FinTech License: Everything You Need to Know in 2025

The financial technology (FinTech) sector is evolving rapidly, and securing the right FinTech license is crucial for businesses offering digital payments, e-money services, online lending, crypto transactions, and other financial innovations. The choice of jurisdiction and license type determines market access, regulatory obligations, and growth potential.

In this guide, we’ll cover the types of FinTech licenses, the licensing process, costs, timelines, and key regulatory requirements to help you make an informed decision for your business.

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What is a FinTech License?

A FinTech license is a regulatory approval that allows companies to legally provide financial technology services in a specific jurisdiction. It ensures compliance with financial regulations, AML (Anti-Money Laundering) laws, data security, and consumer protection rules.

Having the right license boosts credibility, expands market opportunities, and enhances trust with investors and clients.

Types of FinTech Licenses in 2025

The type of FinTech license you need depends on your business model and financial services offered. Below are the most common categories:

Payment Institution (PI) License

 For businesses offering payment processing, mobile payments, and electronic wallet services.
 Does not allow issuing electronic money but permits handling transactions and payment gateways.
Issued in: UK (FCA), EU (EBA), Singapore (MAS), Canada (FINTRAC).

 Electronic Money Institution (EMI) License

 Allows companies to issue e-money, operate digital wallets, and provide prepaid card services.
 Enables customer fund storage, money transfers, and global remittance services.
Popular in: Lithuania, UK, Poland, Switzerland.

Money Services Business (MSB) License

 Required for companies involved in currency exchange, remittance, virtual asset transfers, and forex trading.
 Mandated in Canada, the US, and offshore jurisdictions for financial service providers.
Issued by: FINTRAC (Canada), FinCEN (USA), FCA (UK).

Crypto & Blockchain License

 Essential for crypto exchanges, wallet providers, token issuers, and DeFi platforms.
 Ensures compliance with AML and KYC regulations in crypto-friendly jurisdictions.
Top jurisdictions: Dubai (VARA), Estonia, Malta, Switzerland.

FinTech License (e.g., Swiss FinTech License)

 Designed for innovative financial services not covered under traditional banking or EMI licenses.
 In Switzerland, allows firms to accept deposits up to CHF 100M without interest payments.
Regulated by: FINMA (Switzerland), MAS (Singapore), FCA (UK).

Not sure which license suits your business? Our team can help you decide!

FinTech Licensing Process

The process of obtaining a FinTech license involves several key steps:

Step 1: Choose a Jurisdiction

 Select a country based on regulatory ease, costs, market size, and licensing speed.
 Consider Europe for EU passporting, Canada for cross-border MSB services, or Dubai for crypto ventures.

 Step 2: Prepare Required Documentation

 Business Plan: Detailing services, target market, and financial forecasts.
 AML/KYC Policies: Ensuring compliance with money laundering and fraud prevention laws.
 Operational Risk Framework: Covering cybersecurity, transaction security, and data protection.

Step 3: Submit Application & Regulatory Review

 Apply to the financial regulator of the selected jurisdiction.
 The application is reviewed, and additional clarifications may be requested.

Step 4: Compliance Approval & License Issuance

 After approval, the company must maintain strict regulatory compliance to retain the license.

Need a hassle-free licensing process? Let our experts handle it for you!

Costs & Timeframes for FinTech Licenses

The cost of a FinTech license depends on jurisdiction, business model, and compliance complexity.

Estimated Costs:

• EMI License (Europe/UK): €500,000 – €1,000,000
• MSB License (Canada): CAD 10,000 – CAD 50,000
• Crypto License (Dubai/Estonia): $25,000 – $100,000
• Payment Institution (EU/UK): €100,000 – €500,000

Timeframes:

• Company Formation: 2–4 weeks
• Document Preparation: 4–12 weeks
• License Processing: 3–12 months

Want a cost breakdown for your FinTech business? Contact us for a custom quote!