Can licensed money transmitters sponsor other companies under their licenses?

Asked Jan 10, 2020· 1 answer
Faisal KhanAnswered Jan 10, 2020

Yes, of course, they can. They can become a program manager for the institution that needs sponsorship or can make that institution an agent of theirs.

Under the former condition, the Program Manager becomes the custodian of the funds and all things in the flow-of-funds, hence providing the regulatory cover, in the latter, the agent can also take custody of flow-of-funds.

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