Wirex, a London-based global crypto and fiat platform, has revealed that it’s been granted an e-money license from the U.K.’s Financial Conduct Authority (FCA), making it the third crypto company in the world to receive one.
Meeting the FCA’s Standards
Wirex announced the news yesterday but were granted the e-money license on the 21st of August. According to the platform, it had to go through stringent measures to meet the necessary requirements.
This included providing a detailed report as to how Wirex works, its governance, structure, and monitoring mechanisms. Additionally, it provided evidence that it had sufficient capital to provide regulated services.
According to public records from the FCA, the e-money license enables the platform to issue electronic money and provide payment services. This is a significant step for Wirex. The company noted that it can take up to 12 months for the regulator to decide whether it should grant a license. Dmitry Lazarichev, Wirex co-founder, said:
The licence is a testament to the fact that the company is committed to pursuing and achieving the highest levels of diligence and integrity in its business operations.
The company added that this will “open up a much broader market, allowing us to create e-money accounts in over 25 different currencies.” In order to deliver services globally, it is working at developing offerings in Asia and North America.
The other crypto companies to be granted an e-money license from the FCA are Coinbase and Circle. With Coinbase, it only applies to its fiat activities and not its crypto dealings.
We are more than proud to announce that Wirex Limited is only the third #crypto-friendly company in the world to have been granted an FCA e-money licence ✅✅
What does this mean for us? And more importantly, for you? https://t.co/NC2VivcG93— Wirex (@wirexapp) August 23, 2018
Is the Crypto Market Advancing?
Since the advent of the crypto industry, it has seen an influx in the number of crypto assets. Not only that, but a significant number of initial coin offerings (ICOs) have launched. According to Bitcoin bull Brian Kelly, the founder and CEO of BKCM LLC, an investment firm focused on digital currencies, they are “overvalued.”
Unfortunately, it is because of some ICOs that the industry has received plenty of negative press as they are often associated with criminal activities. Consequently, the good guys have to work hard at proving themselves. This applies to Wirex.
Yet, it is because of this that it makes the end result worth it. Anything that is worth having, after all, is never easy to get. And this was certainly the case for the e-money license. In the end, this just delivers extra confidence to users. Not only that, but it shows the company is complying with the same regulatory standards as traditional payment platforms.
What do you think of Wirex’s e-money license? Let us know in the comments below.
Images courtesy of Shutterstock and Twitter/@wirexapp.