what is a crypto license?"
A “license” relating to digital blockchain assets is an authorization allowing a business or individual to conduct business under the authorization of a jurisdiction.
Sometimes, these licensing authorities are a country-wide government. Other times, the authority is a state-level government. There can even be self governing entities that issue a crypto license.
What Type of Crypto License is needed?
The first, most important question to explore in looking into a license for crypto blockchain digital assets is the type of activity.
- Are you dealing with other people’s money?
- Are you a broker?
- Are you a dealer?
- Is the digital asset a commodity or an equity?
- Are there special tax considerations?
- Is the business to be transacted in a “special zone?”
- Will you be dealing with fiat currency?
- Are there other special considerations?
These and other relevant aspects need to be considered first to determine the Type of license needed.
in what geographical jurisdictions will you be doing business?
Each jurisdiction you may consider will have different costs, different benefits, and different applicabilty to the crypto business you intend to transact. Choose wisely!
The second but equally important consideration in the place in which your license will be needed.
The following countries have crypto licenses of various degrees and levels of difficulty to attain:
- Estonia
- Czech Republic
- Poland (no specific crypto license, but a special business registration process)
- Lithuania
- Gibraltar
- Malta
- Ireland
- United Kingdom (Britain)
- United States
- Australia
- Algeria (currently banned)
- The Netherlands
- Brasil
- Japan
- Indonesia
- Switzerland
- Singapore
- China (Hong Kong differs from mainland!)
Is it time for a crypto license?
Let us help you with selecting and completing your legal requirements.
Trial lawyer Matt Hamilton graduated from the University of Missouri in 1995 with Science degrees in Logistics, Marketing, and Business Administration. Juris Doctor, 1999.
