Conflict of Interest Statement
1.Purpose of this Disclosure
This Conflict of Interest Disclosure outlines how OpenPayd Group of regulated entities (‘OpenPayd’, ‘We’), identifies, prevents, manages, and, where necessary, discloses conflicts of interest that may arise in the course of providing regulated financial and crypto-asset services.
At OpenPayd, we are committed to acting fairly, honestly, and professionally in the best interests of our clients, to ensuring transparency in how we manage actual or potential conflicts of interest, and to complying with applicable legal and regulatory requirements.
To support your ability to make informed decisions when engaging with our services, this disclosure provides information on the following:
- What a conflict of interest is in the context of our business;
- The types of situations that may give rise to a conflict of interest;
- Disclosure of unavoidable conflicts of interest
2. Group Structure and Entities
The OpenPayd comprises several regulated entities that operate in close cooperation. These include:
OP Digital Services Limited (‘OP Digital’) – authorised and regulated by the Malta Financial Services Authority (‘MFSA’) as VFA Service Provider.
OpenPayd Financial Services Malta Limited (‘OPFSML’) – authorised and regulated by the MFSA as a Financial and Electronic Money Institution.
SettleGo Solutions Limited (‘SettleGo’) – authorised and regulated by the Financial Conduct Authority in the UK as an Electronic Money Institution
3.What is a Conflict of Interest
A conflict of interest (‘CoI’) arises when our own interests, or those of our employees, partners, or other companies within our group, may interfere with our duty to act in the best interests of our clients.
Conflicts of interest can occur in many ways – for example, if a decision we make while providing a service to you results in a financial gain for us, potentially at your expense, or if different clients have competing interests in the same transaction. In such cases, there is a risk that our interests, or those of other clients, could influence how we act, rather than putting your best interests first.
Not all conflicts of interest result in harm, but we take all potential and actual conflicts seriously. Our goal is to identify them early, prevent or manage them effectively, and ensure that our clients are treated fairly at all times.
4.The types of situations that may give rise to a Conflicts of Interest
Conflicts of interest may arise in a variety of situations across our business activities. Examples include, but are not limited to, situations where:
- We or our employees have financial or other incentives to favor one client or group of clients over another;
- We act for multiple clients involved in the same transaction or in competing transactions, where the interests of one client may be contrary to or in conflict with those of another;
- We receive fees, commissions, or other benefits from third-party partners, affiliates, or liquidity providers that could influence the services or products we offer;
- Certain products or services are promoted over others due to commercial interests rather than client needs;
- Our employees may have access to confidential or price-sensitive information not available to other clients or the wider market;
- Our employees trade in crypto-assets for personal gain that could conflict with client-related decision-making;
- When other companies within OpenPayd Group are involved in the same transaction or client relationship in different capacities
5. How We Manage and Mitigate Conflicts of Interest
To effectively manage and mitigate actual, potential, or perceived conflicts of interest, OpenPayd applies a range of organisational and administrative measures. These measures are proportionate to the nature, scale, and complexity of the business, and are designed to ensure the fair treatment of clients and the integrity of decision-making processes.
Key measures include:
Governance and Policy Framework:
OpenPayd maintains a comprehensive Conflict of Interest Policy, supported by a governance framework that assigns clear responsibilities for identifying, escalating, and managing conflicts of interest. The policy is reviewed at least annually to ensure it remains effective and aligned with regulatory expectations.
Staff Training and Awareness:
All employees receive regular training on ethical conduct and conflict of interest management, ensuring they understand their responsibilities and how to escalate concerns.
Segregation of Roles and Responsibilities:
Roles and responsibilities are structured to prevent conflicts of interest. Employees in commercial or client-facing functions do not participate in decisions where personal or financial interests may arise. Independence is further supported by separating business activities from control functions.
Information Barriers:
Access to confidential or price-sensitive information is restricted on a need-to-know basis. Employees with access to non-public client or trading data are subject to additional confidentiality obligations and monitoring.
Exclusion from Decision-Making:
Where a personal or professional conflict is identified, the individual is excluded from any related decision-making or review process. Potential conflicts are independently reviewed by Compliance or another non-conflicted function to ensure objective handling.
Client Asset Segregation:
Client accounts, assets, and funds are fully segregated from OpenPayd own funds and managed independently to avoid any financial conflicts of interest.
Annual Attestation of Employees:
An annual Conflict of Interest declaration exercise is conducted, requiring employees to confirm any actual, potential, or perceived conflicts of interest, or declare that none exist. Conflicts arising outside the annual cycle must be disclosed without delay and appropriately mitigated.
Conflict of Interest Register:
A Conflicts of Interest Register is maintained to record identified actual, potential, or perceived conflicts, along with the measures taken to manage or mitigate them.
Disclosure Obligations:
Where a conflict of interest cannot be prevented or fully mitigated, it is disclosed to the client.
Avoidance Where Necessary:
In high-risk scenarios where a conflict of interest cannot be adequately mitigated, OpenPayd may decide not to proceed with the activity or relationship. Avoidance remains a last-resort but essential measure.
6. Disclosure of Unavoidable Conflicts
While we aim to prevent or manage conflicts of interest effectively, there may be situations where a conflict cannot be fully avoided or resolved.
In such cases, we will provide you with clear, timely information about the nature of the conflict before proceeding with the relevant service or transaction. This enables you to make an informed decision about whether to continue with the service.
If we determine that your interests cannot be adequately protected, we may decline to proceed with the service or take other appropriate steps to avoid potential harm.
7.Updates to this Disclosure
This disclosure will be reviewed for consistency each time the Conflict of Interest Policy is updated, or sooner if material changes to our business, regulatory environment or conflict types occur.
The most up-to-date version of this Conflict of Interest Disclosure will always be made available on our website.
