Company registration in Canada with cryptocurrency 2021
Registering a company in Canada with a cryptocurrency license in 2021 is relevant, because there is an opportunity to legally conduct business and work with this type of currencies. To learn more about the nuances of business registration, contact our experts at IT-OFFSHORE.
Cryptocurrency license in Canada in 2021 can be obtained by MSB or FMSB. In 2019, state authorities approved adjustments to money laundering laws. Lately, the requirements for platforms that work with crypto-assets are increasing.
We can identify entities that cannot register as money services companies (MSBs) and are not allowed to own or operate an MSB or FMSB.
This includes individuals who have been convicted of certain crimes, including fraudulent transactions, money laundering, possession of assets obtained by illegal means, etc. They also include legal entities whose directors have broken the law.
A limited partnership requires a general partner and a limited partner. Contributions can be in the form of funds or property, there are no specific requirements. The EPC form is used to expand companies, obtaining a license allows you to work with overseas and local clients.
Pros of a company
There are several advantages to registering a company in Canada with a cryptocurrency license in 2021. This state is on the list of countries that have the most favorable business climate. The country is interested in attracting business people from other countries.
The main advantages:
- A large set of state programs to attract investors from other countries;
- Well-established infrastructure;
- High quality legal system;
- High level of education and qualification of labor force.
It is possible to register various legal forms, the most popular being those that operate outside the jurisdiction. For example, registration of an offshore gives the opportunity to get an exemption from paying taxes.
When a license is required
When registering a business in Canada, it is required to register with FINTRAC in order to conduct cryptocurrency transactions. Permits are required for mining, trading activities, payment services, and exchange platforms.
In order to obtain a license, information about the financial institution's account, compliance, employees, owners must be collected. Details on branches, agencies, registration agents are provided. The term of the license is 2 years. Before the expiration date, the registration is renewed.