Advantages of Securing a Cryptocurrency License in Estonia

Estonia is a leading country in the regulation of licenses for cryptocurrency activities. In this way, it strengthens its status as one of the technological leaders in Europe. The country has a tax policy that exempts cryptocurrencies from VAT and income tax. This makes it an attractive place for businessmen in this niche, so obtaining an Estonia crypto license is becoming a goal for many.

In addition, Estonian licenses provide holders with the opportunity to manage hosting wallets and operate cryptocurrency exchanges.

A Favorable Legal Framework

Cryptocurrency businesses that have been established in the Estonian legal framework receive effective and fair regulation.

1. The Money Laundering and Terrorist Financing Prevention Act, together with the National Financial Intelligence Unit, set clear rules and standards.
2. The regulations provide licensed companies with knowledge of what is and is not allowed, ensuring compliance with the law.
3. The Money Laundering and Terrorist Financing Prevention Act requires government approval of custodial wallet services and virtual currency exchange providers.
4. Financial licensing is a mandatory procedure for the provision of services. This promotes transparency in the industry and compliance with legal obligations.
5. It is important that Estonia recognizes virtual currencies as assets, which allows for many innovative practices. It is now possible to use cryptocurrencies for non-financial contributions to share capital during the establishment of a company, which increases the flexibility of assets.

E-Residency

Estonia is one of the few countries in the world that allows foreign businessmen to do business from a distance. Thanks to its advanced digital infrastructure, anyone can start a business in the country.

• Foreigners can easily access Estonian government electronic services by purchasing an e-resident card. This way, you can save time and money that could be spent on bureaucratic processes when setting up a business.
• The country maintains a favorable tax climate, topping the ranking of OECD countries in 2021.
• Taxes apply only to income from the sale of virtual assets, exchange, mining, or compensation for services.

Estonian Single Crypto License

A single cryptocurrency license in Estonia simplifies regulation and allows for a wide range of cryptocurrency services.

• Estonia’s National Financial Intelligence Unit (FIU) issues a single cryptocurrency license.
• Businesses that provide cryptocurrency services, including wallets and virtual currency exchanges, must have a single license in accordance with anti-money laundering laws.
• Wallet services: Covers cold (offline) and garage (online) wallets, ensuring secure key generation and storage.
• The license allows exchanging cryptocurrency for fiat, fiat for cryptocurrency, and cryptocurrency for cryptocurrency.

Efficient Licensing in Estonia

The process of obtaining a crypto license in Estonia is quite fast and usually does not exceed 60 days, which is a big advantage among competitors. A single license for the provision of virtual currency services for both wallets and cryptocurrency trading greatly simplifies procedures. This reduces costs and increases transparency.

Choose a Reliable Partner in Crypto Consulting

Prifinance will help you obtain a crypto license in Estonia. This niche has a number of legislative norms and requirements that must be followed to ensure safe and legal activities. Professionals will develop the best solution for obtaining a license and take into account the specifics of a particular case.

Estonia is commonly seen as the top choice for cryptocurrency licensing The team’s goal is to help you invest and work without restrictions.