“The focus is on building a business that clients can rely on over time. Once trust is gained, it takes effort and time to maintain it to the highest of standards. From a governance perspective, differentiation comes from our discipline and the consistency of our service levels – ensuring that growth is aligned with prudent risk management and compliance with all regulatory standards,” suggest Nicolas Treppides, Founder, Executive Director and CEO, and Marios Cosma, Co-Founder of Moneygate.
In an interview with GOLD magazine, the two founders discuss how the increasingly complex financial landscape and how this shift presents an opportunity. Together, they reflect on the EMI’s origins, how the sector has evolved and what it takes to stand out in an increasingly competitive market.
How did Moneygate come about and what convinced the two of you that 2021 was the right moment to build something together?
Nicolas Treppides: The idea behind Moneygate was not a sudden one – it developed over time through direct exposure to how businesses actually operate. Coming from the corporate services world, with experience in both tech and fintech, it became increasingly clear to me that companies were evolving faster than the financial infrastructure supporting them. As businesses became more international and digitally driven, their expectations around financial services were also changing. In combination with our involvement in various businesses with compliance frameworks for online operations, and experiencing the shift to digital times, we observed that financial institutions providing online banking services had evolved from being merely desired to becoming essential for online commerce. Both the Cyprus market and the global market needed trustworthy and credible electronic institutions capable of facilitating daily business transactions efficiently and securely, while meeting EU quality standards and prioritising money security. At the same time, the European regulatory framework had reached a point where Electronic Money Institutions (EMIs) could operate within a clear and robust structure. This created a very natural opportunity: to build a regulated institution aligned with the realities of modern business – one that combines operational efficiency with strong compliance foundations.
What was the specific gap in the local market that you identified?
Nicolas Treppides: There was a gap between the increasing operational restrictions imposed on traditional banks and evolving client needs, so the idea was to come up with a product that would potentially close it. At the time when Moneygate was formed, there was a market requirement for an EMI to be compliant with rules and regulations and, moreover, be synonymous with trust. Trust is an inherent concept in the corporate environment of Moneygate. Although traditional banks continue to play a fundamental role in the financial system, institutions like Moneygate are designed to complement that ecosystem by focusing on transactional banking and by offering tools that are specific to this particular service. For corporate merchants trading over the internet, Moneygate is this and, at the same time, a lot more.
Cyprus has seen a notable rise in EMIs. What makes the island particularly well positioned in this space and to what extent can EMIs help attract Foreign Direct Investment and international companies to Cyprus?
Marios Cosma: Cyprus offers strong foundations: EU regulatory alignment, a well-developed professional services sector, international connectivity and recognition. These elements make it an attractive base for companies operating across multiple regions. EMIs can contribute by providing accessible financial infrastructure that supports this international business activities. Cyprus has the advantage of being a fairly agile jurisdiction. With effective coordination, it can keep growing as a specialised financial services centre. Foreign tech industry investors are increasingly familiar with EMIs, and the presence of EMIs in Cyprus’ business environment reassures them that Cyprus is open to technological progress rather than remaining stagnant with outdated banking systems.
How do you ensure that Moneygate does not become just another payments provider? What differentiates your offering?
Nicolas Treppides: The sector is becoming more competitive, which makes clarity of positioning increasingly important. The focus is on building a business that clients can rely on over time. Once trust is gained, it takes effort and time to maintain it to the highest of standards. From a governance perspective, differentiation comes from our discipline and the consistency of our service levels – ensuring that growth is aligned with prudent risk management and compliance with all regulatory standards. Moneygate is a hybrid model, positioned between a traditional bank and a fully automated digital service. Although we recognise the need for efficiency and speed during onboarding and transactions, we still consider that human involvement at the client-facing level is still key. People trust people and human involvement inspires personal attention and care.
AI, embedded finance, digital resilience and new identification technologies are all reshaping the sector. Which of these developments do you believe will have the greatest impact over the next five years, and which ones are perhaps overhyped?
Marios Cosma: It is important to focus on using technology to enhance control, transparency and scalability. Technology delivers the most value when it assists in taking informed smarter decisions. AI will speed up transactional analysis by enabling systems to detect risks and deploy risk mitigation strategies, while algorithms will examine transactions to improve monitoring and control processes. However, AI can be used in both positive and negative ways – those seeking to exploit the system may use AI to bypass controls. Risk and compliance teams will leverage AI and other technologies to protect customer funds and maintain the integrity of systems. Artificial intelligence will have a meaningful impact, particularly in enhancing compliance monitoring, transaction analysis and operational efficiency. Embedded finance will continue to expand, although its long-term impact will depend on practical implementation rather than concept. Some areas, such as digital identity, are important but will likely evolve gradually due to the need for coordination across jurisdictions.
You have previously stated that the EMI sector is set for continued growth. Beyond the broad narrative of digitalisation, what deeper structural shift is driving that momentum?
Nicolas Treppides: The key shift is the increasing specialisation within financial services and the development of reliable and scalable infrastructure. Rather than providing all services, we foresee the emergence of specialised providers that focus is on executing specific functions exceptionally well and efficiently. EMIs are part of that evolution. They are not a replacement for banks but a natural progression of the financial ecosystem, driven by the changing needs of businesses and advancements in technology.
What is preventing Cyprus from becoming a leading European fintech hub? If you could advise policymakers on one bold move that would materially accelerate the ecosystem, what would it be?
Marios Cosma: Talent – whether it's human capital or a technology-driven system designed by people – remains crucial for success in this sector. Gaining experience, especially in compliance, ICT and risk management, is essential for every EMI – and for Cyprus. Developing expertise and understanding in these areas, while dispelling misconceptions, will help ensure sustained growth and long-term success. We believe that some stakeholders are still unclear and will question the reasons and motives of a company or an individual choosing to onboard with an EMI instead of a traditional banking institution. Although this perception has changed dramatically over the past two to three years, on a local level there still seems to be some scepticism. A constructive step would be to further encourage structured collaboration between banks and EMIs, thereby strengthening the overall financial ecosystem. We are aware that some steps have already been taken in this direction and market participants, although sceptical, appear to be positive.
Looking five years ahead, what will success look like for Moneygate?
Nicolas Treppides: We believe that success means fostering growth with strong compliance and governance, maintaining integrity and building trust – essential for credibility and lasting achievement as the business expands. With the right foundations and proof of concept already in place, we now aim to become one of Europe’s success stories in the sector, with clearly identifiable product differentiation, strategic partnerships and embedded technological offerings to other financial institutions.
This interview first appeared in the April edition of GOLD magazine. Click here to view it.
