Orbital, a fintech company based in London, Tallinn, and Gibraltar, has secured dual regulatory permissions from the Gibraltar Financial Services Commission (GFSC) to operate two separate entities in the jurisdiction. This milestone sees Orbital becoming the first group to receive both Distributed Ledger Technology (DLT) and Electronic Money Issuer (EMI) permissions in Gibraltar, marking a significant advancement in the convergence of traditional and crypto finance.
Under the new permissions, Orbital will operate Pay Perform Digital Limited (PPDL) as a DLT Provider and Pay Perform Gibraltar Limited (PPGL) as an EMI. PPGL’s EMI permission enables it to offer e-money issuance, distribution, and redemption services in Gibraltar, with a primary focus on offering e-money accounts in GBP. Users will have the ability to exchange e-money within the payments system and store e-money in their wallets indefinitely.
Both PPGL and PPDL are subject to ongoing supervision by the GFSC, ensuring compliance with rigorous regulatory principles and requirements. These measures are essential to maintain the integrity of the financial services provided.
Orbital, renowned for providing a range of traditional payment and global FX solutions exclusively to corporate clients, has set itself apart by offering licensed crypto payment services. Their focus lies in the business use cases of stablecoins in cross-border payments.
The announcement comes on the heels of a successful institutional capital raise of £5 million, led by Golden Record Ventures. Furthermore, Orbital achieved a record-breaking month in August, processing an astounding £250 million in combined payments across its UK and Estonian entities.
Orbital’s existing authorized entities, Pay Perform Limited in the UK, authorized by the Financial Conduct Authority as a payment institution, and Pay Perform OÜ, licensed as a virtual currency service provider by the Financial Intelligence Unit in Estonia, reinforce their commitment to regulatory compliance and transparency.
Gibraltar, a pioneer in distributed ledger technology legislation, established the framework for companies to operate blockchain-focused businesses securely and in compliance with industry best practices. Permissions from the GFSC are granted based on the ten core principles of the Distributed Ledger Technology Regulatory Framework, which include fair communication with customers, honesty and integrity, safeguarding customer assets, and effective corporate governance.
Orbital’s Fusion of Fiat and Blockchain Payments
Orbital’s distinguishing feature lies in its ability to seamlessly combine fiat and crypto business accounts, enabling traditional global enterprises to integrate stablecoins and traditional currencies into their payment flows. Their APIs serve as embedded finance solutions for stablecoin payments.
By facilitating companies to accept cryptocurrency payments from customers, convert them into traditional fiat currencies, and settle them into IBAN accounts within minutes, Orbital opens up instant access to emerging markets. This is a game-changer for global enterprises with interests in emerging markets, eliminating the need for a physical presence or a domestic bank account.
Chris Mason, CEO of Orbital, stated, “Soon enough, all global corporates will need a single solution for both fiat and blockchain payments. Orbital has been built by a team that deeply understands the complex and ever-changing needs of large enterprises.”
Nigel Feetham, Minister for Financial Services at HM Government of Gibraltar, emphasized Gibraltar’s commitment to nurturing innovation and regulatory clarity. “Orbital, which operates a Gibraltar office, is championing responsible integration of payments and blockchain technologies,” he said. “Firms that offer secure, efficient, and transparent blockchain payments are more than welcome in Gibraltar.”
Corporate Adoption of Crypto Payments
Hedge fund managers Brevan Howard’s report indicates that on-chain payments in stablecoins have reached $11 trillion over the past year, almost rivaling the payment volume of Visa ($11.6 trillion). Deloitte’s Global Blockchain Survey reveals that 80% of senior executives believe that digital assets will be important to their respective industries in the next two years.
However, corporate adoption has been slower than expected due to a lack of internal knowledge and industry mistrust. Orbital’s integrated solutions aim to bridge this gap, offering secure and frictionless access to both traditional finance and digital asset treasury solutions.
Orbital now stands at the forefront of revolutionizing the fintech industry, bringing together the worlds of traditional finance and blockchain technology, providing multinational corporates with a one-stop-shop for their financial needs. With over 100 clients processing £250 million monthly, the future for Orbital looks promising, as they continue to lead the charge in this dynamic sector.