Countries around the world are still trying to wrap their heads around this phenomenon called crypto. At the forefront, believe it or not is a small European nation called Estonia. Estonia was one of the world’s first countries to issue a cryptocurrency license.
Today, if you want to deal in cryptocurrency, rather than taking advantage of an exemption (i.e. absence of a license), you would be better off getting a cryptocurrency exchange and wallet license in Estonia.
What Does The Estonian Cryptocurrency License Offer?
The Estonia cryptocurrency license, which is better known by its formal name of Virtual Currency Provider License consists of a three possible activities, i.e. lines of business, namely:
- Cryptocurrency Exchange (fiat-to-crypto and crypto-to-fiat transactions)
- Cryptocurrency Exchange (crypto-to-crypto based transactions only)
- Wallet (cryptocurrency)
Depending on your company, you may opt for either the wallet license or one (or both) of the exchange license. The license is issued by the Financial Intelligence Unit (FIU) of Estonia.
How Much Does It Cost And What Are The Prerequisites?
|State Fees||€3,300||This is the fees as levied by the State of Estonia for the transfer of the license.|
|Buy New (Unused) Crypto Company License||€30,000||This is the fees charged by the current license owner for selling their brand new, unused license.|
|Broker Charge||€5,000||All the local work, runaround, etc. is done by the broker. The broker also escrows for the seller. Almost all companies that possess a license in Estonia, go through a broker, unless you happen to know the owner of the license directly. The broker is responsible for the smooth transition of the license and change of ownership of the company.|
|1-Year Operational Charge||€30,000||You are required to maintain a minimum presence in Estonia, a nominee employee/representative. this is the estimated cost of maintaining that presence in Estonia for one year.|
|Faisal Khan & Co Referral Fees||€7,500||This is our fees for arranging the deal for the Estonian license.|
The short video below helps you understand about the licensing regime in Estonia.
At present, the Estonian cryptocurrency / blockchain license is one of the most requested license there is, and one that will gain more prominence and importance as time passes by.
This page was last updated on November 12, 2020.