A crypto license in the USA is necessary when you establish a cryptocurrency company in this country. There are a series of formalities to follow and one of our company formation agents in the USA can explain in detail what the whole process entails. In the following lines, you can read about the process of obtaining the crypto license in the USA, as well as about the Delaware blockchain. This license guarantees adherence to anti-money laundering (AML) and counter-terrorism financing (CFT) rules. The VASP (crypto) license stands as a mandate for any business providing services linked to virtual asset exchange.
| Quick Facts | |
|---|---|
| Who issues crypto licenses in the USA? | Primarily the Financial Crimes Enforcement Network (FinCEN) |
|
Legislation governing crypto licenses in the USA |
The Bank Secrecy Act (BSA) |
|
State with most favorable crypto regulations |
Wyoming, known for its crypto-friendly regulations, including legal recognition of decentralized autonomous organizations (DAOs). |
| Requirements to obtain a crypto license |
– business plan, – proof of financial stability, – respecting KYC/AML policies |
| Federal authority overseeing crypto businesses |
Financial Crimes Enforcement Network (FinCEN) |
| Licenses for crypto exchanges |
Money Transmitter License (MTL), and specific state licenses, like the BitLicense |
| License for crypto wallets |
Money Transmitter License or specific state licenses, depending on services provided |
| Timeframe for obtaining a crypto license |
Varies by state – typically 6 months to 1 year |
| Crypto license renewal period |
Typically annual or bi-annual, depending on state regulations |
| State with most stringent crypto regulations | New York (the BitLicense) |
| Is a crypto license required for ICOs? (Yes/No) |
Yes, depending on the offering and jurisdiction. |
| Penalties for operating without a license |
– fines, – suspension of operations, – possible criminal charges |
| Is there a federal crypto license? (Yes/No) |
No, but federal regulations apply through FinCEN. |
| Crypto license cost |
Ranging from a few thousand dollars to several hundred thousand dollars, depending on the state. |
| Is dual licensing possible? (Yes/No) | Yes, businesses may need licenses from multiple states to operate nationwide. |
Table of Contents
When do you need a crypto license in the USA?
A crypto license in the USA must be obtained when you decide to set up a cryptocurrency business in one of the American states. In this sense you need:
- Acceptance to operate as a Money Services Business, from the Financial Crimes Enforcement Network (FinCEN);
- Money Transmitter License issued by the state agencies where the respective company will be registered.
It is important to state that ICOs (Initial Coin Offerings) are regulated by the Security and Exchange Commission (SEC). Also, the crypto license in the USA is granted by the state and federal governments. We recommend that those interested in starting a crypto business talk to one of our local agents in order to obtain a crypto license in the USA.
Types of crypto licenses in the USA
In the USA, cryptocurrency businesses may obtain various licenses, depending on their activities:
- Money Services Business (MSB) needs registration with FinCEN: required for businesses involved in crypto exchanges or transfers to comply with federal AML laws;
- Money Transmitter License (MTL): issued by states for businesses transmitting cryptocurrency, with requirements varying by state;
- BitLicense (New York): a state-specific license in New York, imposing strict AML, consumer protection, and capital requirements on crypto businesses;
- Virtual Asset Service Provider (VASP) License: needed for companies offering crypto-related services, like exchanges or storage, ensuring compliance with AML and CFT laws;
- Securities and Exchange Commission (SEC) Registration for ICOs: required for businesses conducting ICOs or issuing tokens that are classified as securities under U.S. law;
- Commodity Futures Trading Commission (CFTC) Registration: necessary for businesses involved in trading cryptocurrency derivatives, such as futures contracts.
These crypto licenses in the USA help businesses stay compliant with both state and federal regulations in the ever-evolving crypto industry. To have a better understanding of these licenses and how to open a company in the USA, do not hesitate to contact our agents specialized in the USA company formation. You may also explore this infographic:
Requirements to obtain a crypto license in the USA
We present below some of the formalities and procedures necessary to obtain a crypto license in the USA:
- First of all, you need to register your company as a Money Services Business with FinCEN;
- It then moves on to the development and implementation of anti-money laundering (AML) measures;
- It is also necessary to comply with Combating the Financing of Terrorism (CFT) policies, which focus on preventing the financial support of terrorist activities;
- A designated agent is required to obtain a crypto license in the USA, and he or she must comply with the guidelines for transferring funds;
- In the case of New York state, you will need to obtain a BitLicense to be able to implement your company’s cryptocurrency exchange operations;
- Next, the authorities will do some background verifications before issuing the crypto license in the USA.
