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How to get cryptocurrency license in United Kingdom?

How to get cryptocurrency license in United Kingdom?.

These days, the United Kingdom of Great Britain and Northern Ireland is considered one of the most potent jurisdictions to start your cryptocurrency company, despite the fact that the cryptocurrency business there is currently not subject to fully-fledged state licensing. 

To legalize a cryptocurrency company in Great Britain (England, Scotland, Wales, and Northern Ireland) you need to register (get authorization) in a special state register. Further in the article, the registration will be referred to as the Great Britain crypto license. This registration is essentially a permit to operate in the crypto industry. At that, the British requirements are not very different from the ones set forth by other jurisdictions and are necessary to obtain a comprehensive crypto license. 

The concept of cryptocurrency in Great Britain

The term “cryptocurrency” in British legislation means not virtual currency but crypto assets. These include:

  • Utility tokens that are used as an exchange or investment means;
  • Security tokens that grant the property title to the company’s assets in Great Britain, the right to redeem amounts of money, or obtain a share of the future revenues;
  • Payment tokens, used to get access to certain products or services that are usually provided via platforms operating with the help of blockchain technology.

What you need to get a cryptocurrency license in Great Britain

The cryptocurrency sphere in Great Britain is regulated by the Financial Conduct Authority (FCA). This is the authority where you need to submit your applications for a cryptocurrency exchange platform or another crypto company. This is a compulsory step if the company is planning to work with in least one of the following areas:

  • Crypto trading platform – cryptocurrency exchange;
  • Management of automated cryptocurrency exchange processes;
  • Initial coin offer;
  • Crypto wallets – cryptocurrency storage;
  • Crypto banks and terminals.

Here is what you need to get a British crypto license:

  • Company registration in Great Britain;
  • A bank account in one of the British banks;
  • A local office;
  • Drafted AML/CTF policies;
  • Adoption of the KYC procedure;
  • Appointment of a person responsible for AML/CTF compliance;
  • Internal audit department.

The FCA also requires you to submit the following documents:

  • CVs for the directors and shareholders with proof of their experience, qualification, and solid reputation;
  • A business plan elaborating on the two points the regulator is highly interested in – consumer rights protection along with the prevention of money laundering and terrorism financing;
  • Risk management policy describing the ways the company is planning to sustain the security of their clients’ funds;
  • A marketing plan;
  • Description of the company’s structure;
  • Description of internal control implementation.

Cost of a crypto license in Great Britain

To find out the cost of the application for a British crypto license, you need to contact out lawyers. They will carry out a detailed analysis of your project and calculate the price of the cryptocurrency license in your particular case. The final amount depends on many factors, such as the number of services you need, etc. For example, if you need your policies drafted, it will be counted as an additional service. 

How to obtain a crypto license in Great Britain

The SBSB company offers you its assistance in applying for and obtaining crypto licenses in Great Britain and other jurisdictions. We operate on a turn-key basis which means that you get a wide range of services covered – company registration, opening bank accounts, local office set up, etc. We take care of all the bureaucratic and legal issues that may occur in the process of a crypto company authorization in Great Britain. To get a consultation on the licensing issues, please, text us on our online messenger or call the numbers quoted on the website. We can also help you get a crypto permit in Poland, Luxembourg, the UAE, Portugal, Hing Kong, Singapore, and other jurisdictions.