Cryptocurrency business in Bermuda
Many entrepreneurs are interested in the peculiarities of cryptocurrency regulation in Bermuda in 2020. It is known that the country has adopted laws on assets and ICO. To learn more about the registration of a cryptocurrency company, please contact IT-OFFSHORE specialists.
Cryptocurrency in Bermuda
It is easy enough to open a cryptocurrency firm in Bermuda. The laws on business with digital assets were adopted 2 years ago. There are requirements for a special licence, which can be obtained from BMA.
Registration of a digital licence is mandatory if there are operations related to it:
- Payments with digital assets;
- Exchange of electronic currency;
- Provision of services.
In order to obtain a cryptocurrency licence, it is necessary to submit a business plan that contains a detailed description of the activity, mechanisms of company management, as well as data confirming the legality of the business. It is possible to obtain a permit of F and M classes.
Businesses must meet a number of requirements. There must be proper external control. It is also important to take into account the provisions of existing laws and to conduct business honestly. An enterprise that deals with cryptographic currency and does not have a proper permit can be fined, while the imprisonment of the beneficiaries is possible.
The cryptocurrency business in Bermuda requires an office. Local registration is required as well as regulatory approval. The application for the development of the case is considered by the committee individually. The organizers of the ICO check each buyer. The company needs to assess the risks of AML. It is necessary to appoint a full-time expert who will consider the disclosure of customer data.
The advantages of the cryptocurrency business
One of the advantages of working with cryptocurrencies in Bermuda is that this type of business can remain sustainable even in the event of inflation. There are many investors for this type of business. The currency is liquid, and its exchange rate remains independent from crises in politics or economics.
Blockchain technology ensures that all cryptocurrency transactions remain anonymous. This technology allows the user to avoid mediation, which saves time and money. Manipulations with this type of currency can be performed at any time, and the speed of operations is high.
Opening of a company
The country's company laws define ICO as an offer to set up a company such as LLC. A potential ICO issuer must compile a document that includes data on operators. A project description, information on the distribution of amounts, rights and restrictions on assets, and a risk warning are required. The document should be sent to Bermuda Registrar.
Legal entities working in a country with digital assets are not required to pay fees for capital gains and income. It is necessary to obtain a licence and comply with anti-money laundering requirements. Licencees are required to submit annual reports on transaction volumes and values.