How to open a crypto company in the Cayman Islands?
There are many reasons as to why people choose to obtain a crypto license in Cayman Islands. This offshore jurisdiction allows you to officially establish your business within 48 hours if no issues arise during the registration process. Also, the creation of your company doesn’t need to gain personal approval from the local Minister of Finance, which is mandatory in such jurisdictions as Bermuda. Other advantages of setting up shop in the Cayman Islands include:
- Lower running costs;
- Laxer company name registration rules;
- No taxes;
- Less control from the government.
With all of that in mind, many people opt to create a crypto business in the Cayman Islands because it allows for fewer tax requirements than elsewhere. It’s the biggest selling point of this jurisdiction. Also, the process of launching a business there is very uncomplicated and only contains a few steps which will be explained in this guide. In short, you just need to submit the required documentation and wait for approval.
What documents are needed for a crypto license in the Cayman Islands?
The basic documents you’ll need to submit are reviewed by the nation’s sole Monetary Authority (CIMA). The list of documents includes:
- IDs of founding members;
- AML-related documents;
- Basic business plan;
- One-page statement of future projections;
- Proof of no criminal record.
The up-to-date list of required documents can be found on the official website of the respective governing body. Once the documents are submitted, CIMA will notify you via email if there are any issues, and you will have to wait for another 24 hours for their response. The entire process can take less than 48 hours and is usually as stress-free as possible. Still, there are possible complications which will trigger a longer process. You might also be required to provide additional documents.
Which companies can help with obtaining a crypto license in the Cayman Islands?
There exist a wide host of consultant companies that will aid with the entire process. You need to look for a well-respected business that helps businesses obtain apt licensees and launch their business. In addition, you will also want to check their track record and reputation, as well as their degree of experience. However, the good news is that a lot of crypto-related companies can help you out. Even if the process of starting a business in this island nation seems like an easy task, it is still advisable to hire an expert with years of experience.
The key thing here is to book a consultation beforehand. The company creation manager assigned to you will re-evaluate your decision to figure out if the Cayman Islands really are the best jurisdiction for your business. The sole aim of the chat will be to evaluate all factors related to your business, such as plans, projections, legal risks, and other things. They will be able to give you advice regarding best-case scenarios, common challenges, or other items that might need further discussion. From here on out, you will be able to finally start the process of receiving a crypto license in the Cayman Islands. With outside help, you’ll be able to speed up the process and submit all the proper paperwork in a timely manner.
Conditions for obtaining a crypto license in the Cayman Islands?
In addition to the documents mentioned above, you will be asked to submit proof of several other things. There are no minimal share capital requirements, which is one more thing that sets this nation apart. The additional requirements include submission of an auditory corporate report from a 3rd-party auditor, yearly report, proof that the personnel in key position possesses apt knowledge, and a proof of a local company address.
Why choose the Cayman Islands to register a crypto company?
Aside from already being a well-known international financial hub, this place has a well-established structure for private organizations, a growing tech community, and an educated business community. All of that pales in comparison with the fact that you don’t have to pay taxes. Additional reasons as to why people love this place include:
- Low operational and maintenance costs. It’s very cost-effective to run a company in the Cayman Islands. This is due to high incomes and low business turnover rates.
- No restrictions are requirements in regards to residency or nationality of the people involved in the business. It is also quite common to register companies where more than one nationality is involved.
- It’s very simple to incorporate remotely. Even if you don’t want to enlist the help of a specialist, it shouldn’t take more than one or two weeks to obtain a company license from the Cayman Islands. The process is very simple and should not cost you more than the market average.
- High levels of secrecy. Due to several reasons, the Cayman Islands provide a high level of privacy. People who choose to keep their business in this place will be able to put all of their assets on the table without the risk of being exposed. It’s illegal to divulge any information concerning the financial situation of the company.
Benefits of the Cayman Islands for obtaining a crypto license?
As already stated above, the Cayman Islands is well-known for offering financial privacy. This makes it an excellent place for businesses or individuals to keep the assets in their jurisdiction. Obtaining a cryptocurrency license in this country is uncomplicated and can be done via any online firm that is providing this service. Additional benefits that can be enjoyed by every aspiring entrepreneur include:
- Stable political and economical situation. The political situation and economy of the Cayman Islands are stable and calm. You can be assured that there won’t be any sudden market fluctuations.
- Great reputation. As far as tax havens go, the Cayman Islands is up there with the best in the business.
- Most businesses are highly diversified. The Cayman Islands provides many lucrative opportunities so the businesses are not afraid to invest in other places as well or branch out.
- Robust legal framework and authority. You can be assured that you are well within your rights in this jurisdiction. The legal framework provides significant protections to everyone.