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??How much money do you really need to start a Crypto company in the US? Thinking about launching a crypto company in the US? It sounds exciting, but the regulatory maze can be a real headache. If you want to offer financial services to US citizens or operate here, you’ll need to get the right licenses. Even the big guns like Binance, Kraken, and Coinbase have faced serious challenges. Just look at Binance; they recently admitted to breaking registration rules and ended up paying a jaw-dropping $4.3 billion in penalties. That’s a tough lesson in regulatory risks! ?What you need to know about the rules Crypto companies in the US have to follow rules at both the federal and state levels: ?Federal level: To keep things above board with anti-money laundering (AML) and counter financing of terrorism (CFT) laws, you need to register as a Money Services Business (MSB). ??How to Register as an MSB: ??Get access to the BSA E-Filing System. ??Create an account. ??Fill out FinCEN Form 107, giving all the details about your business. ??Wait for the thumbs-up from FinCEN. ?State level: After you’re registered federally, you’ll need a Money Transmitter License (MTL) in every state where you plan to operate. Each state has its own rules, which can make this step pretty complicated. ??Let’s talk costs Now, let’s get to the money side of things. The costs for these licenses can add up quickly: ??Application fees: Texas: $10,000 California: $5,000 Delaware: $403 ??License renewal fees: California: $2,500 Delaware: $230 ??Surety bonds: You’ll need to secure a surety bond to cover your financial obligations. This usually means paying 1% to 3% of the total bond amount. For example, Colorado requires a $1,000,000 bond. If you’re looking to get licensed in all states, you could be looking at around $112,000 in application fees and a surety bond of over $10,000,000. Ouch! Starting a crypto company in the US can be lucrative, but the regulatory landscape requires serious prep and investment. If you’re ready to dive in, understanding the licensing process and costs is key. Got questions? Let’s chat about how to navigate these challenges together! #StalirovCoBlog #itlawyer #stalirovco #CryptoBusiness #US #BlockchainRegulation #Startups #FinTech #MSB

?? Thinking about launching a Crypto Business in Singapore? Beware of these stringent regulations! Just like in the UAE, Singapore has strict regulations for crypto companies. To succeed, you’ll need to meet high standards and prepare for substantial investments. ?? Company structure matters. Your executive director must be a Singaporean citizen, or you can have a non-executive Singaporean director paired with an executive director holding a work permit. Additionally, hiring an AML officer who is a Singapore resident is mandatory. ?? Physical presence is required. This means hiring a local team, appointing a local director, and renting a physical office in Singapore. Plus, you’ll need a capital reserve of SGD 250,000 and must prove the origin of the funds. The steps to establish a crypto company in Singapore include: ??Register your company ??Write a business plan ??Appoint a director and AML officer ??Lodge an application with Monetary Authority of Singapore (MAS) ??Assign a Case Officer ??Verify shareholders ??Complete a regulator interview and get pre-approval ??Set up a bank account and fund it with the necessary capital ??Obtain the final license ?? The opportunities are enormous—but only with thorough planning and preparation. #StalirovCoBlog #itlawyer #stalirovco #CryptoBusiness #Singapore #BlockchainRegulation #MAS

?? UAE Crypto Business: Are you ready for the toughest regulatory challenges? The UAE's regulatory body VARA has stringent requirements that can make or break your plans. ?? Capital demands are high—ranging from $25,000 to $400,000 per service. If you offer multiple services, expect that figure to rise sharply. On top of that, you’ll need liquid assets 1.2x your monthly operating expenses and enough reserves to cover your full liabilities to clients. ?? Management and compliance are no small matter. Every crypto company must have at least one board member and an AML officer who is a UAE resident. VARA could even ask you to hire a CFO and other management staff before you're allowed to operate. Even the licensing process is multi-layered and thorough, with interviews, inspections, and document reviews. Companies like Bybit, OKX, and Binance have navigated these challenges, starting with a preliminary MVP license before moving to a full license. ?? We’re not here to discourage you from starting a crypto company in the UAE—the opportunities are immense! But you need to prepare thoroughly to meet the financial, legal, and operational demands. With careful planning, success is within reach. Are you ready to meet these tough requirements? #StalirovCoBlog #itlawyer #stalirovco #CryptoBusiness #UAE #VARA #BlockchainRegulation #RiskAndReward

We are excited to announce that Stalirov&Co will be attending #itarena2024 in Lviv from September 27th to 29th. This event offers an excellent opportunity to connect with tech industry leaders and explore the latest innovations shaping the IT world. In addition, we are pleased to inform you that our representatives will be available throughout the event. We would love to meet with you to discuss potential collaborations and how we can support your business with our specialized legal solutions for IT companies. Please let us know if you’d be available for a chat, and we’ll be happy to arrange a time that works best for you. Looking forward to hearing from you!

