Salv obtains a closed shared KYC utility service provider licence from the Data State Inspectorate of Latvia

The Estonian start-up, Salv, has become the first company in Latvia to obtain the closed shared Know Your Customer (KYC) utility service provider licence from the Data State Inspectorate of Latvia.

According to Latvian law, within the framework of a closed shared KYC utility, law entities may develop their own private KYC tool and use it within their group of companies or within a group of several legal entities.

The technology developed by Salv will enable Latvian financial institutions to cooperate, thereby assisting them in managing AML and sanctions risks more effectively.

Latvia is a relatively unique jurisdiction in licensing such tools, which fosters an environment for innovation. It is encouraging that an Estonian company has selected Latvia for licensing such a tool. The proposal for such a framework was put forward by the Finance Latvia Association in January 2019, which also relied on COBALT’s legal support at the time to explore the possibilities of introducing such platforms.

COBALT provided legal assistance to Salv during the whole licensing process, advising on financial services regulation, data protection issues, and corporate law matters in connection with the establishment and registration of the client’s Latvian branch.

COBALT team consisted of Specialist Counsel Edgars Pastars, Associates Gabriela Šantare and Maira Pužule, and Senior Associate Marija Berdova.

Founded in 2018, Salv is on a mission to combat financial crime, helping its clients prevent money laundering, terrorist financing, and financial fraud. Salv was founded by former anti-money laundering experts from Skype and Wise, the company has raised a total of EUR 12.1 million in funding since its inception. Key investors include Passion Capital (UK), G+D Ventures (DE), and ff Venture Capital (US). The company’s headquarters and development centre are located in Estonia, with employees also based in Lithuania, and subsidiaries in the United Kingdom, Poland and Latvia.

Salv announcement.