CHILE Law and Practice Contributed by: Alberto Alcalde, María Catalina Zegers García-Huidobro and Pía Robledo, Puga Ortiz
The platforms must disclose project details, risks and potential conflicts of interest. They are subject to over - sight by the CMF and must comply with governance and risk management requirements. Entities providing loans that may raise capital through private investments or equity offerings must comply with corporate governance and risk management standards. If the raised capital involves securities it may fall under the Capital Markets Law, which regu - lates public offerings and securities registration. Only banks and other financial institutions author - ised to take deposits are regulated under the GBL and supervised by the CMF. Deposit-taking institu - tions must comply with strict liquidity, solvency and operational requirements. They are subject to AML and customer protection regulations. 4.4 Syndication of Fiat Currency Loans The syndication of loans is only regulated for banks. The Fintech Law outlines a framework for financial services, including platforms for crowdfunding. Crowdfunding allows multiple investors to fund pro - jects or loans. This could resemble syndication, where multiple parties contribute to a single loan. Entities providing these services must be registered with the CMF and comply with governance, risk management and transparency requirements. Platforms must dis - close project details, risks and potential conflicts of interest to participants. 5. Payment Processors 5.1 Payment Processors’ Use of Payment Rails The law does not explicitly state whether payment processors must use existing payment rails or if they are allowed to create or implement new ones. How - ever, it provides a framework for financial innovation, including provisions for payment services and OFSs, which suggest flexibility in implementing new payment mechanisms. Banks and financial institutions offering accounts and payment initiation service providers are regulated
under the new law. These entities must comply with interoperability standards and ensure secure access to payment systems. The law promotes technologi - cal neutrality, allowing innovation in financial services. Payment processors may implement new systems or interfaces, provided they meet the security, interoper - ability and operational standards set by the CMF. The OFS encourages the development of interfaces for automated and remote access, which could include new payment rails. 5.2 Regulation of Cross-Border Payments and Remittances Cross-border payments and remittances are subject to a combination of financial integrity, data protection and foreign exchange regulations. In addition to AML and counter-terrorist financing obligations, cross-border transactions are governed by the Compendium of International Exchange Reg - ulations ( Compendio de Normas de Cambios Inter- nacionales – CNCI) issued by the BCCh. The CNCI establishes the regulatory framework applicable to foreign exchange transactions, international transfers, reporting duties and certain registration requirements relating to cross-border capital flows. The Fintech Law emphasises the prevention of money laundering and terrorism financing as a core princi - ple. Entities providing financial services must imple - ment adequate governance, monitoring and reporting mechanisms to comply with AML/CFT standards. Adequate safeguards for the processing of customer data are required, including privacy and cybersecurity measures. Entities must provide clear information to customers regarding the terms of cross-border trans - actions and must report relevant information to the SII for tax purposes where applicable. The CMF oversees compliance with financial regu - lations applicable to regulated entities and has the authority to impose preventive or corrective measures in case of non-compliance.
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