Habacus S.r.l. - a FinTech operator set up in collaboration with an Italian bank - Bancoposta, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a new certification procedure of students' academic performance to be used for processing applications for student loans, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by Habacus s.r.l. to create a mobile app providing academic performance certification services for student loan applications, as well as guidance and counselling services to help students choose their university programme. In addition, a student scoring algorithm has been developed as part of the project. The test only covered children of Poste Italiane's employees applying for student loans granted by Deutsche Bank through BancoPosta. The app has made it easier for students to request academic certificates. It has also streamlined and expedited the information retrieval and document validation process for lenders. However, the benefits of using a student scoring algorithm could not be assessed, as they were not fully tested. Overall, the project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
Cetif Advisory S.r.l. (O-KYC project) - a Fintech operator set up in collaboration with the following Italian banks - Banca IFIS, Banca Mediolanum, Banca Popolare di Puglia e Basilicata, Cherry Bank, Iccrea Banca and Banca Monte dei Paschi di Siena, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a new process for carrying out customer due diligence obligations for intermediaries, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by Cetif Advisory s.r.l. to create a decentralized platform based on distributed ledger technology (DLT), where member financial intermediaries can share information on financial service users, subject to their consent. Its intended benefits include time and cost savings in the customer onboarding process and an improved customer experience. The test was conducted with six banks (Banca IFIS, Banca Mediolanum, Banca Popolare di Puglia e Basilicata, Cherry Bank, ICCREA Banca and Banca Monte dei Paschi di Siena) and one financial intermediary (Prestipay). Overall, the project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
ADM Capital S.r.l. - a Fintech operator set up in collaboration with an Italian payment institution - Fabrick, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a technological platform offering financial intermediaries a service for the assessment of creditworthiness, in accordance with the indications laid down in the EBA Guidelines on loan origination and monitoring, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by Kalaway S.r.l. (formerly ADM Capital S.r.l.) to create a technological platform that helps financial intermediaries assess and monitor the creditworthiness of corporate customers. The project intends to provide banks with a tool to build synthetic indicators of the financial position and current and forecast cash flows of borrowers. The tool will also generate early warning alerts for lenders to reassess a borrower's risk level. The test was conducted with Banca Patavina (ICCREA Cooperative Banking Group). It has shown benefits both in terms of more effective application of the EBA guidelines on loan origination and monitoring and of improved credit risk management. More specifically, digitalizing and streamlining preliminary assessment and monitoring processes would result in a more accurate borrower risk profile, as required by the EBA guidelines, and a more efficient creditworthiness assessment process. Overall, the project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
Vidyasoft S.r.l. - a Fintech operator set up in collaboration with an Italian bank - Banca Sella, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of an advanced fraud detection service, called "Hands-Free SCA", with the aim of identifying frauds on digital payments in real time, leveraging the exemptions to Strong Customer Authentication (SCA) provided for by PSD2, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by Vidyasoft s.r.l. to provide an advanced fraud detection service called Hands-Free Strong Customer Authentication (HF-SCA). The service uses an artificial intelligence algorithm to detect digital payment fraud in real time in order to allow payment service providers to skip SCA controls, thus improving customer experience. The test, carried out in partnership with Banca Sella, found that using the HF-SCA technology resulted in a larger number of payment transactions not requiring strong customer authentication. Overall, the project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
CBI S.c.p.a. - an operator subject to oversight by the Bank of Italy (Article 146 of the Consolidated Law on Banking), pursuant to Article 5, paragraph 1, letter d) of Decree No. 100 of April 30, 2021.
Implementation of a centralized database fed by banking/financial intermediaries to support the checks to be carried out in invoice advance transactions, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by CBI S.c.p.a. Società Benefit to create a database where member banks and financial intermediaries can enter and update information on factoring loans//factoring receivables, in order to check loan disbursements in real time. This solution, to be marketed as a 'Safe Trade Service', is intended to increase the efficiency and security of factoring processes, thus reducing the rate of fraud. Overall, the project appears viable to operate outside the sandbox environment, subject to compliance with all applicable regulations.
