Prifinance Experts to Explain Virtual Service Provider Requirements in EU

The European Union traditionally remains on the TOP list of destinations for crypto currency investments. Still, the huge market is a bit overregulated. The registration and licensing requirements vary from state to state. That may create extra obstacles for running a crypto business between different EU states.

Even if this is the case, addressing such requirements for cryptocurrencies is possible. Moreover, they are aiming at making the market transparent and suitable for crypto investments. This is especially important for any virtual service provider, including a crypto exchange. It has to obtain a cryptocurrency license to act in the market – that is the TOP important issue that Prifinance company would like to draw the reader’s attention to. This authorization opens the door to the European market and requires, among others, these actions.

Basic Highlights about Becoming the EU Virtual Service Provider

The legal environment for acting as a crypto service provider in the EU is governed by the recently-adopted European Commission’s Regulation of Markets in Crypto-assets with the main aim of preventing the circulation of illegal proceeds in the crypto industry. 

The principal approach of the new regulation is that a virtual service provider has to obtain a single authorization that will be effective across the territory of the EU. This cryptolicensing novation simplifies the operation of crypto providers dramatically. At the same time, all of the virtual service providers have to comply with the AML rules and arrange effective cooperation with the banking institutions if fiat currencies are involved in the process (and they are in place in nearly all cases).

To get and keep a license active, it is expected to have clear internal policies, staff who meet the qualification requirements established by the law and ensure permanent monitoring of all the transactions carried out through the crypto business. Record-keeping and reporting standards should be also addressed appropriately. Apart from the cryptolicense itself, the project needs to have enough capital and IT resources to ensure steady operation.

How Prifinance Experts May Assist You

If you are aiming at starting your cryptobusiness in the European Union, Prifinance experts are ready to facilitate this business decision, including through these legal actions:

• assessing your business case from the point of its background and commercial activities with virtual assets you wish to carry out in the EU;
• preselecting the most suitable legal and organizational form for your future legal entity that will act as a virtual service provider;
• collecting and arranging all necessary personal and commercial details that are expected for lodgement by the local regulators;
• drafting and formalizing all the required application forms and supplementary documents to get a license of a virtual service provider;
• supporting all negotiations with the officials of the state regulators and all other authorized bodies in the EU territory;
• opening bank and/or EMI accounts;
• facilitating the resolution of all the issues that are possible to emerge during the ordinary functioning of the virtual service provider registered in the EU.

Describe the nuances of your business situation and future objectives to obtain personalized consultations on the matter shortly. Prifinance experts operate to help you with the realization of your most ambitious business goals. We have successfully registered 200+ crypto projects. We are prepared and ready to do the same registration in your case.