Fintech Unicorn Flutterwave Granted ‘Game Changing’ License by Nigerian Central Bank – Fintech Bitcoin News
Nigerian fintech Flutterwave has said the exchange and processing license it recently received from the Central Bank of Nigeria allows it to “deliver an enhanced experience to our customers.” The new license is said to allow Flutterwave to “connect every store of value in Nigeria to global commerce.”
New license said to be a ‘Game Changer’
Nigerian fintech unicorn, Flutterwave, has been granted an exchange and processing license by the Central Bank of Nigeria (CBN), a statement released by the payments firm said. The new license allows Flutterwave to “facilitate transactions between financial service providers, merchants, customers and other stakeholders.”
Before Flutterwave received its exchange and processing license, Flutterwave operated in Nigeria with two licenses: Payment Service Provider (PSSP) and International Money Transfer Operator (IMTO). While the licenses allowed Flutterwave to operate legally in Nigeria, according to the fintech firm, their use meant that the payments firm had to work with several intermediaries.
The involvement of such intermediaries in turn made the processing and confirmation of transactions cumbersome. As explained in the payments company’s latest blog post, the new license gives Flutterwave greater control while reducing restrictions.
“With more oversight of the payments value chain, we are able to deliver an improved experience to our customers. The exchange license gives us more room to operate and serve our customers while removing various restrictions. This license is a game changer for us and our customers, and we can’t wait for you to enjoy everything it has to offer,” the fintech firm said.
Flutterwave added that the license now enables the firm to introduce new products and services.
Nigerian Central Bank’s “Most Desirable Payment License”
Fintech’s blog post also explained why getting the central bank’s coveted license is an important milestone for Flutterwave. The blog post explained:
An exchange and processing license is the CBN’s most desirable payment license because it embeds the licensee in the core of Nigeria’s financial ecosystem. This comes with strict and tough controls across every single part of the company’s operations. By virtue of being granted this license, we have demonstrated the highest level of security standards and processes in Nigeria.
The announcement by Flutterwave that it has received another license from the CBN comes just weeks after the Governor of the Central Bank of Kenya alleged that the fintech was operating illegally. As reported by Bitcoin.com News, the Central Bank of Kenya then ordered Kenyan financial institutions to end business engagements with Flutterwave.
Therefore, by disclosing that it has obtained another license to operate in Nigeria, Flutterwave, which operates in several African countries, appeared to be signaling that it is only operating within the confines of the law.
Meanwhile, the fintech firm’s blog post concludes that the new license also allows Flutterwave to “connect every store of value in Nigeria to global commerce.”
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