Types of cryptocurrency exchange license

One of the most respected cryptocurrency exchange license is the European. They are regulated by the EU Directives and have common features among themselves. The widest license is EMI (Electronic Money Institution) and the company’s charter fund in this case should be from 350,000 euros.There are simpler licenses, and the price for them can be from 10 thousand euros and above.

Electronic Money Institution – is a license for the issue of electronic money. Allows you to produce your own quasi-currency. The issued electronic currency can be used outside the site of the payment system. Its withdrawal and conversion into any other currencies is possible. The Electronic Money Institution license also allows the use of its quasi-currency to service payments of third-party organizations.

Electronic Money Institution is practically a bank, but only without the right to issue loans. The license allows clients to open sub-accounts within their own bank account and thus create an “electronic wallet”. At the same time, the rule “Know your client” (know your client) applies to such structures in a distorted version in the form of limits on operations.

Where to obtain cryptocurrency exchange license

Among the most appropriate jurisdictions to obtain a license for a crypto exchange are the following countries:
Malta. To obtain a license will need to found a company there with a registered capital of 730 thousand euros. The cost of the license itself will be 30 thousand euros.
Estonia. The place of registration of many European crypto exchanges requires new market players to establish a company in the country and contact the FSAEE (State Financial Regulator). Among the requirements for documents: certificate of state registration, KYC certificate and documented risk assessment. The cost of the license is 3,300 euros.
UK. To obtain a license in the United Kingdom, you will need to found a company, open a bank account for cryptocurrency transactions and provide proof that your activities will meet AML and KYC standards. The cost of the license starts from 15 thousand euros.