# FinCEN Innovation Hours: FinCEN's Innovation Initiative: Implementation of FinCEN Innovation Hours; Invitation to Request Innovation Hours Meeting Source: https://www.bankingnewsai.com/ai-regulation/documents/fincen-innovation-hours-2019 Last updated: Aug 26, 2026 In May 2019 FinCEN launched the Innovation Hours Program, a standing forum in which banks, fintechs, and regtech vendors demonstrate AML/CFT technologies including artificial intelligence and machine learning to FinCEN staff. A March 2021 public report on the program's emerging themes noted FinCEN's plan to develop synthetic BSA data to support testing and training of AI and machine-learning solutions. The program is the practical channel behind the 2018 innovation statement and the AML Act's innovation mandates. ## At a glance | Field | Value | | --- | --- | | Authority | [FinCEN](https://www.bankingnewsai.com/ai-regulation/fincen) | | Type | Framework | | Status | In force | | Published | May 1, 2019 | | Effective | May 1, 2019 | | Applies to | Financial institutions and technology providers developing AML/CFT compliance tools | | Official text | https://www.fincen.gov/resources/statutes-regulations/federal-register-notices/fincens-innovation-initiative | ## Key points - Announced in a Federal Register notice in May 2019 as part of FinCEN's Innovation Initiative following the December 2018 joint statement - Monthly sessions in which technology users and providers present products relevant to BSA compliance, including AI/ML transaction monitoring, digital identity, and privacy-enhancing technologies - Themed workshops have covered digital identity services and privacy-enhancing technologies - March 2021 public report summarized emerging themes and the program's future role, including plans for synthetic BSA data to support AI/ML testing - Informs FinCEN and Treasury policy on emerging technologies; meetings are informational and confer no regulatory relief - Special monthly sessions have been offered for underserved groups such as small firms and minority-owned businesses ## What changed for banks Innovation Hours gave banks and vendors a direct, non-supervisory line to FinCEN for AI-based AML tools, and its emerging-themes report is the clearest public statement of what FinCEN has seen in AI/ML compliance technology. Compliance teams can cite participation as evidence of engagement with the regulator, but it does not substitute for validation or examiner sign-off. ## Use cases it governs - [AML / KYC](https://www.bankingnewsai.com/ai-regulation/by-use-case#aml-kyc) - [Generative & agentic AI](https://www.bankingnewsai.com/ai-regulation/by-use-case#generative-agentic-ai) - [AI governance (general)](https://www.bankingnewsai.com/ai-regulation/by-use-case#governance-general) ## FAQ ### Does an Innovation Hours meeting give a bank any regulatory approval for an AI tool? No. Meetings are informational exchanges; FinCEN does not endorse products or grant relief through the program. Exceptive relief requires a separate request under 31 CFR 1010.970. ### Where is the Innovation Hours report on AI? FinCEN published 'Innovation Hours Program: Emerging Themes and Future Role' in March 2021 on fincen.gov; it discusses AI/ML use cases and FinCEN's synthetic-data plans. ## Related documents - [FIN-2026-Alert005 (Digital Asset Investment Scam Centers)](https://www.bankingnewsai.com/ai-regulation/documents/fincen-alert-2026-scam-centers) — FinCEN Alert on Money Laundering Activity Associated with Digital Asset Investment Scam Centers (Sep 3, 2026) - [FIN-2026-Alert004 (Federal Student Aid Fraud)](https://www.bankingnewsai.com/ai-regulation/documents/fincen-alert-2026-federal-student-aid-fraud) — FinCEN Alert on Fraud Schemes Targeting Federal Student Aid (Jul 24, 2026) - [2026 AML/CFT Program Proposed Rule](https://www.bankingnewsai.com/ai-regulation/documents/fincen-aml-cft-program-nprm-2026) — Anti-Money Laundering and Countering the Financing of Terrorism Programs (Notice of Proposed Rulemaking, 2026) (Apr 10, 2026) - [FIN-2024-Alert004 (Deepfake Media)](https://www.bankingnewsai.com/ai-regulation/documents/fincen-alert-2024-deepfake-media) — FinCEN Alert on Fraud Schemes Involving Deepfake Media Targeting Financial Institutions (Nov 13, 2024) - [2024 AML/CFT Program Proposed Rule (withdrawn)](https://www.bankingnewsai.com/ai-regulation/documents/fincen-aml-cft-program-nprm-2024) — Anti-Money Laundering and Countering the Financing of Terrorism Programs (Notice of Proposed Rulemaking, 2024) (Jul 3, 2024) - [2021 BSA/AML Model Risk Management Statement](https://www.bankingnewsai.com/ai-regulation/documents/fincen-bsa-aml-model-risk-statement-2021) — Interagency Statement on Model Risk Management for Bank Systems Supporting Bank Secrecy Act/Anti-Money Laundering Compliance (Apr 9, 2021) - [Anti-Money Laundering Act of 2020](https://www.bankingnewsai.com/ai-regulation/documents/fincen-aml-act-2020) — Anti-Money Laundering Act of 2020 (Division F of the National Defense Authorization Act for Fiscal Year 2021) (Jan 1, 2021) - [2018 Joint Statement on BSA/AML Innovation](https://www.bankingnewsai.com/ai-regulation/documents/fincen-joint-statement-innovation-2018) — Joint Statement on Innovative Efforts to Combat Money Laundering and Terrorist Financing (Dec 3, 2018) Last reviewed Aug 26, 2026. Cite the official text (https://www.fincen.gov/resources/statutes-regulations/federal-register-notices/fincens-innovation-initiative) for the rule and this page for the summary and dates. --- Canonical page: https://www.bankingnewsai.com/ai-regulation/documents/fincen-innovation-hours-2019 Part of [BankingNewsAI](https://www.bankingnewsai.com/) — a free daily brief on AI in banking, an AI regulation tracker (41 authorities, 237 documents) and AI-strategy profiles of the 120 largest US banks. Markdown versions of every reference page: append `.md` to the page URL; index at https://www.bankingnewsai.com/llms.txt.