Despite its troubles in Australia, iSignthis Ltd (ASX:ISX) announced this Monday that its wholly-owned subsidiary, ISX Financial UK Ltd (ISXUK), has been approved as an Authorised Electronic Money Institution (AEMI) by the Financial Conduct Authority (FCA).
According to the FCA’s register, ISXUK received authorisation to act as an AEMI on the 11th of September this year. Following the authorisation, the company can now distribute and redeem electronic money, as well as offer its range of payment services under the Payment Services Regulations.
iSignthis Secures FCA Approval to Prepare for Brexit
The authorisation also allows iSignthis, a payments identity service provider, to continue offering its services to UK customers without interruption post Brexit. In addition to being authorised to act as an AEMI, ISXUK is now also authorised to provide payment initiation services and account information services under the Payment Service Regulations 2017, among other duties.
Speaking to Finance Magnates, the Managing Director of iSignthis Ltd, John Karantzis, said: “The authorisation from the UK’s Financial Conduct Authority (FCA) allows the ISX group to offer electronic money services and the full range of payment services. Obviously, we are delighted that the FCA has concluded its review and due diligence process allowing us to establish facilities in the UK with the surety that we are authorised to offer financial services post BREXIT.
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“Connectivity to UK payment networks such as the Faster Payment Scheme will be a priority for ISX, as will the ability to offer Pound Sterling denominated electronic money accounts accessible via UK Sort Code. The choice of ‘native’ electronic money accounts in both Euros and Pounds Sterling will be attractive to our financial services, gaming and retail customers.
“The FCA authorisation puts to rest any doubts as ISX’s intentions to continue to expand into further jurisdictions, and we are now looking at the America’s for our next expansion. Australia is on hold for the time being, as we have been advised by APRA that we are a phase 2 (domestic) applicant with review not re-commencing until March 2021 due to COVID-19.”
According to a statement filed through the Australian Securities Exchange (ASX), in the near future, ISX UK will seek to connect to the UK’s Faster Payment Service (FPS), which is the British equivalent to SEPA instant.