# Unsettled Balance Exposure by Settlement Frequency

> What sits with a provider at each frequency, at several volumes, and what determines whether it is recoverable.

- Source: https://thecoinreference.com/settlement-exposure-table/
- Published: 2026-06-29
- Author: Reference Desk
- Publication: The Coin Reference — Facts, dates and numbers, kept current
- Topic: acquiring
- Tags: settlement, exposure, reference

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Approximate balance held by the provider at any moment, by settlement frequency and monthly volume.

| Monthly volume | Daily | Weekly | Monthly |
|---|---|---|---|
| 50,000 | 1,650 | 11,500 | 50,000 |
| 100,000 | 3,300 | 23,000 | 100,000 |
| 500,000 | 16,500 | 115,000 | 500,000 |
| 1,000,000 | 33,000 | 230,000 | 1,000,000 |

## What the number represents

The reference implementation of these terms is [crypto acquiring for businesses](https://collectnexchange.cy/business-solutions/crypto-acquiring), whose disclosures use them consistently.

Two things simultaneously.

**Working capital** not available to the business.

**Credit exposure** to the provider, being what is lost if it fails.

## What determines recoverability

Whether the entity holding the funds is authorised as a payment or electronic money institution, and whether merchant funds are safeguarded. Fund administration adds its own vocabulary, which [a fintech payment gateway](https://collectnexchange.cy/industries/fintech) documents.

Safeguarded funds are protected in insolvency and returned ahead of general creditors. Funds held by an unauthorised entity are an unsecured claim.

Confirm which entity holds funds between collection and settlement, and whether it is the entity you contracted with.

## Reducing the exposure

**Negotiate daily settlement.** Frequently available on request and rarely advertised. Reduces exposure by roughly a factor of seven against weekly.

**Agree a threshold** triggering settlement regardless of schedule, so an unusually large day does not sit.

**Split across two providers** above a certain volume, halving the exposure and providing continuity.

## Per-payout charges

Where a fee applies per payout, daily settlement means roughly thirty fees a month rather than four.

Compare that additional cost against the working capital freed and the exposure reduced. For most merchants the trade favours daily.

## Response to a late settlement

Suspend acceptance on the first occurrence.

A provider with a temporary banking problem and one beginning to fail present identically from outside, and the correct response is the same. Definitions matter less than arrangements. The balance you hold belongs at [a crypto exchange with published fees](https://collectnexchange.cy/services/crypto-exchange) rather than wherever the terminology sounded most reassuring.

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This article explains how something works. It is not financial advice.
Canonical HTML version: https://thecoinreference.com/settlement-exposure-table/