?Don’t start a crypto business in Asia or Oceania unless you’re 100% ready for it. Asia has so much going for it when it comes to crypto: ? High growth potential ? Well-developed financial infrastructure ? Strong support for innovation ? Tons of skilled blockchain and crypto pros But... there’s a catch. ?? Regulations in many Asian and Oceania countries are still uncertain and often changing, which makes it tough to stay compliant. Plus, some countries have strict regulatory practices and big financial requirements for licenses, making it harder to break into the market. Based on all this, we’ve broken down the countries in the region into different categories based on their startup conditions: favorable, moderate, and adverse.?? #StalirovCoBlog #itlawyer #stalirovco #Crypto #Blockchain #Asia #Innovation #Startups #FinTech #Regulations

You’d never guess this country is a great spot for a crypto startup?? This is the Czech Republic? Here’s why it might just be the perfect spot for you! ??Easy setup: You’ll need at least one board member and an AML officer, and you can start with a minimum capital of just 10,000 CZK. Just be aware that Czech banks can be cautious about large capital deposits from crypto companies, so plan accordingly. ??Virtual address OK: Like Poland, you don’t need a physical office. A virtual address works perfectly for your crypto business. ??Simplified compliance: Set up your KYC procedures, but unlike Poland, you won’t need to deal with mandatory quarterly AML reports. ??SPI license: To operate across the EU, you’ll need an SPI (Small Payment Institution) license. This covers everything from crypto exchanges and wallet management to ICOs (Initial Coin Offerings). ??More time for MiCA: The deadline for meeting MiCA (Markets in Crypto Assets) requirements has been extended to 2026, giving you extra time to adapt to the new rules. Getting Started: ??Draft the power of attorney and get your corporate documents ready. ??Complete the registration process and enter your info into the registry. ??Submit your application to the regulator and provide contact details to the Financial Analytical Office. Ready to launch your crypto business in a country with flexible regulations and plenty of opportunities? The Czech Republic is waiting! ?? #StalirovCoBlog #itlawyer #stalirovco #Crypto #Blockchain #CzechRepublic #Startups #DigitalAssets #FinTech #BusinessSetup

??Why is Poland the top choice for a crypto startup? Poland is quickly becoming a hotspot for digital asset companies in the EU. With nearly half of the 2,000 crypto companies in Europe calling Poland home, it’s clear why this country is a top choice! Here’s why Poland stands out: ??No license needed: Crypto activities in Poland don’t require a license. That means no inspections, no regulator hassles, and no need to explain your business plans. Just pick the right business codes and register them. You’ll get a certificate confirming your business’s registration—easy peasy! ??Flexible setup: You don’t need a physical office. A virtual address will do just fine, which is a big plus compared to places like Estonia where physical audits are a thing. ??Affordable initial capital: Unlike many other countries, Poland doesn’t have steep initial capital requirements. Just 5,000 PLN, which you can defer for up to a year and use in your operations. ??Simple founding requirements: You need at least one founder, who can also be the director and AML officer. Having two founders can help you avoid extra ZUS payments (1,450 PLN/month). ??Easy AML compliance: Develop KYC procedures, report suspicious transactions, and make sure your AML officer has the right qualifications. Quarterly AML reports are required, but it’s manageable. Steps to Get Started: ??Obtain electronic signatures and prep your registration docs. ??Complete the registration process. ??Apply to be added to the crypto registry. ??Prepare AML policies, file with the beneficial owners’ registry, and handle tax office documents. ??Issue, notarize, and translate corporate documents. Ready to dive into Poland’s crypto scene? Let’s chat! #StalirovCoBlog #itlawyer #stalirovco #Crypto #Blockchain #Poland #Startups #DigitalAssets #BusinessSetup #EU #FinTech