Flowbe S.r.l. - a Fintech operator set up in collaboration with the following Italian banks - Banca Mediolanum, Banco BPM, Banca Nazionale del Lavoro, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a new digital payment instrument (called "PayBe") with the aim of simplifying the execution of payment transactions for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for PayBe, a new digital payment instrument developed by Flowbe s.r.l. to streamline payment transactions that are currently settled by bank cheque or draft. Five banks took part in the test: Banco BPM, Banca MPS, BNL BNP Paribas, Banca Mediolanum and, at a later stage, Banca di Asti with the support of Cedacri. PayBe provides financial intermediaries with a new payment instrument that can streamline payment processes through automated smart contracts and improve user experience, as well as bring significant financial, social and environmental benefits. Overall, the project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
Mopso s.r.l. - a Fintech operator set up in collaboration with three Italian banks - Illimity Bank, Banca Reale and Credem Credito Emiliano SpA, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a decentralized digital identity system, called "Amlet", with the aim of simplifying customer on-boarding processes, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for Amlet, a decentralized digital identity system developed by Mopso s.r.l. for customer due diligence purposes in compliance with anti-money laundering requirements. The system is intended to streamline customer onboarding processes using a conversation engine that produces smart due diligence questionnaires based on the specific type of account to be opened and the customer's legal personality (i.e. natural or legal person). Three financial intermediaries took part in the test: Illimity, Banca Reale and Credem. In theory, this solution could bring benefits to the banking and financial system in terms of efficiency gains in customer due diligence, and to end users in terms of lower upfront fees on new accounts. However, given Italy's current anti-money laundering regulatory framework, at present the project is not viable to operate outside the sandbox environment, therefore it cannot be marketed for the time being.
Bibanca (Gruppo BPER) - a bank subject to supervision by the ECB, pursuant to Article 5, paragraph 1, letter d) of Decree No. 100 of April 30, 2021.
Implementation of a financing product (called "QuiCash") similar to delegated payments and based on a loan in exchange of the transfer of 1/5 of net wage or pension, for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by BiBanca S.p.A. (BPER Group) to offer a digital-only financial product that is technically similar to salary- or pension-backed loans. Borrowers under this scheme can roll over their debts by repaying the amount due under the current loan agreement and taking out a new loan, with monthly instalments not exceeding one fifth of their net salary or pension. Loans can be disbursed in two different ways: i) by crediting the funds to the borrower's bank account (standard option), or ii) by making the funds available on a payment card each time the borrower makes a transaction, subject to a ceiling (alternative option). The test has shown a number of advantages in terms of both service quality (digital use experience) and market competition (easy access, a shorter distribution chain with lower costs). The project, which has already been marketed, has proved overall viable to operate outside the sandbox environment in compliance with all applicable regulations, including customer protection rules.
Cetif Advisory S.r.l. (Tokenization of units of a OICVM fund)- a Fintech operator set up in collaboration with an Italian bank - Banca Mediolanum - and an Italian asset management company - Mediolanum Gestione Fondi SGR, pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a new method of participation in a OICVM fund, managed by Mediolanum Gestione fondi SGR, through distributed ledger (DLT / Blockchain), for a maximum duration of 18 months.
Test completion report. The sandbox test has been completed for the project submitted by Cetif Advisory s.r.l. to use distributed ledger technology (DLT/blockchain) in asset management, particularly for the purposes of subscriptions and redemptions of the units of a harmonized investment fund (UCITS), based on the 'tokenization' of fund units. The project was developed using a 'mirroring' approach, whereby tokenized units served as mere digital replicas of traditional units. The test was carried out in cooperation with the Mediolanum group. It highlighted the potential benefits of the platform in terms of reducing processing times for subscriptions and redemptions of fund units, streamlining back-office operations and increasing transparency for investors. Overall, this mirror-based project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
Cetif Advisory S.r.l. (Tokenization of units of a UCITS fund) - a Fintech operator set up in collaboration with an Italian asset management company - Mediobanca SGR - and an Italian bank - CheBanca! - pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Issuing and placement of units of a UCITS through a distributed register (DLT/blockchain), alongside the traditional processes, for a maximum duration of 12 months, which may be extended (pursuant to art. 17 of the Decree).
Test completion report. The sandbox test has been completed for the project submitted by Cetif Advisory s.r.l. to use distributed ledger technology (DLT/blockchain) in asset management, particularly for the purposes of subscriptions and redemptions of the units of a harmonized investment fund (UCITS), based on the 'tokenization' of fund units. The project was developed using a 'mirroring' approach, whereby tokenized units served as mere digital replicas of traditional units. The test was carried out in cooperation with the Mediobanca group. It highlighted the potential benefits of the platform in terms of reducing processing times for subscriptions and redemptions of fund units, streamlining back-office operations and increasing transparency for investors. Overall, this mirror-based project appears viable to operate outside the sandbox environment if it is brought to the market, subject to compliance with all applicable regulations.
Sandbox S.r.l. - a Fintech operator set up in collaboration with an Italian asset management company - Azimut Capital Management SGR - and two banks - BNP Paribas Securities Services (Milan Branch) and Banca Valsabbina - pursuant to Article 5, paragraph 1, letter c) of Decree No. 100 of April 30, 2021.
Implementation of a digital platform for the issuing of participative financial instruments, pursuant to Art. 2346, paragraph 6, of the Italian Civil Code, through a distributed ledger (DLT), for a maximum duration of 46 weeks, which may be extended (pursuant to Art. 17 of the Decree).
