Silverbird Enters Special Administration, FCA Initiates Investigation

London-based fintech firm, Silverbird, has officially entered special administration, as confirmed by the Financial Conduct Authority (FCA) under the Payment and Electronic Money Institutions Insolvency Regulations of 2021. Established in 2020, Silverbird specialized in providing small and medium-sized enterprises (SMEs) with multicurrency business accounts tailored for international trade, facilitating cross-border payments and fund storage in e-wallets.

In response to this development, a statement posted on Silverbird's main website highlights the preliminary steps being taken to address the situation. It states, "Only limited information is available at this early stage of the Special Administration. Our initial actions will be to secure the assets of the Company, including securing all customer safeguarded funds."

Furthermore, the statement acknowledges the impact on customers, noting, "Unfortunately, customers will not have access to their funds while this work is being undertaken."

The FCA has outlined the immediate tasks for the Joint Special Administrators (JSAs), who will oversee the process. According to the regulatory body, the JSAs are mandated to provide a comprehensive report to creditors within 8 weeks of their appointment, detailing Silverbird's history and proposing a course of action. Additionally, the JSAs will gather information from creditors and customers of Silverbird regarding payments made to or owed by the company.