How Silverbird looks after your money
In this document, we want to explain how Silverbird protects your money through "safeguarding" and how that’s different from how banks preserve your money in the UK.

Silverbird is a technology platform that is an agent of CurrencyCloud –
a regulated Electronic Money Institution in the UK and Netherlands and regulated by the FCA
This means that Silverbird’s clients don’t take any financial risk on Silverbird. Clients' money is safeguarded with tier-1 UK and EU banks, giving customers insolvency protection. We maintain 100% liquidity 100% of the time, keeping the money in safeguarding banks. The process we use to keep your money safe is called safeguarding.
Read further to learn more about what that means for you and your business.
Is Silverbird a bank?
Silverbird is not a bank. Silverbird is a platform that enables international merchants to open e-wallets, make cross-border payments and currency conversions.

We have two different entities - Silverbird Global Limited (UK) and Silverbird Europe UAB (EU), both are registered as agents of CurrencyCloud in the UK and EEA.
For clients interacting with Silverbird Global Limited (Registration No. 12 585 400)
Silverbird Global Limited is also authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: 442055). We are also an agent of The Currency Cloud Limited who is also regulated by The Financial Conduct Authority. Registered in England No. 06323311. Registered Office: Stewardship Building 1st Floor, 12 Steward Street London E1 6FQ. The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: 900199).
For clients interacting with Silverbird Europe UAB (Registration No. 305 766 874)
Silverbird Europe UAB is an appointed representative of Currencycloud B.V. Payment services are provided by Currencycloud B.V. Registered in The Netherlands No. 72 186 178. Registered Office: Nieuwezijds Voorburgwal 296−298, 1012 RT Amsterdam Netherlands.
Currency cloud B.V.
Currency cloud B.V. is authorised by the De Nederlandsche Bank under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: R142701).Clients' money is safeguarded with Tier-1 UK and EU banks, giving customers insolvency protection. Financial Services Compensation Scheme (FSCS) does not apply.
Are my funds safe in my Silverbird account?
Yes, your funds are safeguarded with UK and EU banks, giving customers insolvency protection following all the requirements and regulations of the Financial Conduct Authority (FCA in the UK) or De Nederlandsche Bank (DNB in the Netherlands, EU). This means your funds are never moved, invested, or lent to anyone else. In the unlikely event of Silverbird’s bankruptcy, you’ll be able to get your money back at all times, no questions asked.

We use industry-leading TLS encryption protocols to keep your data safe, as well as two-factor authentication to make sure all the actions on our banking platform are indeed taken by yourself or an authorized member of your team.
To learn more visit the FCA or DNB website
Safeguarding = 100% of your funds are protected.
What is safeguarding?
"Safeguarding" is a practice enforced by regulators in the UK and Europe to protect client funds. Silverbird and its partners (in our case, CurrencyCloud) are required by law to separate its clients' money from its funds. By doing this, it ensures that if anything were to happen to Silverbird or its partners, client money would be 100% safe and protected.

To explain in more detail: once an e-money institution receives your money, it must either place it in a dedicated "safeguarding account" with a bank or invest it in low-risk assets that the regulator has approved as an alternative to cash. Less commonly, it may protect the money with an insurance policy instead. Your money must stay in these accounts or investments until you spend it.

The protection this provides means that if an e-money institution fails, there should be a pot of money (the safeguarding account) sufficient to pay all customers the money they are owed. These safeguarding accounts are protected by law from other creditors of a failed e-money institution. The only thing that can be paid from these safeguarding accounts before the customers are paid back their e-money, is the cost of the receiver (the person who’s appointed to manage the closure of a failed company).
How is safeguarding different from the FSCS protection given by traditional banks?
When you keep money with an e-money institution, it’s safeguarded instead of having FSCS protection (which is sometimes referred to as "deposit insurance").

The main difference between FSCS protection and safeguarding is that FSCS protection is covered by an independent statutory organization while safeguarding protection is provided by the e-money institution itself.
Suppose an FSCS protected firm were to fail. In that case, this independent organization is legally obliged to pay back their funds to eligible customers up to the maximum compensation amount (normally £85,000 for consumers). This will happen whether or not the FSCS protected firm has that money itself. This payout would generally occur within seven days.

If an e-money institution (like CurrencyCloud, through which Silverbird works) fails, the customers' claims will be paid from the safeguarding account. This is because the e-money institution cannot lend the money it has received from one person to another, so it must have enough money in its safeguarding accounts to cover its debts to its customers. Silverbird and its partners are obliged by law to maintain all clients' money in dedicated safeguarded accounts — separate corporate funds. This creates significantly better protection from Silverbird insolvency and is not limited by the £85,000 limits.

Simply put: your money is protected at all times.
Where are my funds held?
Our partner CurrencyCloud has correspondent banks all over Europe and the UK. For instance, in the UK, we hold 100% of your funds in Barclays. Clients on the EU flow contracted with Currencycloud BV have funds safeguarded with Barclays Frankfurt. For the rest of the world, it’s Barclays UK.
What would happen if Silverbird went into administration?
Our clients' funds are held separately from any Silverbird funds, which means that your funds will not be affected if we become insolvent or go into administration. Correspondent banks — through which Silverbird and its partners work — are responsible for returning the funds to you as soon as possible. No creditor can hold a claim to any of your funds.
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