Tap is a regulated DLT company in Gibraltar, we are also agents of Transact Payments Limited who and as a regulated Electronic Money Institution (EMI) Transact Payments are required by law to “safeguard” customer monies received under its E-Money or Payment Services permissions.
What is safeguarding?
Under the requirements of the Gibraltar E-Money Regulations 2020 and Payment Services Regulations 2020 Transact Payments must;
· Segregate all client monies from our own funds.
· Deposit customer funds with a Credit Institution (Bank) with permission to hold client funds.
That Credit Institution must designate (name) the account to show that it is an account which is held for the purpose of segregating and safeguarding the funds or assets in accordance with regulations.
No person other than the payment institution may have any interest in or right over any funds or assets placed in safeguarding accounts.
What does this mean?
All Customer funds are entirely separate from operational funds and held within an authorised credit institution separate from Tap and Transact Payments.
During the course of normal business, Tap and or Transact Payments have rights to use those funds to settle transactions as authorised / instructed by the customer, including redemption to the customer.
Should Tap or Transact Payments experience an insolvency event those segregated safeguarded funds cannot be used for any other purposes.
Is safeguarding limited?
No. 100% of customer balances are safeguarded. There is no limit to the amount that you would receive should an event occur that required the return of your funds.
Reporting.
Transact Payments regulatory reporting requires regular reporting on Transact Payments regulatory capital, own funds calculations and outstanding e-money balances.
Both Tap and Transact Team are committed to open and transparent engagement with our customers. If you have any further question or queries, please do not hesitate to contact us.
This article is for general information purposes only and is not intended to constitute legal or other professional advice or a recommendation of any kind whatsoever and should not be relied upon or treated as a substitute for specific advice relevant to particular circumstances. We make no warranties, representations or undertakings about any of the content of this article (including, without limitation, as to the quality, accuracy, completeness or fitness for any particular purpose of such content), or any content of any other material referred to or accessed by hyperlinks through this article. We make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up-to-date.
