License for a cryptocurrency exchange in Finland: Entering the Northern European market
Finland is strengthening its position as one of the key jurisdictions for companies seeking to obtain a crypto license and operate in a clearly regulated Northern European environment. The country offers a transparent legal framework with clear compliance standards fully aligned with the MiCA regulation, providing businesses with confidence and predictability.
Local regulators demonstrate an open stance toward innovation while insisting on compliance with anti-money laundering laws and financial regulations. This creates a solid foundation for companies wishing to obtain a license to exchange cryptocurrencies and other digital assets as a Virtual Asset Service Provider (VASP).
Applicants gain access to comprehensive information about the licensing process and requirements. The country offers a favorable environment for organizations planning to engage in:
- licensing of cryptocurrency exchanges,
- management of crypto wallets,
- other types of digital assets.
The overall atmosphere of support and transparency from regulators helps foreign companies enter the EU market with confidence. The application process can be completed fairly quickly if the documents are properly prepared and the applicant is ready to comply with regulatory requirements and respond to changes in legislation.
Finnish crypto organizations are already integrated into the existing financial system, ensuring clients’ confidence in compliance with standards and facilitating the movement of funds. The growing demand both domestically and from international clients makes Finland an attractive destination for establishing scalable, legally compliant crypto offices.
Types of activities covered by a crypto license in Finland
A crypto license issued in Finland grants a company the official right to conduct a range of operations with cryptocurrencies and virtual assets within a legal business model. Depending on the chosen structure, a licensed company can operate a crypto exchange, provide crypto wallet management services, and perform other digital financial operations related to its business.
Finnish regulators require applicants to strictly comply with the rules, both in terms of legal justification and anti-money laundering (AML) programs. Special attention is also given to transparency and adherence to operational standards across various jurisdictions, depending on the types of services the company provides.
A Finnish license can cover the following main types of activities:
- creation and operation of crypto exchanges where users can buy, sell, and trade cryptocurrency;
- providing clients with cryptocurrency custody services through managed virtual wallets;
- offering crypto payment and/or money transfer services;
- conducting over-the-counter (OTC) operations and managing digital assets;
- supporting clients in regulatory compliance, including KYC, transaction monitoring, and regular reporting.
Each licensed company is required to have a physical office in the country, appoint local directors, and submit regular reports to the regulator. Holding a license confirms that the business operates legally, can offer services in the Finnish crypto market, and meets high standards of trust and compliance.
Advantages of obtaining a crypto license in Finland
Obtaining a cryptocurrency license in Finland allows companies to legally operate within a clearly defined regulatory framework that complies with both European Union requirements and international financial institutions. The country offers a transparent and stable regulatory regime closely aligned with the provisions of the MiCA regulation, making it an attractive jurisdiction for participants in the global crypto market.
The advantages of licensing include:
- Legal certainty and compliance with legislation, at both the EU and national levels, within a trusted regulatory environment.
- Operation within a transparent and regulated financial system, incorporating strict anti-money laundering (AML) measures.
- Access to bank account openings and international banking services, essential for reliable support of crypto transactions.
- Reasonable capital requirements, combined with detailed compliance standards, allowing business models to be tailored to specific objectives.
- Government support for digital innovation, aimed at the development of crypto and virtual asset services.
- Flexible licensing conditions for both startups and established companies, fostering the growth of an active and expanding ecosystem of providers.
- Enhanced business reputation and increased trust from clients and partners, contributing to growth and international expansion.
By choosing Finland to develop your crypto business, you gain access to a stable, regulated market focused on sustainability and long-term adaptability.
The Prifinance team supports companies at every stage, from selecting the optimal model to preparing all necessary documentation and communicating with regulators. We ensure the confident and timely acquisition of a license, taking into account current requirements and the specifics of Finnish legislation.
Comparison: Crypto license in Finland vs. other jurisdictions
When choosing a suitable jurisdiction for obtaining a cryptocurrency exchange license, it is important to compare Finland’s conditions with other popular destinations, such as Malta, Cyprus, Lithuania, as well as with the general requirements established by the European Union’s MiCA regulation.
Such a comparison helps assess how well the Finnish approach aligns with your business goals and allows you to choose the optimal legal environment for the legal and sustainable development of your business.
| Jurisdiction | License Type | Regulator | License Fee | Setup Time | Compliance Burden | Market Access | Access to Banking |
| Finland | Crypto (VASP) | Finnish FSA | Moderate | 3–6 months | Medium | EU, Global | Good |
| Malta | VFA | MFSA | Moderate | 3–5 months | Medium | EU, Global | Good |
| Cyprus | VASP | CySEC | Moderate | 3–6 months | Medium | EU, Global | Good |
| Lithuania | VASP | FNTT / BoL | Low | 1–3 months | Medium/High | EU, Global | Good |
| EU | CASP | National Regulators | Varies | 3–6 months | High | EU only | Good |
Key takeaways:
A cryptocurrency exchange license in Finland is a legal and reliable way to enter the EU market, fully aligned with the MiCA regulation. It offers companies regulated access to the European space and ensures full compliance with all legal requirements.
