How hard is to get a financial license?

[Octagon]

Hello

I was wondering How companies that provide only Prepaid cards whether it is fiat or crypto get their license?

How hard to get a license to issue VCCs and have USD account details for receiving only?
from Evolve, community federal, chase or any easy bank to achieve this?

 

[aniglo22]

They are not licensed , they use a relationship with a bank ( e.g. Sutton bank ) or other licensed entity which can issue cards .
And there are also fintech's which offer white-label services or in general card issuance .

 

[kalikex]

Approximately, I have a client who recently acquired a license in the UK. The total cost is around £390,000, including all expenses.

 

[AlicaFunk]

Most may option for the reseller method or white label mentioned in the thread.

 

[Compliance Circle]

Octagon said:
Hello

I was wondering How companies that provide only Prepaid cards whether it is fiat or crypto get their license?

How hard to get a license to issue VCCs and have USD account details for receiving only?
from Evolve, community federal, chase or any easy bank to achieve this?
Click to expand...

You may be fine with ISO-style arrangement as it's common in the US or EMD agent status within EEA/UK if your business model is simple, you put fate your business, its risk appetites, and customer due diligence. In most cases, your expenses can be limited to white-label setup fees imposed by issuer, monthly minimum commitments and baseline costs.

Otherwise (and especially if your plan involves offering crypto top ups) there's a good chance you would need to have at least one state-level money transmitting license and FINCEN registration with all respective caveats.

Many similar businesses (namely, those ones who cater to needs of global media buyers dealing with crypto top ups) elect to set up MSB registered in Canada.