Pliant, a German corporate credit card startup with Japanese funding, has successfully obtained an e-money license in Finland, as reported by PayRate42. Co-founded by Malte Rau and Fabian Terner, this development will grant Pliant greater autonomy from its partners and pave the way for its expansion into 25 countries. The fintech recently €26 million funding round from Japanese venture firm SBI and others.
With the new e-money license in Finland, Pliant is poised to enhance its offerings. As Malte Rau revealed on a Finance Forward podcast, the company, a recognized Visa partner, will soon be able to issue its own credit cards. Currently, the cards are issued via the MFSA-regulated Transact Payments Malta Limited in Malta. Additionally, Pliant is gearing up to introduce multi-currency options.
The EMI license also facilitates a more streamlined expansion strategy, allowing Pliant to venture into 25 countries via passporting. Before settling in Finland, Pliant had explored several European nations for licensing. The decision to opt for Finland was influenced by its innovative regulatory framework and the absence of a video identification requirement, a mandate in Germany. Instead, Finland offers an automated tool, a feature that resonated with Rau’s preference, as he mentioned, “We’re not fans of video ident.”
Past instances of startups moving overseas had previously raised eyebrows within regulatory circles. The Video-Ident video KYC in Germany had been a growth deterrent for many German fintechs. During peak registration times, such as during the crypto or GameStop surge, CEOs often faced prolonged wait times, lacking any specialized service, as pointed out by Rau.
Earlier this year, Pliant had secured a significant €26 million investment, with Japanese venture capitalist SBI making a notable contribution. This financial boost is expected to bolster Pliant‘s growth trajectory, especially with its newly acquired license.
