Canada
In recent years, Canada has become one of the most alluring jurisdictions for fintech companies working with cryptocurrencies and providing innovative financial services. This is due to more lenient regulation in the industry compared to other developed countries.
One of Canada's key advantages is the simplicity of obtaining an MSB (Money Services Business) license. MSB is a type of license in Canada that allows companies to offer financial services, including money transfers, currency exchange, issuance and sale of payment instruments, cryptocurrency exchange, and other operations. This license in Canada is regulated by FINTRAC. It is primarily responsible for monitoring and supervising reporting entities, analyzing reports from financial organizations, issuing permits and licenses, and combating money laundering in Canada.
There are two types of MSB licenses in Canada:
- MSB with a registered branch in Canada.
- FMSB (Foreign MSB) without a registered branch for non-resident companies.
An MSB/FMSB license in Canada allows for the following activities:
- Foreign exchange dealing
- Remitting or transmitting funds
- Issuing or redeeming money orders or similar negotiable instruments
- Dealing with virtual currency
The steps to obtain the license are as follows:
1) Company registration:
If you wish to register a local company, we recommend accomplishing it in British Columbia, as this jurisdiction does not require the presence of a local director.
Registration typically takes 2-3 weeks.
2) Document preparation and AML/CFT policy:
You must provide a business model with a detailed business description. The details should include typical customers and services, how the company offers services, the list of countries and currencies the company works with, and its website.
This process takes 3-4 weeks, depending on the required work.
3) Business registration with FINTRAC:
You have legal obligations under the Canadian PCMLTFA as an MSB in Canada. These obligations include registering your business with FINTRAC, reporting certain financial transactions to FINTRAC, record-keeping, customer identification (KYC), and compliance procedures. Registration with FINTRAC is mandatory.
An MSB license provides the opportunity to operate globally, offering services to customers worldwide, except in countries with mandatory local licensing requirements. This makes a Canadian MSB an ideal option for startups looking to quickly and cost-effectively enter the financial services market.
Ready-made companies with bank accounts
Or you've already got own business and there is a need to expand the scope of activities. To avoid the loss of time and effort to register juridical individuals, you can arrange a ready-made company. You will have a fully prepared company with a package of documents, which is mandatory for conducting a full-fledged activity.
Companies with licenses
Buying a ready-made company is the best option for operational business development in a new industry, as well as the need to expand the scope of the existing organization increase its scale. Acquisition of a company with mandatory permits and license means the ability to enter a new market in a short period of time.
Banks
Acquisition of a ready-made bank allows you to save time, as well as quickly carry out all reissuing operations. On average, the procedure takes about one day. As a result, the client becomes the head of the bank, which already has a client base, as well as status in the market and ready staff. Our company conducts all operations in accordance with existing legislation.
Funds
Investment fund is a modern investment tool designed for all types of assets. The purpose — managing of assets as well as solving number of tasks in a way that works best for individuals. There is no open subscription, meaning that a private investment fund has a closed structure. This is the most optimal solution for distributing capital through broad instruments.
SEMI for sale
When conducting business related to foreign exchange transactions, electronic money and cryptocurrencies, it may be necessary to open a financial company with a SEMI license. This type of license covers the production of debit cards and cryptocurrencies, the acceptance and sending of payments, the execution of transfers from third parties, and the opening of merchant accounts.
Crypto Offshore
When working with cryptocurrency it is important to choose the right country, where it is most profitable to open a company. Each country has a different attitude towards this type of currency. A country that has a loyal or positive attitude towards cryptocurrency can be called a crypto-offshore.
