To arrange your crypto business from the Czech Republic, you need a license issued by the regulator – the National Bank. We should especially pay your attention to the point that it is not safe to operate without such a license for ICO. In this case, there is a risk of being treated by the regulator as a fraudulent scheme. Still, the process of getting licenses for dealing with cryptos is very straightforward without any excessive bureaucratic formalities.
The permission opens up the way to the virtual currencies issue, to the client wallets opening and settlements with non-fiat money. The Czech license for cryptocurrency is “respectable”, it confirms the issuer’s reliability and transparency. However, the scope of the services provision is strictly controlled and delimited.
Issuers have the right to issue electronic funds if the average monthly issue does not exceed 5,000,000 euros (in monetary terms). The company falls under the PSP restrictions and the average monthly “barrier” shall be reduced to 3,000,000 euros when providing financial payment services. Exchangers are distinguished from payment service providers by issuers’ accounts, which are used for EMI-money acceptance in payment for products/services, funds storage, their inter-currency conversion, sale, etc.
SPI (Small Payment Institution) licenses are issued for a cryptocurrency business or ICO. They allow you to exchange non-fiat and fiat funds, create merchant solutions and processing centers, open and maintain client accounts. This option is suitable for entrepreneurs who wish to proceed fast with launching and growing their crypto business.
SEMI (Small E-money Institution) or EMI (Electronic Money Institution) permissions (small or full, respectively) will be required for the electronic money issue.
The Czech license for cryptocurrency allows you to work in all EU countries, to open offices there. It is enough to notify the local regulator, without additional permits and bureaucracy.
Licensing Terms
According to the current Czech regulatory framework, cryptocurrency exchange operations may be conducted with an ordinary trading license. There are no separate legal regulations for crypto exchanges unless any payment services are provided or it trades derivatives of crypto assets. Such trading license is issued to all organizations that comply with the following requirements:
- registered as a legal entity – with a “physical” office, share capital; it is also necessary to pay special attention to choosing the business name for a future company;
- collect information about the future owner, including the absence of any criminal records;
- prepared the constituent documentation under the requirements of the regulator and the acquiring bank where the account is opened;
- hired official full-time employees, directors with education and experience in the financial field;
- developed a business plan, a public offer, descriptions of hardware and software for the project (in Czech language or with a translation);
- provided evidence of compliance with AML legislation — policies for personal customer data protection, anti-money laundering, etc.;
- submitted a package of documents for licensing to the regulator and paid a fee.
With Aotopay specialists, you can register a company and get a license for a cryptocurrency exchange without a loss of time and effort. Our consulting company provides legal, advisory services, organizational support, and banking-related services. Our specialists assist with business registration, opening bank accounts, and execution of documentation. Aotopay is a simple, legal, and low-cost deployment of crypto activities in the Czech Republic and other countries. Reach us shortly for more precise advice and suggestions.
