UNITED KINGDOM

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A firm may provide cryptocurrency  and digital assets'  services as long as it is registered with the Financial Conduct Authority (FCA).  The FCA regulates any person or legal entity who carries out regulated activity in the UK.  The Financial Services and Markets Act 2000 (FSMA) provides the legal framework used to established rules and regulations for financial services firm's licensing in the United Kingdom.  Before registering a crypto-currency service it is necessary to apply for and obtain an Electronic Money Institution license (EMI), also via the FCA. 

There are two categories relevant to Electronic Money Institutions in the UK:

1. Small E-Money Institution – A license where total liabilities with respect to issuing e-money do not usually exceed 5 million EUR and, unrelated payment service transactions do not exceed a monthly average of 3 million EUR in the preceding 12 months. 
2. E-Money Institution – a license where there are no limitations such as those mentioned in the Small E-Money Institution mentioned above in point 1). 

It should be noted that an E-Money Institution is classified as a “Moderately Complex” authorisation with the FCA and as such ongoing compliance regulations are “stringent”. 

The minimum capital requirements for Electronic Money Institutions are:

1. Small E-Money Institution: Zero (up to an average daily purse od EUR 500,000 then 2% of total outstanding e-money)
2. E-Money Institution: Minimum EUR 350,000. 

It is essential to demonstrate "mind and control" from within the UK; and, therefore, a physical presence and people are required.  You must also designate a Compliance Officer and a Chief Executive Officer who must be located in the UK, and each must pass fit and proper tests and be approved persons by the regulator.

Depending on the size of the firm, sales, technical, compliance and accounting staff may also be required.

The experience and qualifications of personnel constitute one of the most important elements of a successful application.  It is very important to be able to locate and select qualified individuals, who would constitute the minimum required key personnel of your firm.  These individuals must be approved by the regulator.

We can handle all relevant subjects which include selection of the personnel, immigration and work permits, drafting employment contracts and, most importantly, check adequacy of the candidates against the key position in your firm.   

The regulator requires you to disclose most all aspects and details of your business. Our business is to ensure you meet the regulator's requirements, and we will review what you currently have or complete what is needed for you.

• Business and Financial Plan
• Supervisory and AML/CTF Manuals
• KYC of beneficial owners, directors, controllers and affiliates
• Proof of Professional Indemnity Insurance

• Capital adequacy requirements must be calculated regularly
• Annually, an audited financial statement
• Quarterly, interim financial statements prepared in accordance with generally accepted accounting principles
• As needed, any material changes to the firm, its operations or people

London is home to some of the world's largest financial institutions and there are a number of banks serving the financial services sector.  We will facilitate bank introductions and account openings.

The UK is the center of the financial world and hosts many of the participants in the financial service industry.  We will facilitate and establish the institutional relationships you need to build a successful business.

When you engage with us, our scope of service covers all of the aspects you need in order to get your crypto licence:

• Provision of regulatory guidance
• Company incorporation
• Approved Person’s fit and proper tests - Employing local directors, officers and staff
• Establishing an office
• Facilitating bank accounts
• Introduction to accountant and auditor relationships
• Management and supervision of the application
• Preparation of all client-facing legal documents including client business terms and disclosures
• Completing the business plan, compliance manuals, employment and outsourcing agreements  

6 to 8 months.