Newland Secures U.S. MSB License to Accelerate Global Expansion in Cross-Border Payments

FUZHOU, China, July 1, 2025 – Newland Digital Technology Co., Ltd. (SSE: 000997) today announced that its wholly-owned subsidiary NovaPay US Inc. (“NovaPay”), established in the United States with an initial capital of USD 1 million, has successfully obtained a U.S. Money Services Business (MSB) license issued by the Financial Crimes Enforcement Network (FinCEN) under the U.S. Department of the Treasury.

The achievement marks a significant milestone in Newland’s global expansion strategy across the entire payments value chain and lays a solid foundation for the company’s cross-border payment business.

Strengthening Cross-Border Capabilities with Overseas Subsidiary

NovaPay has completed registration in the U.S. and is authorized to engage in money services, including foreign exchange transactions and international remittance services.

This strategic step underscores Newland’s commitment to accelerating its globalization in the payments sector. By leveraging both domestic and international resources, the company aims to enhance compliance and operational capabilities in overseas markets. The investment was funded entirely with internal capital and will not negatively impact Newland’s financial position or shareholders’ interests.

U.S. MSB License: A Key Compliance Milestone

NovaPay has officially been granted the U.S. MSB license (No. 31000301191576), covering foreign exchange trading and money transfer services.

The U.S. MSB license, regulated by FinCEN, is one of the most recognized credentials for enterprises engaged in money services such as currency exchange, remittance, and digital asset transactions. Obtaining this license enables Newland to operate cross-border payment services within a robust compliance framework, while also strengthening connections with global financial institutions.

This milestone highlights regulatory recognition of Newland’s fintech compliance capabilities and provides the company with a crucial entry point into international markets.

Outlook: Advancing Globalization Strategy

The global cross-border payments market continues to grow and evolve. In 2024, transaction flows reached USD 194.6 trillion (2019–2024 CAGR: ~9%) and are projected to reach USD 320 trillion by 2032.

With increasing globalization of Chinese enterprises and surging cross-border e-commerce and trade activities, demand for localized, compliant payment services is rising rapidly. By securing the MSB license, Newland has further strengthened its credentials and capabilities to compete in this high-growth market.

Looking forward, Newland will continue to leverage its technological strengths and integration capabilities to advance its globalization strategy, delivering secure, efficient, and innovative digital payment solutions to customers worldwide.