E-Money Regulation in Georgia represents one of the most dynamic fields of financial law, regulating the emission, circulation, and storage of digital payment means. E-money is a monetary value stored electronically and used to perform payment operations. Electronic Money Institutions (EMIs) play an increasingly important role in Georgia's economy, providing serious competition to banks. The regulatory framework aims to guarantee the security of consumer funds and maintain financial system stability. For companies wishing to issue e-money, it is necessary to go through a strict licensing process and maintain ongoing compliance with National Bank requirements. The Legal.ge platform connects you with qualified lawyers specializing in e-money regulations who will assist in the legal setup of your business and obtaining a license.
What does the E-Money Regulation service cover?
Legal services related to e-money regulation include complex support for fintech companies and payment system operators. The service covers: registration and licensing of an Electronic Money Institution (EMI) with the National Bank of Georgia; ensuring compliance with statutory capital requirements; legal setup of customer fund protection and segregation (Safeguarding) mechanisms; developing internal AML/CFT policies and transaction monitoring rules; preparing user agreements and Terms of Use; supporting personal data protection and information security audits; and representation during regulatory inspections and reporting. Lawyers also help companies manage payment agent networks and regularize their legal relationship.
Common real-world scenarios
In practice, e-money regulation becomes relevant during several typical business situations. The first scenario is "Launching a Digital Wallet (E-wallet)," where a company needs a license to allow users to deposit funds into a digital account and perform payments. The second scenario concerns "International Money Remittances," where e-money use speeds up and lowers transaction costs, requiring compliance with cross-border regulations. The third scenario is the transformation of "Loyalty Programs" into e-money, where accumulated points gain the status of a payment means. It is also common for a company to need consultation on "Open Banking" integration so its digital wallet can communicate with other banks. Each of these cases requires adherence to strict National Bank instructions.
Georgian Legal Framework
E-money regulation in Georgia is based on the Law of Georgia on Payment Systems and Payment Services, which is the primary document in the field. This law defines the concept of e-money, emission conditions, and issuer obligations. Crucial is the Order of the President of the National Bank of Georgia on Approving the Rule on Registration and De-registration of a Payment Service Provider. The Law of Georgia on Facilitating the Prevention of Money Laundering and Terrorism Financing also applies, requiring EMIs to identify and monitor clients. For data protection, the Law of Georgia on Personal Data Protection applies. A lawyer's assistance is essential for the correct interpretation of these complex regulations and harmonizing business activities with European standards (PSD2).
Step-by-step process when working with a specialist
The process of obtaining an e-money license and ensuring compliance begins with a legal audit of the business model. In the first stage, the lawyer helps the client establish the company and form statutory capital. In the second stage, a full documentary package for registration is prepared, including a business plan, technical description, and risk management policy. The third stage involves submitting the application to the National Bank and preparing answers to queries from the regulator. In the fourth stage, internal systems (KYC/AML) are tested and staff training is provided. The process ends with receiving the license and implementing an ongoing legal monitoring system. A specialist ensures the company maintains its license and avoids sanctions through continuous compliance.
Why choose Legal.ge?
E-money regulation requires top-level expertise in financial and technological law. On the Legal.ge platform, you will find lawyers and consulting firms with successful experience in the authorization and supervision of electronic money institutions in the Georgian market. Our experts will help you easily implement complex regulatory requirements, protecting your business from legal risks and increasing its reliability. Through Legal.ge, you have access to professionals well-acquainted with both local and international (EU) standards. Find your specialist on Legal.ge and successfully carry out your fintech project.
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