Provider of payment platform Paysafe announced this week its choice of a core banking provider, hiring J.P. Morgan to support its payment operations.
Expanding Work with J.P. Morgan
Paysafe will benefit from J.P. Morgan’s Payments business, a combination of cash management, payment solutions and merchant services aimed at corporate clients, financial institutions and governments, to provide a robust and scalable payment gateway across industries in which Paysafe operates, including the gambling sector.
“We are delighted to have been selected as Paysafe’s banking provider as the company leverages our innovative payments solutions, providing the best payments options for their clients. As the world of payments technology evolves, J.P. Morgan is proud to be continually innovating to meet this change.”Veronique Steiner, Head of Fintech & Ecommerce, EMEA, J.P. Morgan Payments
Paysafe’s Integrated and Ecommerce Solutions business marked the beginning of the work with J.P. Morgan. The solution provides global payment acceptance and merchant processing services in the UK and Europe supported with multi-currency settlements and checkouts.
“We’re delighted to have embarked on our journey with world-class firm J.P. Morgan. Appointing a lead core banking provider creates many synergies and efficiencies for the business, and J.P. Morgan is supporting us with robust and flexible banking infrastructure in order to strengthen our business within our key verticals and territories.”Paulette Rowe, CEO, Integrated and Ecommerce Solutions, Paysafe
‘Key and Valued Banking Provider’
Paysafe chief banking officer Noah Sharp also commented on the announcement, placing the focus on strengthening the partnership with J.P. Morgan as the work together extends “across multiple points.”
“The bank has become a key and valued banking provider for us across the areas of payments, lending, capital markets, trade finance and escrow,” he added.
“Following our rich history together, working with an unrivalled globally-integrated payments solution offered by J.P. Morgan made perfect sense for us,” concluded Sharp.
J.P. Morgan will provide some of its established solutions, including scheme payment settlements, handling of merchant payment flows, foreign exchange and multi-currency settlements, enhanced data analysis and insight, and others, to support further scalability and growth at Paysafe.
In December, the payment platform provider made the headlines for the wrong reasons for alleged securities fraud, after a group of investors hired several law firms and filed a lawsuit against the company.
Some of the allegations against Paysafe were for materially falsifying and/or misleading statements, failing to disclose “material adverse facts about the company’s business, operations, and prospects,” as well as failing to notify investors about the negative effects of gambling regulations in key European countries.