Fintech Market Overview

This article does not constitute legal advice.

Cross-border payments in Spain

Fintech Software

There are no specific passporting procedures for fintech. Only fintech entities set out as regulated financial services providers have access to the cross-border provisions under Spanish laws implementing the European directives that allow for specific types of regulated entities to operate in another EU Member State without having to be authorised by the host Member State regulators.1

Accordingly, EU-regulated financial services providers that operate a fintech business benefit from the passporting regime, which enables them to provide services in Spain on a freedom-to-provide-services basis or by establishing a branch. It is a simple notification procedure set out under the main EU financial directives (such as the fourth Capital Requirements Directive, the second Markets in Financial Instruments Directive (MiFID II), the Undertakings for Collective Investment in Transferable Securities Directive, the Alternative Investment Fund Managers Directive or PSD II, and now ECSP), which involves the home Member State notifying the host Member State that the relevant entity intends to provide services in its territory.1

Non-EU financial services providers that intend to provide services in Spain require an authorisation from the BoS, the CNMV or the DGSFP, even if they intend to provide services through a branch or from the territory of their home state. A non-EU fintech company authorised as a financial services provider would also be required to follow the same authorisation procedure.1

The ownership of non-regulated fintech is not restricted in Spain. Regulated fintech entities (such as credit institutions, investment institutions and insurance companies) are subject to a significant holdings regime that requires a purchaser of a 10 per cent or higher stake to obtain prior authorisation from the corresponding supervisory authority.1

Fintech in Spain

Fintech in other countries

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Spanish Fintech Lawyers

Viacheslav Losev

Viacheslav Losev

Legal support for FinTech and Blockchain projects

Denis Polyakov

Denis Polyakov

Comprehensive legal services for businesses on corporate, tax law, cryptocurrency legislation, investment activities

Kristina Berkes

Kristina Berkes

Participation as a lawyer at investment venture funds, leading venture M&A deals in IT, supporting iGaming and business assets

  1. https://thelawreviews.co.uk/title/the-financial-technology-law-review/spain
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