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Wirex Resumes Services in UK after ‘Constructive Dialogue’ with FCA

www.financemagnates.com 23 June 2022 15:58, UTC
Reading time: ~3 m

Wirex, a global digital payment platform, on Thursday announced that it is resuming its services in the United Kingdom.

The digital payment provider said it reached the decision following “constructive dialogue” with the Financial Conduct Authority (FCA), the UK’s financial industry watchdog.

This is coming weeks after Wirex announced that it has made its non-custodial wallet more accessible to its users in Malaysia and Indonesia through the release of a new payment method.

Wirex is licensed as an electronic money institution in the UK and is regulated by the FCA.

The company, which offers fiat-only services in the UK, also said it will add Faster Payments to its products and offerings in the UK “in the coming weeks”.

The fintech firm said this will give its users more flexibility and control when they transfer their funds.

Faster Payment is a UK banking initiative that speeds up the process of sending money within the UK using the system established by the Bacs Payment Schemes Limited (BACS).

“With over 5 million customers worldwide, Wirex is now set to bring a variety of upgraded and innovative products to the UK market,” Wirex said in a statement.

According to the payments company, some of the updated features included the ability of new UK users to order for its Mastercard debit card.

This card, it explained, enables holders to spend different currencies at more than 81 million locations around the world.

“Additionally, all UK users will now have access to increased daily top-up and spending limits, exclusive over-the-counter exchange rates, and zero fees on foreign exchange and transfers to contacts,” Wirex noted in the statement.

According to details on Wirex’s website, customers can add up to $25,000 every day to their Wirex accounts.

They can also generate up to 8% rewards with every purchase made with the multicurrency Wirex card.

Furthermore, they can enjoy having no balance limits and being able to make $500 daily ATM withdrawal.

"As we work towards financial inclusion, it's vital to collaborate with industry regulators to ensure security and transparency for all users," said Pavel Matveev, Co-Founder & CEO of Wirex.

"We're grateful to have worked alongside the FCA as we proactively contribute towards building a stable and innovative environment for fintech companies operating in the UK,” Matveev added.

Meeting FCA’s Compliance Standards

In November 2021, Wirex resumed offering its services to its existing UK customers after temporarily pausing some of them in April.

The payments platform in April had announced restrictions on the Wirex accounts of its existing UK customers to ensure that it operates “at the highest possible standard.”

Earlier in March last year, Wirex also said it was voluntarily putting a pause to its services to new UK customers.

The company had said the move was to enable it to dedicate resources to further strengthening its Fifth Anti-Money Laundering Directive (5AMLD) compliance protocols.

The regulated institution noted that the action will allow it to conform with the updated best practice guidelines set by the FCA.

“The UK’s ‘5AMLD’ will help increase transparency in financial transactions. The FCA have, in dialogue with us, made suggestions on how we can implement changes to our operational procedures, which we welcome and intend to follow,” Matveev explained in part.

Meanwhile, i2c, a digital payment and banking technology provider, recently partnered with Wirex, to expand its prepaid multi-currency debit card in the US market.

“Wirex’s hybrid payments alternative integrates blockchain technology on i2c’s platform to enable US customers to buy, store, exchange, and spend both USD and up to 30 cryptocurrencies at over 80 million merchant locations globally,” i2c said in a press statement.

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