Obtaining a license for a cryptocurrency company is an important step for those who want to operate in the cryptocurrency industry in full compliance with legal and financial standards. The license provides legitimacy to your activities and allows your business to operate within the legal framework established in different countries and regions.
What does the service of obtaining a license for your ready-made company include:
The first step to obtaining a license is to establish a legal entity. You can use an existing company or register a new one. The process includes:
Determining the type of company (e.g. joint stock company or limited liability company).
The procedure for registering a company in the chosen jurisdiction (e.g. in countries with a cryptocurrency license, such as Malta, Estonia, Gibraltar).
Obtaining a tax number and other necessary registration documents.
Selecting a jurisdiction is a key part of the process, as different countries have different requirements for cryptocurrency companies. It is important to choose a country that:
Recognizes cryptocurrency as a legal tender or commodity.
Has a stable and business-friendly regulatory environment.
Provides protection for investors and users.
Examples of such jurisdictions are Malta, Gibraltar, Estonia, Singapore, and Switzerland.
Licensing cryptocurrency companies requires the preparation of a number of documents confirming your legal activity and financial solvency. This includes:
A detailed business plan that includes a description of all cryptocurrency services you plan to provide.
Financial statements and evidence of your financial solvency.
Documents confirming the professionalism and experience of key employees.
Proof that your company complies with anti-money laundering (AML) and counter-terrorism financing (CFT) standards.
Once all the necessary documents have been prepared, the process of applying for a license begins. This includes:
Submitting an application to the country's regulatory authority.
Conducting an audit of the company's compliance with local legislation.
Providing a response to possible requests from regulators regarding the documents provided.
Regulators often conduct additional checks to ensure compliance with legal requirements and safety standards:
Verification of the company's financial transactions for compliance with AML/CFT standards.
Auditing cryptocurrency transactions to confirm their legitimacy and security.
Technical security audit of the platform, including vulnerability testing.
After successful completion of all checks and procedures, the company receives licenses, which may vary depending on the jurisdiction:
License for activities in the cryptocurrency sphere.
License for work with fiat currencies (if provided).
Licenses for conducting transactions with digital assets.
After receiving a license, it is necessary to comply with a number of mandatory requirements, such as:
Regular audits and reports to regulatory authorities.
Adoption and implementation of new legislative norms as they are updated.
Constant updating of the security system and transaction monitoring.
Legal protection: A license ensures that your company operates within the law and protects your customers and investors.
User trust: Having a license significantly increases user trust in your platform, as they can be sure of your legitimacy.
Access to international markets: A license opens the possibility of working in international markets, which significantly expands your audience.
Simplification of cooperation with financial institutions: Obtaining a license simplifies the process of cooperation with banking and financial institutions for transactions with fiat currencies.
The process of obtaining a license can take from a few weeks to a few months, depending on the chosen jurisdiction and the complexity of the company. Usually, additional requirements or requests may arise during the application process, which may extend the time it takes to obtain a license.
Cryptocurrency Startups: Companies starting their activities in the cryptocurrency sphere and needing to be legalized.
Cryptocurrency Exchangers: Cryptocurrency exchange and trading platforms that want to operate in accordance with the law.
ICOs and Token Sales: Projects related to the issuance and sale of tokens that want to conduct operations within the framework of the law.
