PhotonPay, a digital financial infrastructure provider, has secured a Money Transmitter License (MTL) from a US state financial regulatory authority.
This regulatory approval marks a step in the company’s expansion in the US and improves its ability to deliver compliant, localised payment and funds transfer services.
In the US, the MTL is a core regulatory requirement for companies engaged in payment processing, remittances, and other funds transmission activities. Unlike single federal approvals, MTLs are issued at the state level, requiring applicants to meet standards set by individual state regulators. The licensing process typically involves extensive reviews of governance structures, capital adequacy, AML and counter-terrorist financing (CTF) frameworks, cybersecurity controls, and operational resilience. Approval timelines can range from several months to multiple years, reflecting the depth of regulatory scrutiny involved.
Before this approval, PhotonPay had already registered with the Financial Crimes Enforcement Network (FinCEN) as a Money Services Business (MSB). Holding both MSB registration and an MTL position, PhotonPay plans to expand its US payment services within a clearly defined and compliant regulatory framework.
Entities categorised as MSBs are required to register with FinCEN, implement AML programs, maintain transaction records, and file regulatory reports, including suspicious activity reports. However, MSB registration itself does not constitute a licence. Depending on the nature of services offered, additional state-level licences, such as money transmitter licences, are often required. The combination of FinCEN MSB registration and state MTL approval enables firms like PhotonPay to operate within a clearly defined and compliant regulatory framework.
US payments market context and regulatory significance
The strategic importance of the US payments market underscores the significance of the MTL approval. The US digital payments market is one of the largest globally, accounting for approximately 35.4% of the global market in 2024. Cross-border payment volumes involving the US account for a substantial share of global flows, driven by international trade, ecommerce, and multinational corporate activity. At the same time, regulatory enforcement has intensified, with roughly USD 243 million of US enforcement value tied to sanctions violations.
Against this backdrop, PhotonPay’s licensing progress reflects a compliance-first approach to market entry and expansion. The company integrates regulatory requirements directly into its technology infrastructure and daily operations, embedding controls across KYC, KYB, transaction monitoring, data protection, and fraud prevention. This model is designed to support scalability while maintaining transparency and operational stability for enterprise clients operating across multiple jurisdictions.
By aligning its global digital financial infrastructure with local regulatory frameworks, PhotonPay aims to support compliant cross-border payments, treasury management, and financial operations for businesses worldwide.