Finland provides attractive licensing fees and professional regulatory oversight, which is considered more balanced compared to jurisdictions like Malta and Cyprus.
By contrast, Lithuania enables fast registration but imposes stricter compliance requirements, potentially increasing the administrative burden on businesses.
The regulation adopted in the EU creates a unified regulatory landscape for the crypto industry, allowing for:
- standardization of licensing across the European Union;
- passporting of licenses between member states;
- efficient operation in a cross-border environment.
An additional advantage is the presence of a developed financial infrastructure and access to international banking networks. This makes the country a suitable jurisdiction for both startups and established companies interested in sustainable growth and expansion.
Requirements for obtaining a cryptocurrency license in Finland
The licensing process in Finland is regulated by the Finnish Financial Supervisory Authority (FSA) and requires strict compliance with legal, financial, and organizational standards.
The purpose of licensing is to ensure that companies operating in the Finnish crypto market maintain a required level of transparency, security, and regulatory compliance. This helps establish a stable and well-controlled environment for activities involving virtual assets.
| Requirement | Description |
| Legal entity | Establish a Finnish company registered under local law, with an active business registration. |
| Capital | Maintain the minimum capital required by the Financial Supervisory Authority (FSA) to ensure operational stability. |
| Directors and management | Appoint qualified directors with relevant experience; key personnel must meet the “fit and proper” criteria for integrity and competence. |
| AML/KYC policies | Implement robust anti-money laundering (AML) and know-your-customer (KYC) procedures. |
| Physical office | Maintain a physical office in Finland to demonstrate real economic presence and operational activity. |
| Compliance and risk management | Develop comprehensive compliance programs, including transaction monitoring and audit capabilities. |
| IT and security | Establish a secure IT infrastructure to protect client accounts, data, and digital wallets. |
| Documentation and reporting | Submit detailed application documents and commit to regular reporting and auditing. |
| Fees | Pay all applicable licensing and regulatory fees set by the FSA. |
Additionally, the FSA expects applicants to provide sufficient evidence of financial integrity, operational capability, and disclosure of certain business processes.
Registration of a cryptocurrency company in Finland: Stages and timeline
The licensing procedure for cryptocurrency activities in Finland is a multi-stage and formalized process established by the Finnish Financial Supervisory Authority (FSA). Understanding each step helps companies effectively manage the application and control the preparation process.
Key stages:
- Preliminary assessment and planning
Define the business model (e.g., crypto exchange, asset custody, wallet services), assess capital requirements, and prepare initial documents. - Company registration and setup
Establish a Finnish legal entity, open a physical office in Finland, and appoint key personnel, including directors and compliance officers. - Preparation of the full documentation package
Compile the application, including a business plan, AML/KYC policies, IT security documentation, and a compliance control system. - Application submission
Submit the prepared package to the FSA and pay the applicable fees. - Regulatory review and possible requests
The FSA conducts a thorough review of the documents, may request additional materials, clarifications, or conduct interviews with the applicant. - Conditional approval
Upon preliminary approval, the company must confirm readiness to begin operations and fulfill any remaining compliance requirements. - License issuance
After reviewing the final materials and resolving any outstanding issues, the FSA officially issues the cryptocurrency exchange license, allowing legal operation in the country. - Supervision and reporting
Holders are required to regularly meet AML/KYC obligations, submit reports, and be prepared for periodic inspections.
Estimated timeline:
| Stage | Estimated duration |
| Preliminary planning | 2–4 weeks |
| Company registration | 2–4 weeks |
| Document preparation | 4–6 weeks |
| Regulatory review | 3–6 months |
| Total time | 4–8 months |
A well-prepared application and proactive engagement with the regulator can significantly reduce this timeline.
Prifinance provides full support at every stage: from business model analysis and organizational structuring to compiling the complete document package, submitting the application, and communicating with the FSA. This minimizes the risk of rejection and allows you to focus on launching operational activities in Finland.
Taxation for crypto companies in Finland
Finland offers a transparent and business-friendly tax environment for companies licensed to operate in the cryptocurrency sector. Understanding tax obligations is essential for any company involved in digital assets.
