The Bank of Ghana has cited Spektra Technologies, the operators of the Dash App digital payment network, for operating illegally and ordered them to immediately cease operations.
In a letter dated March 9, 2022, signed by Kwame A. Oppong, Head of Fintech and Innovation at the Bank of Ghana, to Spektra Technologies’ CEO, the central bank stated that it had come to their attention that Spektra Technologies was offering services such as wallet creation, cross-border payment, holding of float balance, as well as bill and utility payment, without the necessary approval.
“Payment Service Providers are required to obtain the appropriate regulatory approval from the Bank of Ghana under Section 7 (1) of the Payment Systems and Services Act, 2019, (Act 987) prior to operating a payment service in Ghana,” the letter stated.
As a result, the central bank urged the company to “cease offering the above payment services with immediate effect” until the company had the necessary approval from the BoG.
Read also :Ghanaian Fintech Dash Sets Record With $32.8M Seed To Build A Unified Payments App For Africa
Additionally, the BoG warned the company that “offering payment services in the country without a license is an offense under Section 9 (1) of Act 987.”
This comes only days after Spektra Technologies announced that it had raised approximately US$32.8 million in funding to develop connected wallets across Africa.
Since January 2019, Dash has been operating in Ghana, linking digital wallets across networks to make payments both domestically and internationally.
Meanwhile, all other Fintech firms that operate with Dash have been instructed to cease operations until further notice.
Bank of Ghana Dash Bank of Ghana Dash
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer