License | Solaris
Solaris Banking License
Full banking or electronic money license: What are the differences?
Solaris is fully licensed for seamless banking across Europe and European Economic Area (EEA) countries.
We obtained a full German banking license (CRR) in 2017, making it the first completely cloud-based Banking-as-a-Service provider in Germany.
Discover how our setup compares to an e-money license (EMI) and what our partners gain from it.
What is a full banking license?
A full banking license – also known as a CRR credit institution license – grants official permission to operate a credit institution or a bank-like entity.
To operate in Europe, any business wishing to conduct banking operations must obtain a license from an European financial supervisory authority.
They must ensure compliance with government regulations that protect customer assets and data. This includes fulfilling rigorous criteria, including maintaining financial reserves and secure data infrastructure.
A CRR license offers significantly broader capabilities than an EMI license, such as full deposit-taking and lending services, with funds guaranteed by the German Deposit Guarantee Act and the European Central Bank (ECB).
Used by partners such as
-
- -
What is an e-money license?
E-money license is colloquially used as a synonym for EMI. An electronic money institution license is the official permission granted to an institution by the financial supervisory authorities, allowing it to conduct financial transactions through the disbursement of electronic money.
Electronic money, also known as e-money, is subject to banking supervision law because it acts as a digital equivalent of cash. As the officially recognized equivalent of a country's official currency, it offers users binding legal security standards.
E-money is stored in EMI or bank computer systems to facilitate electronic transactions.
A permission to operate an e-money business granted in one European country can also be used for business operations in all other countries of the European Union.
Certified security & compliance
PCI DSS 4.0
Global standard to ensure card data security through enhanced controls and continuous compliance.
DORA
EU-wide framework for safeguarding financial tech against outages and maintaining digital operational resilience.
ISO/IEC 27001
International standard for securing sensitive data through systematic risk management and continuous improvement.
TARGET2
Real-time payment system for the EU, enabling secure and instant processing of large-value euro transactions.
SWIFT
Global network governing secure messaging and cybersecurity controls for international financial transactions.
MaRisk
German regulatory standard upholding high-level risk management and organizational transparency.
EU AI Act
EU-wide framework mandating the safe, transparent, and ethical deployment of AI technologies.
GDPR
EU regulation empowering individuals with control over their personal data and privacy rights.
Additional Information
The German Federal Financial Supervisory Authority ( BaFin) – which is under the legal and technical supervision of the German Federal Ministry of Finance – granted Solaris a full banking license in 2017.
In addition to the local supervisory authority (BaFin), the European Central Bank ( ECB) is responsible for regulatory oversight.
The BaFin and the ECB ensure safe and compliant operation as a bank, and we are in constant contact with both authorities.
CRR banks, like Solaris, are under stricter regulatory supervision, ensuring financial stability and the safety of customer funds. With the ability to offer fully regulated banking products, customers benefit from a broader and more secure financial offering.
With the CRR license:
- Offer payment services
- Manage customers' deposits
- Offer bank checking accounts
- Offer interest-bearing accounts
- Issue credit cards, and debit cards
- Offer consumer loans, and other lending products
- Offer other financial services products such as bancassurance and wealth management
With an EMI license, it is not possible to offer full banking services like overdrafts or salary deposits, since e-money institutions are not allowed to hold customer funds as deposits.
EMI institutions are not allowed to use their own funds for lending. They cannot offer securities services, e.g. trading stocks, bonds, or other investment products. EMI institutions cannot pay interest on customer funds or store them as deposits.
Unlike EMI deposits, the funds of your customers under the CRR license are protected by the German Deposit Guarantee Act up to an amount of EUR 100,000.
Banks with a CRR license manage funds and daily balances themselves. Their assets are protected by the ECB. In comparison, EMIs use a secondary bank to safeguard funds. Individual funds are not directly guaranteed by the ECB.
EMIs must inform their safeguarding bank of any changes to funds or balances. In case of insolvency, this process may lead to delays for your customers. The recovery of funds could be affected by how well the EMI managed their balances.
Thanks to passporting rights, Solaris can seamlessly operate across all EU and EEA countries with its full German banking license.
Under European financial regulations, a banking license issued in one EU country grants the right to offer financial products and services in other EU member states and the European Economic Area (EEA). This ensures secure, compliant, and scalable banking solutions across borders.
With our German CRR banking license, we provide regulated banking services throughout the EEA, empowering businesses with fast, secure, and flexible financial solutions.