Key tax features for licensed companies in Finland
| Tax type | Description/rate | Notes |
| Corporate Income Tax | Approximately 20% | Applied to net taxable income |
| Value Added Tax (VAT) | Standard rate 24% | Some services may be exempt or subject to reduced rates |
| Withholding Tax | Varies (typically 0–30%) | Depends on the nature of payments and applicable tax treaties |
| Personal Income Tax | Progressive rates up to ~31.25% | Applies to employees and management |
| Capital Gains Tax | Taxed as ordinary income | Applies to gains from cryptocurrency transactions |
Tax advantages:
Finland offers favorable conditions for tax planning for cryptocurrency companies operating under a license. The transparency of the tax authority’s approach and international integration provide a stable foundation for compliance and risk reduction.
- Transparent approach
The clear stance of Finnish tax authorities on cryptocurrencies helps companies effectively manage tax risks. - Double taxation relief
Finland has signed multiple double taxation treaties, which simplifies cross-border operations involving Bitcoin and other cryptocurrencies. - Regulatory compliance support
Licensed organizations operate within well-established compliance procedures, promoting consistent fulfillment of tax obligations.
While tax model optimization should be carried out with the help of a qualified advisor, companies are also responsible for ensuring timely and accurate compliance with tax regulations.
What you should know about obtaining a Finnish crypto license
Obtaining a cryptocurrency exchange license in Finland is a clearly regulated process that aligns with EU standards and the MiCA regulation. Below is a summary table with key facts to help you navigate the main requirements, steps, and benefits of licensing.
| Parameter | Description |
| Regulator | Finnish Financial Supervisory Authority (FSA) |
| Legal framework | Compliance with local legislation and the EU MiCA regulation |
| Company form | Finnish legal entity with a physical office and local directors |
| Main activities | Crypto exchange, asset custody, wallets, payments, OTC, AML/KYC monitoring |
| Licensing procedure | 8 stages: from planning and company registration to license issuance and ongoing supervision |
| Review timeframe | Case-by-case, depending on completeness of documents and regulator interaction |
| Post-licensing obligations | Ongoing AML/KYC compliance, reporting, audit readiness |
| Taxation | Clear approach from Finnish tax authorities, double taxation treaties in place |
| Access to banking services | Ability to open accounts and work with international banking systems |
| Advantages | Transparency, flexible requirements, startup support, trust from partners and clients |
| Support | Prifinance assists at all stages: registration, documentation, and FSA interaction |
Your licensing team
The Prifinance team consists of lawyers, financial consultants, and compliance experts with proven qualifications and extensive experience supporting projects across various jurisdictions. We have a deep understanding of international regulatory requirements, maintain effective communication with supervisory authorities, and are skilled at finding precise solutions even in the most complex situations. By choosing us, clients receive not just legal support, but strategic guidance focused on results.
Nikolai Timofejev Expert with 15 years of experience in FinTech, payments, and business strategy.
Oleksii Kindratenko Expert in company registration, financial licenses, AML and tax consulting.
Eugeniu Bevziuc International business consultant with experience in company setup, remote work, and multilingual communication.
Company formation, application, and communication with the FSA – We handle it all and deliver results
FAQ
- What is a cryptocurrency license in Finland and who issues it?
A crypto license in Finland is issued by the Financial Supervisory Authority (FSA) to companies that can prove they legally provide crypto exchange services, asset custody (wallets), or other virtual asset operations within the jurisdiction. - What types of cryptocurrency activities require licensing?
The license covers areas such as cryptocurrency exchange, digital asset trading, cryptocurrency custody (custody & wallets), as well as crypto payment processing – in accordance with FSA requirements. - How long does it take to obtain the license?
On average, the licensing process takes between 4 to 8 months, depending on the completeness of the submitted documents and the complexity of the business model. - What are the share capital requirements?
The minimum capital depends on the specific types of activities and must meet EU regulatory standards, confirming the company’s financial stability. - Is a physical office in Finland required?
Yes. Every company operating in Finland is required to have a local office and appointed qualified directors, which is necessary to meet the jurisdiction’s presence requirements. - Can a foreign investor own 100% of a Finnish crypto company?
Yes, foreign owners can hold a full (100%) stake in a Finnish company, provided all regulatory and compliance obligations are met. - What are the regulatory compliance requirements?
Licensed companies must implement and maintain a comprehensive AML/KYC policy, a transaction monitoring system, and regular reporting processes. Annual audits are also required. - Does a Finnish license allow operations outside the country?
Yes. It allows working with foreign counterparties, and under the MiCA regulation, facilitates operations in any EU member state. - What happens if you operate without a license?
Such activity in Finland can result in fines, civil lawsuits, and a ban on conducting operations in the country. - Can taxes be optimized in Finland?
Yes. It is recommended to work with local tax advisors to effectively utilize double taxation treaties, VAT rules, and to comply with corporate income and capital gains tax obligations.
