Embedded Merchant of Record Infrastructure
What is a Merchant of Record?
A Merchant of Record (MoR) is the legal entity that:
Sells the product to the customer
Collects and remits international sales taxes (VAT, GST, US Sales Tax)
Assumes regulatory and tax liability for the transaction
In short: The MoR handles compliance, tax calculation, and remittance, so merchants don’t have to.
Payment Service Providers vs Merchant of Record vs Suby
Payment Service Providers (PSPs)
Examples: Stripe, Adyen
PSPs facilitate transactions.
✅ Low-level APIs ✅ Maximum flexibility ❌ You are liable for international tax compliance ❌ You must register, file and remit taxes yourself
Merchants of Record (MoRs)
MoRs add another abstraction layer on top of PSPs.
✅ They become the reseller of your digital product ✅ They collect & remit international sales taxes ✅ They assume compliance liability
❌ Higher fees ❌ Less flexibility ❌ You don’t control the full billing infrastructure
Where Suby Fits
Suby is not the Merchant of Record.
Instead, we:
Embed a licensed Merchant of Record into our payment stack
Orchestrate both card and crypto payments infrastructure
Abstract compliance complexity away from merchants
Add a crypto-native recurring payments layer on top
You get:
✅ Automated tax handling via a licensed MoR ✅ Card payments fully integrated ✅ Crypto-native payments (USDC, USDT, ETH, SOL, BNB) ✅ Discord & Telegram unlock automation
Without:
❌ Becoming legally liable for international tax registrations ❌ Building complex compliance infrastructure
Why We Don’t Act as Merchant of Record Ourselves
Becoming a Merchant of Record requires:
Global tax registrations
Ongoing filings in multiple jurisdictions
Significant accounting overhead
Regulatory exposure
We believe compliance should be handled by licensed specialists. So instead of becoming a MoR ourselves, we integrate one directly into our infrastructure.
This allows us to:
Stay asset-light
Focus on product & automation
Ship faster
Keep fees competitive
What This Means for You
When using Suby:
The licensed Merchant of Record handles tax compliance
You remain responsible for your own income tax in your jurisdiction
You benefit from a compliant payment stack
You don’t need to worry about VAT thresholds, registrations or filings
We orchestrate the infrastructure, so you can focus on monetizing your community.
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