Opay is a fintech company that has gained a lot of popularity in Nigeria due to its user-friendly mobile app that allows users to perform various financial transactions. However, there has been some controversy surrounding the company’s regulatory status, with some people questioning whether Opay is approved by the Central Bank of Nigeria (CBN). In this article, we will explore this issue in detail.
What is Opay?
Opay is a Nigerian fintech company that was launched in 2018. The company is a subsidiary of the Opera Group, a Norwegian software company that is best known for its web browser. Opay’s mobile app offers a range of financial services, such as bill payments, money transfers, airtime top-ups, and mobile data purchases. The app is user-friendly and has a simple interface, making it easy for users to carry out transactions.
Opay’s Regulatory Status
Opay is regulated by the CBN, which is the apex regulatory body for banks and other financial institutions in Nigeria. The CBN is responsible for ensuring the stability and soundness of the financial system in Nigeria, as well as protecting the interests of consumers.
Opay is licensed as a Payment Service Provider (PSP) by the CBN. This means that the company is authorized to provide payment services to customers in Nigeria. As a PSP, Opay is required to comply with a set of regulations that have been put in place by the CBN. These regulations are designed to ensure that PSPs operate in a safe and sound manner and that they protect the interests of their customers.
Opay’s license as a PSP was granted in August 2018, shortly after the company was launched. The license allows Opay to provide payment services to customers in Nigeria, including money transfers, bill payments, and airtime top-ups. The license also allows Opay to issue electronic money to customers, which can be used to carry out transactions on the app.
Opay’s Compliance with CBN Regulations
As a licensed PSP, Opay is required to comply with a set of regulations that have been put in place by the CBN. These regulations cover areas such as capital requirements, risk management, and customer protection.
Opay has demonstrated its commitment to complying with these regulations by implementing a robust risk management framework that is designed to identify, assess, and manage risks in its operations. The company has also put in place measures to protect its customers’ funds, such as maintaining separate accounts for customer funds and ensuring that these funds are kept in secure and reputable financial institutions.
Opay has also implemented measures to protect its customers’ personal information. The company has a comprehensive data protection policy that outlines how it collects, stores, and uses customer data. The policy is designed to ensure that customer data is kept secure and confidential, and that it is only used for legitimate purposes.
Opay is a licensed Payment Service Provider that is regulated by the Central Bank of Nigeria. The company has demonstrated its commitment to complying with CBN regulations by implementing a robust risk management framework and putting in place measures to protect its customers’ funds and personal information. As such, users can rest assured that Opay is a safe and reliable platform for carrying out financial transactions in Nigeria.