Crypto enthusiasts are always on the lookout for new ways to generate revenue and invest their time efficiently. When it comes to obtaining a crypto license, there are many opportunities available for everyone to get involved. Of course, some options seem more financially appealing than others.
For example, offshore jurisdictions offer the chance to put down roots with a stable legal system and relaxed regulations. Malta and other offshore countries also have very lax approaches to taxation, so many crypto enthusiasts and companies seek to set up shop there. Some consider Seychelles to be the most attractive tax haven in the world, especially for those who want to launch a cryptocurrency-related project, i.e. obtain a Seychelles crypto license.
What Advantages Does Seychelles Have for Crypto Projects?
The island nation of Seychelles is known for its very liberal approach to taxation, making it a perfect place for people that want to save as much money as possible. Of course, the above is not the only advantage that this country offers to those who want to get involved in cryptocurrency and blockchain projects. Among the biggest pros of working in Seychelles are:
- Easy to get a license – You can easily obtain a license to start a cryptocurrency business from scratch. Their rules and regulations are rather simple.
- Transparent, straightforward framework – Since Seychelles is known for its lax laws, they are not very stringent when it comes to licensing and other closely related issues. In fact, the whole system is very transparent and straightforward, so you can easily set up a cryptocurrency company as long as you have the right resources.
- Low operating costs – Obviously, a country that allows almost complete tax dodging and legal opacity doesn’t require you to pay lots of state fees or any other money. The most money you’ll spend will be on a legal advisor that will help you set up a company in the swiftest way possible.
- No minimal share capital requirements – Self-explanatory.
- You aren’t obliged to report financial and legal activity to the local government – Also self-explanatory.
What Do You Need to Get a Crypto License in Seychelles?
Seychelles’ FSA (Financial Services Authority) embraces a noninterventionist approach when it comes to regulating cryptocurrency companies and their operations. In order to set up a crypto company in this country, you will need the following:
- Readymade company
- Basic business plan
- One-page summary of the business
- AML and KYC documents
- Proof of no criminal record for all people involved in the venture
- IT infrastructure (one of the most important elements)
- Customer service plan
What Are Seychelles Alternatives for Obtaining a Crypto License?
As mentioned above, this island nation is among the best options for people that want to qualify for a cryptocurrency license or launch an offshore business. The main alternatives include setting up a company in Estonia or Saint Vincent and the Grenadines. The former is a highly technologically advanced country that offers a sophisticated legislative framework and countless opportunities to make money with crypto projects. In recent years, it became somewhat of a mecca for crypto startups and businesses. Estonia might not seem like the most inexpensive option for crypto startups, but with the right idea and a fast-growing ecosystem, it may be an excellent idea to move there as soon as possible.
Saint Vincent and the Grenadines is a relatively new pick as far as crypto-friendly jurisdictions go. It pretty much has the same exact advantages as Seychelles. However, the incorporation is not as fast and there are a few minor disadvantages. For example, their legal framework is more intricate.
List of Documents for Obtaining a Crypto License
Requirements for obtaining this type of license were already outlined above. The documents are closely linked to the above, so there’s no need to break them down one by one. Most companies report that the authorities only require a standard set of documents that can be found on the FSFE’s website.
Terms of Registration and Obtaining a Crypto License in Seychelles
The first thing that needs to be understood is that companies rarely experience difficulties when it comes to obtaining a cryptocurrency license in this nation.
The terms of registration and operation of companies that deal with digital assets are outlined in the following laws:
- The International Trade Zone Act/Regulations;
- International Business Companies Act;
- Companies (Special License) Act;
- Seychelles AML Rules;
- Seychelles Electronic Transactions Act.
The Seychelles Securities Act (2007) also applies as it mandates emerging crypto businesses to obtain a Forex license in order to be able to deal with cryptos. On the surface, it might seem like a major problem but no company or venture ever reported failing to qualify for this type of license, especially if they enlist the help of a competent legal advisor or a company that specializes in offshore company registration.