Department of Financial Institutions outlines supervision priorities, proposes virtual-currency kiosk bill

Charlie Clark, director of the Washington State Department of Financial Institutions, told the Senate Businesses, Financial Services and Trade Committee that the agency’s mission is "to protect consumers and to advance the financial health of Washington State by providing fair regulation of financial services and educating consumers to make informed financial decisions." He and division directors reviewed supervision, enforcement and outreach work and outlined bills the agency will seek this session.

The agency emphasized consumer protection and coordination with state and federal partners. Clark said the agency licenses and examines institutions, takes consumer complaints and pursues enforcement where violations are found. "The first layer of consumer protection is when we license, register, or charter new institutions," he said, and added that the agency coordinates with other states and federal regulators where companies operate across jurisdictions.

DFI explained why cybersecurity, third‑party service providers and nonbank mortgage servicing have been central recent priorities. Roberta Hollinshead, director of the Division of Banks, said Washington’s chartered banking sector has consolidated and become more complex and that the division has expanded technical examination capacity to address cybersecurity and service‑provider risk. "We have developed and deployed…