Finnish-Based Crypto Broker Prasos Granted EU’s Payment Institution License (PIL)
Prasos, a Helsinki based company offering crypto brokerage and exchange services has finally been granted a Payment Institution License (PIL) to operate within the European Union, CoinDesk reports.
Announcing the new developments, Prasos Limited indicated that it was only the third company dealing with cryptos to be awarded with the licence in Europe.
The license was granted by the Finnish Financial Supervisory Authority (FSA). this means that the crypto brokerage firm will be able to offer additional fiat currency payment services to its clients within the Finnish Coinmotion exchange platform. The company will also be allowed to provide fiat payment services in the other European Economic Area countries.
In 2016, Prasos bought of the Finnish-based Coinmotion for an unknown amount of money. The acquisition was an addition to its portfolio as it also operates another crypto exchange known as Bittiraha. Prasos is also the owner of Bittimaatti which operates Bitcoin ATMs in Finland.
According to Prasos’ CEO Heidi Hurskainen, the company has been developing its business strategy and processes in anticipation of the license and that his company is ready to take its business to the next level. He explained:
“The process for acquiring the licence has lasted almost 1.5 years, during which legislation on the EU level has become clearer. We have been developing our business and processes strongly. I am very happy that we have reached this point and received the Payment Institution Licence.”
During the announcement, the company also indicated that it was in the process of complying with the new Finnish regulations regarding the virtual currency. The CEO said that his company will register with the FSA as a virtual currency provider as per the fresh Finninsh legislation that was enacted on May 1, 2019.
The chair of the Prasos board of directors Henry Brade said that his company had in the past had their bank accounts suspended or closed as the entire sector was unregulated. He said:
“With this licence we have, as the only cryptocurrency operator in the world, gained a customer fund account from a Finnish credit institution. As a payment institution, we also believe in the possibility of a deeper integration with the banking sector in the future.”
The license will enhance the consumers and partners trust in the company as it signifies that the company is now duly authorized and being supervised by the relevant financial watchdogs in Finland and Europe. Prasos will also have to follow the EU guidelines on anti-money laundering, fraud prevention, and terror financing diligently to maintain its license.
Should other crypto-based firms apply for Payment Institution License (PIL) to enhance their trustworthiness? Let us know in the comments section.