptoassets present.
ESG is still an important area of focus for investors,
consumers and regulators and how they choose to
interact with businesses. We look at the UK’s
equivalent to the EU Sustainable Finance Disclosure
Regulation and the potential divergence in approach
from other international regimes, as well as the
legal and regulatory risks of ESG greenwashing in
Hong Kong.
December 2022 saw the publication of the longawaited Edinburgh Reforms, which provide further
detail on the future of UK financial services regulation
post-Brexit. The key aims of the reforms include
ensuring that the UK’s financial markets remain an
open and attractive place to do business promoting
the effective use of capital. We comment on what the
measures mean for firms in the sector.
