Fintech

Fintech has transformed the financial landscape. Whether in payments or pensions, e-trading or e-commerce, banking or insurance, it has driven innovation, efficiency and growth across the sector. Today’s technologies, such as tokenisation, open banking, blockchain, big data and AI will combine in novel ways with those of tomorrow, presenting substantial commercial opportunities alongside complex legal challenges. At Penningtons Manches Cooper, we are uniquely positioned to support clients navigating this dynamic environment.

Comprehensive legal support for fintech growth

Our fintech clients include banks and other financial service institutions, payment service providers, technology providers and investors. They cover the whole spectrum of a company’s lifecycle, from start-ups to multinationals, and operate within direct to consumer (B2C), business to business (B2B) or business to business to consumer (B2B2C) environments.

Our fintech lawyers draw on deep financial sector expertise from multiple backgrounds such as corporate finance, commercial, intellectual property, data and cyber security, dispute reslolution and employment law . We help businesses harness opportunities, manage risks and thrive in this fast-paced, evolving sector.

Our specialists act for clients on equity and debt funding rounds, acquisition and joint ventures, and disposals via sale, listing or buyout. Additionally, we provide support across the full range of employment and immigration issues, helping them to achieve their goals in a calm, clear and pragmatic way.

We are experienced in mastering new technologies and ways of doing business quickly, and handle complex digital supply chain contracts which can present specific risks around operational resilience. Our commercial, intellectual property and data lawyers assist clients in resolving the associated legal issues that can arise, helping to manage and mitigate risk and commercialise their intellectual property.

We have a track record and increasing profile in providing legal support to a wide range of innovative fintech solutions, including mobile banking apps, RegTech, cybersecurity, AI and data insight products, smart contracts, blockchain, cryptocurrencies, NFTs and other tokens. Our disputes lawyers are experts in these emerging financial technologies and digital asset disputes, particularly complex cross-border disputes.

Penningtons Manches Cooper is studious about considering all angles and having the client’s best interests at heart.

We provide support on digital transformation projects from an early stage, advising on procurement regulation where necessary, and on how best to structure contracts. Additionally, we help with data protection risk assessments so that clients can determine the who, what, how, where and why of the procurement, which in turn enables them to define their service requirements, as well as recognise the measures needed to comply with the UK GDPR.

Understanding the intricate landscape of financial services regulation is a cornerstone of our practice. We assist clients with navigating the Financial Conduct Authority’s regulations, handling enquiries and investigations to ensure full compliance. This capability is paired with exceptional insight into how fintech organisations process data, which is essential for leveraging big data and AI, engaging with the Information Commissioner’s Office where necessary, and driving innovation and consumer engagement.

At the heart of all our fintech projects lies a depth of expertise in technology related matters, developed over many years of managing complex digital frameworks.

How we help our clients

Seed, VC and subsequent corporate funding and acquisitions

Equity capital markets

Digital transformation procurement contracts, SaaS agreements, software developer and other technology agreements

Financial services regulation and assisting with FCA enquiries and investigations

Data analytics, AI insights and AI regulation

Cybersecurity and data breach support

Data protection, information security and engagement with the ICO

Intellectual property protection, licensing and enforcement

Consumer law and other regulatory matters

Employment, including employee share schemes and immigration

Fintech disputes

Tax

Useful resources

Legal 500 FinTech Guide UK Chapter

Multilaw FinTech Guide UK Chapter

Emerging companies guide

Doing business in the UK

PennStart – the legal support package designed specifically for start-ups and spin-outs

Digital shifts and legal turn podcast

Recent work highlights

Regulatory change advice

Advising an award-winning fintech platform on potential changes to the regulatory regime for variable recurring payments and the rights and obligations of payment initiation service providers.

Bank fraud service

Assisting a national payment system operator with the commercial agreements and data compliance required to set up a payments system overlay service to help banks better combat fraud.

Energy certificate trading platform

Advising on the legal aspects of setting up a commodities-style marketplace for trading in renewable energy certificates.

Data marketplaces

Acting for a number of clients across different sectors on setting up platforms to provide real time data from multiple sources, including advising on licensing models, data privacy, and platform terms for data publishers and data consumers.

AI as a service

Supporting a number of clients across different sectors on the intellectual property, data compliance and commercial model implications of providing services that incorporate large language models as part of their offering.

FCA self-report

Assisting a registered payment services firm that had exceeded the payment services thresholds (to be a ‘small registered PSP’) with self-reporting to the FCA, designing a resolution solution, and negotiating away threatened enforcement action.

Comprehensive global legal support

Acting for a US-headquartered ‘merchant of record’ service provider on regulatory, data protection (across different EU jurisdictions), and company secretarial support matters, and offering immigration, employment, commercial contract and intellectual property advice.

Digital finance dispute

Advising a digital finance pioneer in respect of a dispute with its payment service provider about regulatory and compliance issues.

Outsourced AML services

Assisting a German bank operating in 25 EU countries on the integration of its outsourced AML screening and monitoring services with its new core banking system – negotiating the outsourcing agreement with its service provider and ensuring tool compatibility.

Investment platform acquisition

Representing Seedrs, Europe’s leading online private investment platform, on its acquisition by US fintech company Republic.

Blockchain and NFT transactions

Advising a client on the sale of NFTs and impact of blockchain transactions, including consumer law terms, dealing with crypto wallets, online contracting and data protection issues, and liaising closely with the client’s counsel in Germany.

UK-based crypto trading exchange

Providing regulatory advice to one of the first UK-based cryptocurrency trading exchanges to be fully registered with the FCA as a crypto-asset firm, including in its dealings with the FCA.