When people think of things like electronic money institution (EMI) licenses and forex trading permits, they often assume that these are complicated processes that only financial institutions can take on. However, there are instances when smaller organizations might find it useful or even necessary to obtain an EMI license or forex trading permit for their own purposes. This article will explain what exactly these licenses entail, how you can obtain them if necessary and what documents you should keep on file once you have been issued one.
The EMI license is a prerequisite for any organization that would like to provide electronic money services
This is because the license authorizes the institution in question to issue, exchange and accept payment instruments such as pre-paid cards and mobile payments.
EMIs can be issued by either domestic or foreign financial regulators in jurisdictions that have been recognized by BNM as eligible countries. In Malaysia, only two countries have been recognized: Hong Kong and Singapore.
In order for an applicant company to qualify for an EMI license, they must meet certain criteria including having adequate capitalization (a minimum of RM500 million); good repute; sound financial position; relevant experience in running similar businesses; compliance with all applicable laws and regulations; ability to monitor transactions effectively so as not be used by criminals or terrorists.
To apply for an EMI license, you should first check if your organization is fit to be granted one
It’s important to note that not every company is eligible for an EMI license. In order to apply for one, your organization must meet certain requirements.
For example, if you want to offer financial services such as remittances and transfer of funds abroad, then it’s necessary for your business to have been in operation for at least three years with a minimum capital base of $100 million (or equivalent). This helps ensure that only well-established players can enter this space and compete fairly against each other.
After confirming that you are eligible, you can proceed with the application process. The EMI license is a prerequisite for any organization that would like to provide electronic money services.
The first step in applying for your Electronic Money Institution (EMI) license is ensuring that your business qualifies for one.
Once you have received your EMI license, you will be required to keep a number of documents on file at all times. These include:
- A copy of your license (this must be kept in the company’s registered office).
- A certified true copy of certificate of registration with CIMB Bank Berhad (this must also be kept in the company’s registered office).
Forex trading has become more accessible in recent years
Forex trading has become more accessible in recent years, due to forex brokers who offer automated systems and mobile apps to their customers. Forex brokers provide a wide range of features, such as real time quotes, trading platforms and educational resources.
In order to trade forex with an EMI license or Forex Trading Permit (FTP), you need an account with a regulated brokerage firm that offers these licenses. You can then choose one of two ways: either open an individual account or open a corporate account under your business name.
The takeaway from this article is that there are many different ways you can access foreign currency exchange and electronic money institution (EMI) licenses. The EMI license allows you to issue electronic money, which means you can offer your customers credit card services or other types of payments.The Forex trading licence permit allows you to trade on foreign exchange markets, which is also known as Forex or FX trading.