WASHINGTON, DC (March 15, 2023) — “The critical steps recently taken by federal regulators will support workers and small businesses, contain the current crisis, save jobs and shore up our innovation economy. The federal backstop will ensure that small businesses that did absolutely nothing wrong will have access to their hard-earned capital and resume business as usual.

AFC members represent a cross section of responsible fintech companies that embrace transparency and are rooted in regulatory compliance and consumer protection. Policymakers and regulators must collaborate with the fintech community to examine what measures need to be taken to prevent another sudden collapse. We are facing a crisis of a significant mismatch between the fintech used to conduct our daily lives and the regulatory mechanisms designed to ensure a fair and stable banking system.

Regulated and responsible fintech companies are poised to lead the future of financial services innovation as we break down the traditional barriers to capital and reach families and businesses traditionally left behind. AFC has long advocated for regulatory modernization that promotes innovation but also holds innovators accountable to being responsible and transparent. We are now at a moment where modern and forward-looking regulation will strengthen the banks and fintechs that play by the rules and act responsibly.”