Offshore jurisdictions are very attractive for most crypto projects. It is due to the loyalty of the legislative framework about virtual currency and blockchain technology. A Panama crypto license is an excellent solution for those projects that do not comply with the requirements of other jurisdictions. It has very simple regulations, low taxes, and the cost of obtaining documents.
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Regulation of the crypto industry
ANCOM is a government organization that regulates firms involved in cryptocurrency activities in a given state. The ANCOM regulator has developed legislation that includes the following essential aspects:
- e-money can be used for payments;
- prohibition of the use of virtual currency for criminal purposes;
- to conduct activities related to cryptocurrency, people need to receive a permit;
- provide reliable information about companies engaged in crypto activities.
There currently needs to be legislation aimed at controlling digital money. The state allowed organizations to use electronic cash and blockchain. The state-owned bank has formed a division dealing with digital coins and studying their impact on the state’s financial sector.
This jurisdiction is a safe place to store crypto assets and avoid taxes. This aspect of Panama attracts many organizations. Despite this, it is recommended to familiarize yourself in detail with the regulatory framework that applies to electronic coins to avoid problems later.
Licensing Process
For a company to be successfully licensed, it must fulfill the CNFS conditions. This commission regulates the activities of financial companies. To obtain a license, you must collect the necessary documents, including passports of directors and shareholders and a certificate of registration (or pay utility bills). It will take no more than two days.
The first requirement is registering the organization and office in the state. For this purpose, corporate documents are prepared and submitted for registration in the Registry. The firm must pay government fees after registering, which will take about a week.
Next, a bank account is opened. It’s better to stop at the first one you come across and consider several options, considering financial risks – the bank should have an AML policy. The authorized person from the bank is given a package of necessary papers to their requirements. These papers include documentary evidence of the origin of capital, a list of potential business partners, paid utility bills, etc. To open a bank account, an authorized person from the organization must accompany you. Opening an account may take 1-1.5 months.
It is also important to have capital that will ensure the full functioning of the firm. It is worth noting that, having received a permit, various audits and accounting can be carried out. The company’s personnel must have appropriate qualifications in this field.
Benefits of this permit
Opening a crypto firm has the following benefits.
Modern infrastructure
The infrastructure is well-developed, allowing easy access to financial services and innovative technologies. And this provides comfort in the activities of crypto firms.
Minor restrictions
Panamanian authorities, compared to the leaders of other countries, do not have stringent rules and restrictions for businesses. The regulation of this activity is characterized by loyalty and flexibility. It provides more freedom in financial transactions and faster growth of the firm.
Attractive taxation
This jurisdiction has attractive taxes. It provides greater profits. It is worth noting that currently, there is no taxation of virtual currency in the state, and therefore, Panama is one of the attractive countries for crypto activities.
Territorial location of the state
Since this jurisdiction has a favorable geographical location, this provides an opportunity to do business from anywhere in the world.
Based on the above, a permit allows you to reduce costs associated with taxation and gives you more freedom of action with cryptocurrency activities.
In the end
If your firm is interested in the specific financial costs of licensing, then a group of Gofaizen-Sherle specialists will help, and you can receive qualified assistance. We provide a full range of services for obtaining permits in different jurisdictions. We will analyze your company’s activities and tell you which country suits you best.