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Top 5 best countries to obtain a crypto license

List of the most popular countries for obtaining consent. Why should you get a work permit? Everything you need to know on this issue.

Crypto License

Table of Contents

In which countries is it worth obtaining a license?

To legally conduct crypto activities, you need a crypto license, which can be obtained in many countries worldwide. But each state has its requirements. Some areas have a more loyal attitude towards virtual currency, and others have strict requirements.

Let's look at the most favorable jurisdictions for licensing.

Introduction

The crypto business is trendy among investors. Therefore, many seek to invest their capital to open a crypto firm. There are several requirements for this in each country. But it all starts with company registration. You can begin the licensing process once you have registered and opened a bank account. It can take from 2-3 weeks to several months. It all depends on the state where the firm receives a permit. There may also be requirements for management personnel and authorized capital (but sometimes they must be present).

How to obtain a crypto license

The most attractive countries for crypto licenses

Consider the 5 most popular and favorable states for starting a business related to digital coins.

Estonia

Estonia is a favorable state for obtaining a crypto license. This is due to the high reputation of this jurisdiction, attractive taxation, and loyal attitude towards digital currency. You can get a crypto license within 2-3 months after applying, and the authorized capital is only 12 thousand euros. For licensing, it is enough that one member of the board is a resident. The state is a leader in digital technology and has a developed banking sector. In addition, licensed companies are provided with the support and necessary assistance from regulatory authorities, and the requirements are the same as traditional financial companies. All this ensures high customer confidence in the cryptocurrency market.

Poland

At the legislative level, Poland accepts virtual currency and controls the financial activities of firms. Although Poland does not have a unique regulator for licensing cryptocurrency activities, it is possible to register an LLC company as a virtual asset service provider (VASP). This way, the firm will be able to do:

  • exchange digital coins for fiat funds and vice versa;
  • change one type of digital coin to another;
  • store private keys on behalf of third parties.

To register a business, you will need a small authorized capital of 1150 euros (5000 zlotys), implement an AML policy, and appoint a responsible officer. The country has one of the lowest income taxes, which ranges from 9% to 19% (depending on profit). It will take approximately 2 months for the company to be registered as a VASP and another 1 month to open a bank account.

Czech Republic

In this jurisdiction, you will need to contact the Bank to register crypto activities. It is he who regulates all financial activities in the state. The area has no licensing legislation, but if a company plans to engage in crypto activities, it must register with the Trade Licensing Register. The authorized capital is one Czech crown per shareholder. The company registration process takes approximately 2 weeks, and there are no requirements for firm management. Since activities with digital coins are controlled by financial intelligence, it is necessary to comply with AML and KYC requirements.

Georgia

This state attracts investors with many advantages for opening a crypto business, namely:

  • a loyal attitude of the authorities towards virtual coins;
  • low taxes;
  • the licensing period is no more than 3 weeks;
  • there are no requirements for the location of the company's office (you can do business remotely);
  • low prices for energy resources;
  • there are no requirements for authorized capital.

In addition, the country has created a FIZ zone (free industrial zone) with preferential taxation: there is no property tax, income tax, or VAT. Therefore, Georgia is an economically advantageous jurisdiction.

El Salvador

In El Salvador, cryptocurrency activities are actively supported at the state level, including preferential taxation for licensed firms in this jurisdiction. Firms are exempt from fees, taxes, and duties on virtual assets, capital gains, and ordinary taxes. The permitting process is simple, although it takes several months to complete, and investors are provided with favorable regulation.

The firm is guaranteed compliance with legal requirements and AML and KYC policies. Such submission instills customer trust and increases the company's rating among potential business partners.

Conclusion

There are many favorable jurisdictions for cryptocurrency activities. Each investor will choose a country to obtain a license based on their priorities (taxes, authorized capital, registration period, etc.). The main thing is to fulfill all the conditions, and obtaining a license will be fine.

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