Structuring a crypto / fx business.

[Willblack]

Hello everybody, apologies if this isn't the correct forum since I wasn't really sure where to post this.

I have a couple of questions in regards to structuring a crypto / fx business.
I can't go into too much detail but what needs to happen is the following:

1. I need a (quite) lawsuit-proof jurisdiction (nothing criminal, however, there is the possibility of rubbing a couple of financial regulators the wrong way).
   
   Now.....from past experience with other such businesses, I know that the best way to achieve this in terms of cost / protection ratio would simply be to have a US company, host your stuff outside of US and EU and simply never touch US customers.
   However, the US is a very big market for the services in question and I'm trying to figure out how to get this done properly and if possible, serve US customers as well.
   Licensing the whole operation is out of the question since the entire concept resolves around anonymity and no KYC and this would make compliance extremely expensive and impossible in many jurisdictions.
   
   
2. The jurisdiction that the business gets incorporated in needs to:

• be supported by ADVcash or another EMI which doesn't mind unregulated financial service providers.
• be supported by a reliable FX broker with deep liquidity and an API (since I'd assume that investment banks are out of the question with that business model, correct me if I'm wrong?).
• I'd also love suggestions regarding which FX broker to use.

You can probably guess that funds will be moving between ADVcash and the FX broker mostly, I've figured out how to move funds safely, take client payments, sort out banking, get untouchable hosting etc.
Keep in mind this is all self-funded so I'm (as any business) trying to keep costs to a minimum.
Any help will be greatly appreciated.

Best regards

 

[SaintVince]

very interesting idea, first place that came to mind is Cyprus. Several dodgy fx brokers moved to Cyprus Which makes me think it is also possible in this case.

would be interesting to hear more and the final solution.

 

[GiGoGo]

Trading in Cyprus is regulated and is subject to European ESMA, don't think is a good idea without a license.

I would recommend cash out that Btc in a different way through an structure (and pay some taxes)
The company that does the trading could be a Seychelles one.

 

[Willblack]

Trading in Cyprus is regulated and is subject to European ESMA, don't think is a good idea without a license.

I would recommend cash out that Btc in a different way through an structure (and pay some taxes)
The company that does the trading could be a Seychelles one.

I have that figured out, however do I have a chance of getting a corporate crypto exchange account with a Seychelles company? How about banking?

 

[GiGoGo]

I have that figured out, however do I have a chance of getting a corporate crypto exchange account with a Seychelles company? How about banking?

It's almost impossible to do banking without a brokerage license. Best case is dealing only with cryptoassets like USDT, TUSD, USDC

 

[Jillinger]

Hello everybody, apologies if this isn't the correct forum since I wasn't really sure where to post this.

I have a couple of questions in regards to structuring a crypto / fx business.
I can't go into too much detail but what needs to happen is the following:

1. I need a (quite) lawsuit-proof jurisdiction (nothing criminal, however, there is the possibility of rubbing a couple of financial regulators the wrong way).
   
   Now.....from past experience with other such businesses, I know that the best way to achieve this in terms of cost / protection ratio would simply be to have a US company, host your stuff outside of US and EU and simply never touch US customers.
   However, the US is a very big market for the services in question and I'm trying to figure out how to get this done properly and if possible, serve US customers as well.
   Licensing the whole operation is out of the question since the entire concept resolves around anonymity and no KYC and this would make compliance extremely expensive and impossible in many jurisdictions.
   
   
2. The jurisdiction that the business gets incorporated in needs to:

• be supported by ADVcash or another EMI which doesn't mind unregulated financial service providers.
• be supported by a reliable FX broker with deep liquidity and an API (since I'd assume that investment banks are out of the question with that business model, correct me if I'm wrong?).
• I'd also love suggestions regarding which FX broker to use.

You can probably guess that funds will be moving between ADVcash and the FX broker mostly, I've figured out how to move funds safely, take client payments, sort out banking, get untouchable hosting etc.
Keep in mind this is all self-funded so I'm (as any business) trying to keep costs to a minimum.
Any help will be greatly appreciated.

Best regards

There are few solutions that you may use, but what do you mean when you say supported by advcash?What do you need it for?

 

[Willblack]

There are few solutions that you may use, but what do you mean when you say supported by advcash?What do you need it for?

I'll use it for accepting payments and converting the funds to crypto.

 

[Nichool Carrera]

As I remember ADVCash allows trasfers and exchanges only from accounts under ADVCash account holder name. But still if you have a business account with them, there is the option to work C2B, so you can add ADVCash as a payment option to your website and not to look for supported methods. Correct if I am wrong.

As analog to AdvCash there was great UPayCard Service, but they haverecently changed their name (check if you are interested), they had more reliable EU ibans supported by majority of banks and banking systems. Never had problems transfering money to UPayCard, meanwhile beneficiary german bank of AdvCash was often considered as a more problematic one.

 

[Willblack]

As I remember ADVCash allows trasfers and exchanges only from accounts under ADVCash account holder name. But still if you have a business account with them, there is the option to work C2B, so you can add ADVCash as a payment option to your website and not to look for supported methods. Correct if I am wrong.

As analog to AdvCash there was great UPayCard Service, but they haverecently changed their name (check if you are interested), they had more reliable EU ibans supported by majority of banks and banking systems. Never had problems transfering money to UPayCard, meanwhile beneficiary german bank of AdvCash was often considered as a more problematic one.

Hello and thanks for replying.

I already have an AdvCash business account and I'm using it for accepting payments from other AdvCash users for my other (also crypto-related) business, however for this one It would be quite good if I could also receive payments from customers via bank transfer and/or debit cards.

I just checked out UpayCard and this is basically exactly what I'm looking for so thank you VERY much. Now it's just down to figuring out where to incorporate.