New York's financial regulator is asking for new tools to gather real-time financial data. 

On Thursday, the New York Department of Financial Services announced new details of its coming "techsprint" competition:

"The
objective of the techsprint is to achieve creative and collaborative
prototyping as a step toward smarter regulatory reporting in virtual
currency."

Namely, the DFS is using the two-week
competition to get better access to data from crypto companies in real
time. It's first question reads:

"How can DFS achieve
real-time or more frequent access to company financial data from virtual
currency licensees and receive early warning signs of financial risks
to the companies or their customers?"

The DFS is
particularly interested in the analytical potential of "natural language
processing, machine learning, and artificial intelligence," which have
become top priority technological capabilities for regulators around the world seeking to cope with overwhelming inputs of high-volume industry data. 

It's
taken centuries for regulators to get a grip on data inflows in
traditional markets, and periodically someone finds new and exciting
ways to falsify data. For crypto exchanges looking to fight market
manipulation, it's been an accelerated process — its own techsprint.

The
DFS, presiding as it does over Wall Street, is often at the front line
of the world's sub-national financial regulators. For crypto,
specifically, the DFS issues and administers the coveted "Bitlicense," which has put it in particularly close touch with a roster of the biggest players in crypto. 

The
competition will take place in the first two weeks of March. The
winners will receive no monetary prizes, though it seems likely that the
competition is a good spot to show off potential tech tools and pick up
government contracts. Registration is due by Jan. 26. 

Competitions
like this techsprint are a popular means for government organizations
to check out new technologies from the private sector. In the fall, the
Commodity Futures Trading Commission held its first science competition,
"Project Streetlamp," which focused on new analytical tools for
identifying unregistered offerings in the U.S. The winner was crypto
analytics firm Inca Digital's "Nakamoto Terminal" platform. 

DFS did not immediately respond to Cointelegraph's request for comment. 

source link : https://cointelegraph.com/news/nydfs-hosts-crypto-industry-competition-to-get-real-time-data-on-bitlicensees