Cryptocurrency license in Portugal: how to get in 3 months

In the summer of 2021, Portugal began issuing cryptocurrency licenses. The goal is to streamline token trading, prevent money laundering, and protect consumers and investors. Cryptocurrency license is issued by the National Bank Banco de Portugal (BdP), which shows its confidence in the exchange, gives users confidence that assets are safely stored in virtual wallets. To find out how to get a cryptocurrency license in Portugal in 3 months, keep reading.

Portugal: what preceded the issuance of a cryptolicense

Cryptocurrency in Portugal is in demand due to these reasons:

• Investors can safely buy, change, store tokens;
• Individuals are exempt from VAT, including capital gains tax, dividends from cryptocurrency. Only transactions derived from professional activities (legal entities) are taxed;
• The state is open to innovation, including in the digital sphere;
• Unregulated circulation of cryptocurrency leads to serious risks because digital currency is not a legal means of payment, absolutely unprotected. Users can lose all their money instantly and there is no mechanism to get it back.

The Central Bank of Portugal decided to regulate this point and also to prevent money laundering through cryptocurrency. In April 2021, it obliged organizations and individuals who are planning or already dealing with crypto-assets to apply for registration with the Banco de Portugal (Notice No. 3/2021).

What rights does the cryptolicense provide

The Banco de Portugal issued its first two licenses in the summer of 2021 to Criptoloja and Mind the Coin, crypto exchanges that have been recognized as "virtual asset providers." The authorization grants such rights:

• exchange tokens for other types of cryptocurrencies and real money, including through ATMs;
• trade tokens;
• transfer cryptocurrency between accounts;
• provide users with the ability to store, transfer virtual assets.

What you need to get a cryptolicense: BdP requirements

In other countries that offer cryptolicenses, it is often possible to buy a ready-made company to speed up the process. So far in Portugal, this cannot be done, as the issuance of licenses has just begun, and only a few have it.

To get a cryptolicense, you need to do the following:

• Register a company in Portugal;
• Rent a physical office with employees;
• Submit an extended business plan to the National Bank;
• Prepare documents describing the internal risk management policy in accordance with local legislation;
• Provide a certificate of criminal record of all shareholders, directors, and beneficiaries (not older than 3 months);
• Provide evidence of reliability and financial solvency;

To get a cryptocurrency license in 3 months, it is desirable that the director is a resident of Portugal. The requirement is optional, but the National Bank expects the company to operate in the country, so there must be an office and employees. Otherwise, there may be a delay in the issuance of the license.

How to get a cryptolicense in Portugal in 3 months

If you want to get a cryptolicense in Portugal quickly in 2022, contact IT OFFSHORE specialists and we will help you.