To carry out operations with cryptocurrencies, Estonian entity must have an authorized capital of 12,000 Euros that needs to be deposited on the company bank account. This amount won’t be frozen and will be free to use after arriving to the corporate account.
An incorporated Estonian company structure should include:
- At least 1 shareholder
- At least 1 local member of the board
- At least 1 local contact person responsible for AML, International Financial Sanctions and for the communication with the state authorities
- Accounting services for conducting annual reports
Shareholders of the company have the right to act as members of the management board. A key requirement for the person responsible for AML is the continuous monitoring of clients' activities with an objective to prevent money laundering and the financing of terrorism and being a local Estonian resident. In case of revealing suspicious activites it is necessary to notify the state authorities of Estonia.
Taxation of companies who deal with cryptocurrencies
Financial services of joint-stock companies are not subject to VAT. For companies, there is a zero income tax rate. Following taxes are compulsory:
- 25% when dividends are withdrawn - the company itself decides how to distribute dividends
- 3% - the social tax on the personnel
- 20% - income tax
Accounting services cost aprx. 100 euros / month and legal address necessary for incorporation and functioning of the company costs aprx. 300 euros / month. Compared with PI and electronic money licensed companies, the overhead costs of the cryptocurrency licensed company is cheaper.
Cryptocurrency exchange license obtaining procedure
Cryptocurrecny exchange license obtaining procedure in Estonia is regulated and approved by the local law. Our team of skilled professionals will guide you through a specific process and will explain all details, that are vital for the successful result. Our experts accompany clients at all stages - from the process of the incorporation of the company till the final procedure of obtaining the license.
First stage requires:
- to prepare the notarized and apostilled copy of passport with power of attorney for one of our specialists
- translation of the power of attorney into Estonian with subsequent certification
- incorporation of an Estonian company
- opening of a corporate bank account
All these processes are conducted and controlled by our skilled team members. In order to incorporate a company, we will help to collect the following package of documents: contact details of the founders - registration, real residence, e-mail address, telephone number.
After the company registration is completed, we prepare the documents for a license obtaining procedure.
Application for a license
Cryptocurrency exchange license is issued by Estonian regulator in case following information and documents are prepared and presented in the required manner:
- contacts of the applicant company - phone, e-mail, website address
- information on the persons responsible for providing services
- information on shareholders / shareholders
- information about the legal representative of the company - name, date and place of birth, contact information
- Company inner rules for the implementation of procedures when working with cryptocurrencies and information about the person responsible for compliance with presented rules. The document should be developed in accordance with the requirements of the legislation of the Republic of Estonia
- certificates confirming the non-criminal background of shareholders / members of the board – should be issued at the place of residence
Specialists of Prifinance provide following comprehensive support:
- full consulting support during registration of the company
- assistance in preparing and filing an application for a license
- interaction with the state authorities in the process of considering an application for a license
- registration of a legal address
- payment of state duties
- registration / transfer of powers of attorney
- accounting and legal assistance
Establishing and running a crypto business in most situations needs getting a license for the operations with crypto assets. This type of permit is informally called a "crypto license” – an official approval from the resident regulators to carry out the defined scope of operations with crypto assets. The regulatory and licensing legislation varies from state to state. But, Prifinance lawyers have already gained the experience of getting crypto licenses in TOP, most popular, states across the globe. Professional lawyers will help to develop individual and 100% workable cryptolicensing solutions in your business case. We provide comprehensive registration support as well as financial and corporate consulting services before and after getting a license for cryptocurrency operations.
Scope of Prifinance typical crypto currency license services offered:
- assess correctly the background of a business case to mitigate and remove the risks that can prevent getting a cryptocurrency license;
- gather all expected particulars and documents to obtain for a crypto license;
- register a company that will become a future licensee and open bank accounts for such an entity;
- handle all negotiations with the local officials in the course of getting a target cryptolicense;
- support all the next activities of the newly-formed licensee.
Specific cases
It is often needed to address some specific requirements while establishing more complicated business structures. For instance, Prifinance lawyers are experienced and support obtaining a cryptocurrency exchange license. Lawyers help with defining and addressing effectively all complex demands for establishing this form of crypto business. Professionals are aware of the most common nuances that help to persuade regulators that a project is reliable.
Lawyers are also helpful in getting a crypto banking license. We are experienced in getting banking licenses that usually also require following stricter registration and compliance requirements. Our professionals will help interested businessmen to address burdensome regulatory formalities in a winning way.
No matter how complicated or non-standard your business case is. Prifinance lawyers are ready to assist you with getting a license for cryptocurrency exchange or any other project in any country you find suitable for this purpose. Even if the particulars of your case don’t allow registering a project in some jurisdictions, we will not leave your commercial case without an equivalent business solution or even a better alternative.
Benefits that cooperation with Prifinance company delivers
Legal cooperation with the Prifinance specialists is a good choice as we manage:
- saving maximally money and time of our clients;
- providing well-rounded protection from associated risks;
- searching the effective ways to enhance the indicators of efficiency (profitability);
- ensuring a possibility to use the competencies of highly qualified officers, which cannot be found in the staff of the clients’ companies;
- guaranteeing confidentiality;
- maximizing the chances of completing crypto licensing procedures with positive results for our clients.
Inform Prifinance lawyers about the background and objectives of your commercial case. We will help you to get any type of cryptocurrency license that may be needed, including a crypto exchange license. Prifinance develops and implements registration solutions that work.