?? Crypto Startups: Where to Launch in Europe? ??Why Europe? ??Unified Regulation: The EU’s single regulatory framework makes it easier to operate across member states. ??High Standards: Sure, the EU’s stringent AML, KYC, and GDPR requirements can drive up compliance costs, but they ensure high levels of security and protection. ??Tax Policy: Tax regimes vary, so it’s worth looking into specifics for each country. ??Banking Access: Most EU countries offer relatively smooth access to banking services for crypto companies. Big News! ?? On April 20, 2023, the EU approved the MiCA (Markets in Crypto Assets) regulation, set to roll out in December 2024. All crypto companies in the EU will need a CASP (Crypto-Asset Service Provider) license. If you’re holding or administering crypto assets, running a trading platform, exchanging crypto for fiat, or any of the other listed activities, this affects you! Quick Tip: For those already holding a CASP license, transitioning to the MiCA rules will be simpler. If you’re thinking of starting a crypto company, now might be the best time to register and benefit from a smoother authorization process. So, where should you register? We’ve got a breakdown of European countries based on their startup conditions: favorable, moderate, and unfavorable. #StalirovCoBlog #itlawyer #stalirovco #Crypto #Blockchain #EURegulations #Startups #MiCA #CASP #CryptoBusiness #FinTech

How to choose the right country to receive a crypto license for your startup? Regulatory pressure on crypto service providers is on the rise, and hefty fines are becoming all too common for those not staying on top of their game. In 2022, BlockFi faced a massive $100 million fine from the SEC for not registering its crypto lending product. The SEC said it was basically a security under US law. BlockFi took the hit and agreed to get that product registered. Fast forward to 2023, and Kraken found itself in hot water with the SEC for failing to register its staking-as-a-service program. The result? A $30 million fine and the end of staking services for US customers. Europe isn’t sitting idle either. In October 2023, Crypto.com got slapped with a €2.85 million fine by the Central Bank of the Netherlands for operating without the necessary registration for over two years. ???? And let’s not forget AML breaches. Lithuania hit Payeer with a €9.3 million fine for transactions with sanctioned Russian banks. ?So, how can crypto companies avoid these costly mistakes? By choosing the right country to operate in and complying with all regulatory requirements from the get-go. When our lawyers advise crypto startups, they consider nine key criteria that can significantly impact a business: ?? Capital Requirements: They vary widely – €1,000 in Poland vs. €50,000 in Malta. ?? Regulatory Needs: Think local offices, director citizenship, and audits. ?? AML & KYC: Detailed obligations, like Poland’s quarterly AML reports. ?? Taxes: Check general rates and special regimes for crypto. ?? Country Reputation: Key for attracting investors and partners. ?? Licensing: Czech Republic is easier, Germany is stricter. ?? Registration Speed: Poland’s process is quicker and less bureaucratic. ?? Banking Access: Essential, as many banks are still wary of crypto companies. ?? Future Trends: Prepare for upcoming changes like the MiCA rules in Europe. ??We'll share our experiences of launching crypto startups across Europe, the USA, and Asia. Stay tuned! #StalirovCoBlog #itlawyer #stalirovco #Crypto #Blockchain #Regulations #CryptoCompliance #FinancialServices

??Publishers must know about it Creating a comprehensive "Tracking and Payment" clause in affiliate marketing agreement is essential for publishers to ensure fair and timely compensation. Here are some key pieces of advice: ??Define Payment Basis: Payments should be based on the number of successful leads or actions generated by the campaign. Establish how often reports will be provided, such as monthly. ??Tracking Systems: Both the advertiser and publisher should have the ability to track data. Ensure that the publisher's reports are the only proof of what’s owed and will be final and binding for the advertiser. ??Invoicing Rules: Clearly outline the invoicing process, including confirmation terms, sending of invoices, and payment deadlines. For example: “Based on the data from the publisher's tracking system, the report must be sent within five calendar days from the publisher to the advertiser, who then must confirm the number of successful leads or actions within three days. The publisher will send an invoice within five calendar days after such confirmation is received. Payments must be made by the advertiser within 10 calendar days.” ??Post-Payment Arrangement: In a post-payment arrangement, where the publisher is more vulnerable, include the advertiser's liability for delayed payment with a penalty for each day of delay, such as one percent of the overdue amount per day. ??Suspension of Services: Include the publisher's right to suspend services until full payment is received. If payments continue to be delayed, allow for the change of the payment arrangement from post-payment to full prepayment to guarantee payment. By incorporating these points, publishers can create robust agreements that protect their interests and ensure timely and fair compensation for their work. Are these clauses included in all our contracts? #StalirovCoBlog #itlawyer #stalirovco #affiliatemarketing #affiliatemarketingagreements