Opening a crypto company in the USA
To set up a crypto company in the USA it is essential to understand the landscape and the specific requirements for obtaining a Virtual Asset Service Provider (VASP) license in the USA. This permit guarantees that your company adheres to anti-money laundering (AML) and combating terrorism financing (CFT) rules, which are essential for upholding the safety and trustworthiness of the financial sector.
When opening a cryptocurrency company in the USA, selecting the state for registration is essential. Every state has its rules and prerequisites for acquiring a license to operate a cryptocurrency exchange.
On the other hand, states like Florida do not have direct guidance on the suitability of the Act for virtual currency issuers and users. You can find out more about this by contacting one of our local agents who can also help you start a business in the USA.
Our team specializes in assisting with setting up businesses in the USA.
Selecting the ideal state for your cryptocurrency company
When you start a company in the USA, it’s important to consider the differences between states. Delaware stands out as a state for blockchain and crypto businesses due to its accommodating structures and supportive regulatory environment.
Certain states in the USA have created specialized licenses or regulatory frameworks aimed at attracting blockchain and cryptocurrency businesses. For instance, Wyoming has passed several laws that make it one of the most crypto-friendly states, offering a range of benefits including the Special Purpose Depository Institution (SPDI) license for companies that wish to act as banks for cryptocurrency businesses. Wyoming also offers the Blockchain-Based Limited Liability Company (BBLLC), a structure designed to accommodate businesses that leverage blockchain technology.
Similarly, Nevada has enacted laws that exempt cryptocurrency from state-level securities regulations, making it an attractive destination for USA crypto businesses focused on innovation and regulatory simplicity.
Top legal advantages of starting a cryptocurrency company in Delaware
If you’re interested in a state with a friendly business environment for blockchain and crypto companies, Delaware is a prime choice. It offers flexibility in corporate structuring and a supportive regulatory framework for blockchain-based companies. Many businesses looking to open up branches in the USA choose Delaware due to its favorable conditions for blockchain enterprises.
When you set up an LLC company in Delaware, you gain access to unique legal benefits. Delaware is well known for its business-friendly environment, especially the Court of Chancery, which specializes in corporate law.
Moreover, Delaware boasts no sales tax and LLCs receive tax benefits based on their structure and activities. These aspects position Delaware as a destination for individuals interested in launching a cryptocurrency company or any other business, in the United States.
For cryptocurrency companies, there are even greater advantages. Delaware offers a beneficial legal framework, which will facilitate the establishment and efficient operation of cryptocurrency projects. This is due to favorable regulations and extensive legal protection.
All these advantages make Delaware a beneficial place for cryptocurrency entrepreneurs who want to start and manage their businesses in a stable and favorable legislative environment.
For those seeking a state with a business environment favorable for blockchain and crypto enterprises, Delaware emerges as an optimal choice. It presents opportunities for structuring and maintaining a supportive regulatory landscape tailored to blockchain-focused firms.
Delaware’s reputation as a global business hub also means that many international investors are more comfortable investing in companies incorporated in Delaware. This makes it easier for blockchain and crypto businesses to tap into a global pool of investment, particularly as the cryptocurrency market continues to attract both traditional financial institutions and venture capital firms. Moreover, to start an LLC company in Delaware is a straightforward and efficient process, making it a popular choice for entrepreneurs and businesses, including those in the cryptocurrency and blockchain industries.
Get support from our specialized company formation agents in the USA in order to successfully open a company in Delaware or any other state.
What is the state of Delaware blockchain?
Delaware blockchain involves clearing and setting virtual currency transactions with the help of specific platforms, in complete safety. Thus, assets can be transferred between users, without costs and without waiting time. Therefore, the Delaware Blockchain Initiative can create reliable, real-time, and perceptible transfers between Delaware corporations, banks, and law firms in just a few seconds. You can discuss with our local agents about how to start a company in Delaware if this American state is on your business list.
Delaware is one of the most popular states in the USA for venture capital (VC) investments. This is particularly advantageous for cryptocurrency companies seeking to raise funding. Venture capitalists and institutional investors prefer to start a company in Delaware because of its well-established corporate governance laws, transparency, and the predictability of its legal environment.
Cryptocurrency trends and demographics in 2024
Below there are some statistical data about cryptocurrency in the USA:
- In 2024, 40% of adults in the United States possessed cryptocurrencies, marking a notable rise, from the 21% reported in 2022;
- Around 70% of cryptocurrency owners are men;
- In the USA, 57% of cryptocurrency owners belong to the generation which includes individuals born between 1981 and 1996 (based on data from 2023).
Therefore, if you are interested in a crypto license in the USA or Delaware blockchain, we advise you to contact our team of company formation representatives in the USA. We can provide you with all the details and take care of the formalities for opening a company in the USA.