Bitlicenses (named after the State of New York’s money transfer license for crypto currencies) are an emerging area. In most countries they are classified as either assets or monetary instruments, In some countries they are legal but not licensed in others they are illegal but the laws are not actively enforced. In the US, they are legal, but there are massive efforts by the F.B.I. to root our criminal influence using Bitcoin (such that they have hired people to analyze the blockchain.
In most countries the process of obtaining a Bitlicense is very similar to obtaining a gambling license. Ironically there is less initial probity starting up a Broker-Dealer (investment bank), then there is in both Bitlicenses and Gambling, but both of these industries are focused on removing criminal influence.
As a result we offer full consulting on those seeking a Bitlicense. We can help with selecting a jurisdiction and getting the license. We also can provide the necessary KYC/AML (and other, such and privacy and bank secrecy) polices and help with required probity checks.
Contact us with your needs and we will quote you an appropriate pricing package.
In addition to all the policy documents you need, in some jurisdictions. For example, virtual currencies are not themselves regulated in Singapore. But the Monetary Authority of Singapore (MAS) considers digital tokens/coins being beyond a virtual currency mainly due to high money laundering/terrorist financing risks. Consequently, the legal status of tokens/coins will depend on whether these are considered “securities” under the Securities and Futures Act (SFA). Major coins like Bitcoin already fall under this umbrella.
For particular digital tokens that do within the scope of “securities” as defined in SFA, intermediaries (exchanges) of such tokens/coins will b subjected to licensing under the SFA and the Financial Advisers Act.
Licensing applicants must then submit detailed prospectus/business plan/description (with ICS and AML/KYC polices) of a specific business model for an ICO set-up and tokens to be offered.
The same sort of requirements exist in other jurisdictions .
We offer all these addition regulatory consulting services.
There continue to be opportunities to set up regional and peer-to-peer bitcoin or other coin exchanges. We offer a B2B turnkey solution to anyone seeking to set up an exchange. We can also advise on other types of crypto businesses.
Please contact us for additional information.