Maxim Ivanchenko, Advapay ОÜ, Canopus: The authorisation as a payment institution or an e-money institution can be a good alternative to a banking license.
Nowadays, e-money is an essential element of ecommerce, it exceeds cards and deposit money as payment facility whereas it is much more convenient, faster and cheaper in use, not only in the internet space but in real economy as well. Given that each Member State of the European Union had its own regulation in the matter of payments, the European Commission considered it necessary to adopt a uniform legislation in this regard:
- Since 2009, payment services in EU member states have been regulated by national laws and regulations transposing Directive 2007/64/EC on payment services in the internal market.
- Since 2011, the business of e-money issuers has been regulated by national laws and regulations transposing Directive 2009/110/EC on the taking up, pursuit and prudential supervision of the business of electronic money institutions.
For more on this story visit the following link: What can be a good alternative to a banking license given significantly lower costs of setting up and maintaining the infrastructure?