Question LLC or Structure to trade Crypto with KYC/AML

[perforatedbread]

I want to trade crypto freely but i don't want to be exposed with KYC/AML procedures, i am NOT interested in any fiat-banking, just trading crypto with USDT, USDC and altcoins, are there any solutions for it, i know there are DEXes but honestly the liquidity is terrible.

Thanks in advance.

 

[username84447]

Depends on your volume. Plenty of exchanges that you can trade without KYC still, they do have withdrawal limits though, but can be rather high like 2btc per day.

Bybit, phemex, ftx, all CEX with good liquidity and options to trade without KYC. It's starting to get more restricted, but there's always something available.

For the day when it's impossible to trade on a CEX without kyc, then either setup a company in a privacy focused area (if you're resident in a non CFC jurisdiction), or hope that DEX's are good enough for day trading.

 

[perforatedbread]

Seems like Phemex still has a 2 BTC withdrawal limit which is ok FOR NOW, but how would i set up a company in a privacy focused area? I'm a noob at this, so i'm unsure of the process.

 

[username84447]

That's 2 BTC per day. Just trade across multiple accounts if you withdraw more than that on a daily basis. But just one account would allow around $700k a week withdrawals without any KYC. Setup 5 email addresses/accounts and now you can withdraw 3.5 million a week.

As for a company, it really depends on your tax residence. Your tax resident country may claim any foreign company as belonging to them for the purpose of tax.

 

[legrant]

Kraken would probably be one of the best options because it's one of the biggest exchanges, however, non-kyc accounts have a $5k daily limit for withdrawals. To be honest, what you're asking for wont be possible in the near future as most (if not all) exchanges will do KYC, so even though you may be able to find a solution now, it probably won't last for a long time.

 

[perforatedbread]

What about declaring some LLC in a non-CRS jurisdiction, then simply making an account with that LLC, is this a possible thing to do?

 

[startfleetio]

Your LLC has to get a business account before you can trade in your LLC name. US is a non-CRS jurisdiction though

 

[perforatedbread]

@startfleetio is it necessary? As i'm not interested in fiat-banking, simply trading, perhaps using tokenized USDC or USDT.

 

[Dasboot]

FTX seems to be adding KYC rapidly now...

Looking for much the same, but so far for tiny amounts compared to whales, thinking that for a few years any setup in say Belize or the Seychelles will do, then we'll have to see how the Digital Gulag develops!

 

[DrunkFlamingo]

Reviving this as looking for similar solutions.

There are several CEXs still available that don't have KYC, and have decent withdrawl limits. Bybit is an example. FTX is good with just a phone number, no ID, but limited to 2000usd withdrawls. Plenty more examples still exist, at least today anyway. However, I am not sure how long these are going to last.

There are a number of excellent DEX's becoming available with advanced features such as leverage trading, and limit orders. Raydium and Sabre are good, both on Solana. DYDX is another option. These are all anonymous, and have leverage if you that's something you're after.

If you need to use a CEX anonymously that requires KYC then the next best bet seems to be setting up an IBC in a privacy focused jurisdiction, and using nominee directors, and having that company owned by a foundation in Seychelles, of which the foundation is set up using a nominee. Just bear in mind that to open a corporate account for FTX they will want passport copies of all directors and beneficial owners - and they want proof of bank statement to open the account. Binance is similar, but seem to not require the bank statement.

One problem I see here is if you open an exchange account with an offshore company with nominee directors, then the account will be controlled by these nominee directors and they could run away with your funds. Only way to get around this is to add yourself to the account which would require you to KYC yourself, and then bingo you are linked to everything.

Other solutions include moving to Dubai. Or using fake docs.. but that last one seems overly risky