Payment Service Provider Licensing is a mandatory step for any PSP to operate. PSPs need to ensure the regulatory institutions with a sound business plan for 3 years in advance, financial projections, risk management plan and eligible AML and CTF policies.
The licensing process is subjected to PSP regulations of a region or a country. For example, in the EU, PSP licensing is regulated by PSD2, in the UK by FCA and in Singapour by PSA.