Electronic money institutions license (EMI)
Electronic money, also known as e-money or digital money, is a type of digital currency that can be used to make online payments or transactions. In addition to being able to use it for purchases online like you would with credit cards or PayPal, e-money users can also store it in online accounts and pay for goods and services directly from those accounts. In the same way that a bank account or debit card allows you to store your financial resources online and access them when needed, an electronic money account does the same thing for virtual money. This means that instead of using cash to pay for things digitally (which comes with a number of risks), people can instead use e-money stored in an electronic wallet.
What is Electronic Money?
Electronic money is a digital form of payment that can be used for online transactions. It is also known as e-money, virtual money, digital cash or digital tokens. Tokens are electronic funds that are stored in an online account, and can be used to make payments online.
Who Can Issue Electronic Money in Europe?
The right to issue electronic money is governed by the Payment Services Directive (PSD), which sets the requirements for who can issue e-money and be authorised to do so throughout the European Union. The PSD states that only Financial Institutions or persons referred to as Electronic Money Institutions (EMIs) are authorised to issue and manage e-money.
How to Become an Electronic Money Institution?
To become an EMI, you must apply to a Member State’s national Financial Supervisory Authority (FIN-supervisor) and be granted a license to do so. Once you are granted a license, you will be listed on the public register of authorised Electronic Money Institutions. The process to become an EMI varies from one country to another, but the requirements are generally the same. In order to become an EMI, you must:
If you want to start issuing electronic money, you will need to apply to become an EMI. The process to become an EMI varies from one country to another, but there are general requirements that you must meet. If you would like to start issuing electronic money, you will need to apply to become an EMI. The process to become an EMI varies from one country to another, but there are general requirements that you must meet.