Uruguayan fintech company dLocal has obtained a payment institution license in the UK This development adds to the company's expanding portfolio of regulatory authorizations, supporting its global growth strategy.

The company confirmed the acquisition of an authorized payment institution license from the Financial Conduct Authority (FCA ), the UK's financial services regulator. This license enables dLocal to onboard UK merchants for the first time, as CNBC reported.

dLocal Targets Global Merchants in UK

dLocal will begin onboarding UK merchants through a local entity, dlocal Opco Ltd UK, which was previously unable to do so due to restrictions imposed by the FCA. The company stated that these restrictions were a result of the UK's exit from the EU.

Pedro Arnt, dLocal’s CEO, highlighted the firm's focus on emerging markets as a distinguishing feature. He emphasized that dLocal's service areas, including Latin America, Africa, and Asia, set it apart from domestic competitors like Worldpay and Checkout.com. Arnt also noted plans to attract global merchants with UK operations.

According to Arnt, the UK serves as a strategic hub for companies expanding into emerging markets, particularly in Africa and Latin America.

“The UK has become a hub for many global companies — even the American companies, some Asian companies — for their emerging market expansion, primarily in Africa, and in some cases LatAm,” Arnt commented.

Expanding Operations in the UK

Founded in 2016, dLocal has established itself as a significant player in Latin America's payment sector. The company specializes in cross-border transactions in markets such as Brazil, Mexico, Colombia, and Uruguay.

With the new UK payment license, dLocal aims to expand its operations in the region. Plans include increasing the local workforce and enhancing business activities. Key executives, including Chief Operating Officer Carlos Menendez and Chief Revenue Officer John O’Brien, are already based in London.

Arnt highlighted that the UK license would enhance dLocal's credibility as a reliable partner for handling payments in complex regulatory environments. The company now holds over 30 licenses and registrations globally, reinforcing its position in the payment industry.