Central Bank of Uruguay examines regulatory sandboxes and consumer protection at 15th Central Banking Law Conference

The Central Bank of Uruguay reviewed legal responses to financial innovation at its 15th Central Banking Law Conference, focusing on regulatory sandboxes, changes to the regulatory perimeter and financial consumer protection. In opening remarks, Vice President Ana Claudia de los Heros emphasized that legal frameworks must adapt to new participants, instruments and risks while preserving legal certainty and protecting users. The discussions continued the previous edition’s examination of how technological change and virtual assets challenge financial regulation. The conference examined legislative developments affecting outsourcing and virtual asset service providers, alongside the open finance project. Discussions on regulatory sandboxes focused on supervised testing under predefined conditions, allowing regulators to gather evidence and reduce uncertainty before determining regulatory responses while providing safeguards for users. On consumer protection, presentations by Bank of Spain Market Conduct Department representatives Manuela Sebastián López and Verónica Villarroya described a more preventive, risk-based approach to conduct supervision centered on bank customers. This approach uses data and early warnings to anticipate problems, with customer inquiries and complaints helping identify risks and inform regulation. The discussion also addressed new forms of fraud, indebtedness and barriers to financial inclusion.