thecryptobasic.com
San Francisco-based firm Ripple has expanded its regulatory footprint into the United Kingdom after securing a much-coveted operating license.
The UK Financial Conduct Authority (FCA) confirmed on Friday that Ripple has locked in this approval on its website. The regulator registered Ripple Market UK, Ripple’s UK subsidiary, under the UK’s Money Laundering Regulations (MLRs) and issued it an Electronic Money Institution (EMI) license.
Ripple Expands to the UK
According to the FCA website, Ripple is now MLR-registered, effective January 9. Its latest EMI license further confirms that the payment giant is certified to conduct business in the United Kingdom.
The EMI grants a firm permission to issue electronic money and to provide payment-related services to UK residents, according to the official website. Importantly, Ripple can now use its RLUSD stablecoin in the country, expanding the asset’s reach.
Currently, RLUSD has a market cap of $1.38 billion, representing a 6.8% growth in the past 30 days, per RWA.xyz. With Ripple securing the EMI license in the UK, it now reserves the full right to apply the stablecoin in its payment processing business.
The Ripple regulatory approval underscores its determination to expand its global market reach. It also comes after the FCA announced a new timeline in its digital asset regulatory regime for MLR-certified firms to apply for complete registration. Specifically, companies in this category have until October 2027 to register with the Financial Services and Markets Act (FSMA).
A Few Restrictions Remain
Meanwhile, the official FCA website further expanded on the purview of the issued license. It shows that Ripple cannot conduct certain activities in the UK under its current licensing.
For context, Ripple cannot operate a crypto exchange without the regulator’s prior written approval. The firm is not allowed to offer any services to retail investors or clients. Additionally, it will not issue electronic money or offer payment services to “customers, micro-enterprises, or charity.”
Ripple is also restricted from appointing an agent or distributor in the UK.
Ripple Adds UK to Expanding Regulatory Licensed List
Notably, the EMI license becomes the latest regulatory trophy in its fine collection. Ripple has received licensing to operate in several countries either directly or through its subsidiaries.
In the United States, Ripple has the Money Transmitter License (MTL). Recently, it received a conditional banking license from the OCC, increasing the trust and credibility of its RLUSD stablecoin in the fiat-backed digital asset sector.
Ripple also has licensing from the Monetary Authority of Singapore (MAS) and is a registered Virtual Asset Service Provider (VASP) in the Central Bank of Ireland. In total, it has over 55 licenses globally.
Meanwhile, Ripple may remain private for a bit longer. The firm’s president, Monica Long, recently disclosed that it has no plans for an initial public offering (IPO) in the near term.