Definition
What is a Merchant of Record?
A Merchant of Record (MoR) is the entity—either the business itself or a designated third party—responsible for the sale of goods or services to an end consumer and the management of associated transaction-level liabilities, such as compliance, taxes, currency conversion, refunds, and chargebacks.
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Businesses may act as their own MoR to manage these obligations internally. To make the distinction concrete, imagine a subscription business managing its own transaction duties as its own MoR, versus partnering with a third-party MoR that receives the initial customer payment, handles disputes, and pays the business net of fees and taxes. In the third-party arrangement, the MoR’s name often appears on the customer’s bank statement instead of the merchant’s. Because specific responsibilities and contractual allocations vary significantly between agreements, it is important to recognize that an MoR does not universally assume every business liability. For a deeper look at these roles, see this MoR overview. While an MoR manages the commercial sale, it remains distinct from a digital wallet, which functions as a tool for accessing, managing, and transacting with digital assets, credentials, or identities.