Cryptocurrency

List of Alternatives for Poland Crypto License

By Ryan Bradman | December 7, 2023

Table of Contents

Up-and-coming projects and crypto entrepreneurs from all around the globe are looking for the most business-friendly environments as the cryptocurrency sector continues to grow. Alternative landscapes are being considered in relation to a Poland crypto license since this highly prestigious European nation does not seem like the best pick for everyone. Among the competitors are Estonia, Malta, Switzerland, the United Kingdom, and Seychelles, among several others. In this text, we explore the individual benefits of the countries and evaluate them in relation to each other and Poland.

List of Alternatives for Poland Crypto License

1. Estonia

Estonia emerges as a frontrunner in cryptocurrency legislation, providing a tempting alternative for crypto enterprises thanks to a number of crucial benefits.

Most Responsive Option. Estonia’s aggressive approach in the digital currency sector places it as one of the most proactive nations internationally. Estonia’s dedication to accommodating the changing demands of investors is shown by the fact that the country’s regulatory system has been regularly revised, as opposed to many other countries.
Streamlined Application Process. As an early user of crypto, Estonia has a simplified application procedure that benefits from its extensive expertise. Due to the high concentration of experienced government personnel who are used to working with international investors, Estonia has given over 2,000 crypto permits. In most cases, the approval process takes less than 60 days, which is a much shorter time than in other countries.
Comprehensive Regulatory System. The goal of Estonia’s crypto legislation is to increase investor confidence by safeguarding their funds. Estonia maintains the responsibility and conformance of enterprises by aggressively resolving issues connected to illegal operations, hence promoting confidence among suppliers and consumers.
Access to the Wider EU Market. Estonia’s proximity to the rest of the European Union’s market is a major advantage. Passporting privileges are granted to a crypto firm licensed in Estonia, making it easier to do business in other countries within the European Economic Area without having to get separate permission from every one of the member nations.
Favorable Business Environment. The World Bank’s index (2019) ranks Estonia as the sixteenth easiest country to start a company in. Estonia’s e-residency scheme, dubbed “e-Estonia,” is a major draw for international entrepreneurs since it facilitates the remote supervision of firms.

Market projections:

Projected revenue in the Cryptocurrencies market: €9.99m (2023).
Annual growth rate (2023-2027): 13.47%.
Expected number of users by 2027: 342.70k.

2. Malta

Malta presents as another strong alternative for crypto enterprises, providing a thorough legal framework and a favorable environment for innovation.

Legal Clarity and Innovation-Friendly. The Virtual Financial Assets Act (VFAA) of Malta defines and regulates electronic currencies and blockchain technology in a way that promotes ingenuity and risk-taking in the industry.
International Recognition. Many esteemed blockchain and cryptocurrency businesses have set up shop in Malta simply because of the island’s progressive attitude to crypto legislation.

Market projections:

Projected revenue in the Cryptocurrencies market: US$4.49m (2023).
Annual growth rate (2023-2027): 14.84%.
Expected number of users by 2027: 105.80k.

3. Switzerland

Switzerland has a strong financial apparatus and a solid track record for stability and inventiveness, which have all contributed to the country’s thriving crypto economy.

Legal Clarity and Regulatory Stability. Switzerland’s crypto regulations are stable and unlikely to change in the next five years. Acquiring accreditation from the Swiss Financial Market Supervisory Authority (FINMA) is an important step in establishing legal certainty and earning the confidence of consumers as well as shareholders in the digital currency sphere.
Better Financial Infrastructure. Over 55% of Swiss banks plan to launch digital asset services over the course of the following 1-3 years, creating a fertile environment for Switzerland’s crypto-related companies to thrive.
Influential Blockchain Community. Numerous cryptocurrency firms call Switzerland home, attesting to the country’s standing as the world’s most developed hub for blockchain technology. The country’s high reputation for monetary security strengthens the worldwide credibility of platforms doing business under a Swiss permit.

Market projections:

Projected revenue in the Cryptocurrencies market: US$453.6 million (2023).
Annual growth rate (2023-2027): 11.95%.
Expected number of users by 2027: 2.58m.

4. United Kingdom

With the Financial Conduct Authority (FCA) keeping an eye on the current state of play, the cryptocurrency market in the United Kingdom is expanding and becoming an appealing choice for companies looking for a trustworthy and regulated setting.

Competitive Corporate Tax Rates. The UK provides attractive corporation tax rates (19%), classifying crypto as assets rather than cash, and charging taxes on capital gains on digital currency holdings.
Access to the European Market. The United Kingdom may have left the European Union, but it still has strong links to the bloc, and this allows companies that have obtained a digital currency license to take advantage of passporting treatment and legally do business within the European Economic Area.

Market projections:

Projected revenue in the Cryptocurrencies market: US$1.9bn (2023).
Annual growth rate (2023-2027): 18.84%.
Expected number of users by 2027: 22.23m.

5. Cayman Islands

The Cayman Islands provide a one-of-a-kind opportunity for the cryptocurrency industry by providing a tax-free setting and an open ecosystem for blockchain ventures looking to save money.

Tax-free environment.
Friendly jurisdiction regarding crypto and blockchain projects.
No minimum share capital requirement.

6. Lithuania

Another European possibility is Lithuania, where the central bank (the Bank of Lithuania) has drawn up an explicit code of conduct for digital currency enterprises.

A license may be obtained in a month’s time.
No physical office is needed in Lithuania.
The whole licensing and acquiring procedure may be done online.

Market projections:

Projected revenue in the Cryptocurrencies market: US$20.1m (2023).
Annual growth rate (2023-2027): 9.85%.
Expected number of users by 2027: 570.70k.

7. Seychelles

The Seychelles is a popular alternative for digital currency firms due to its easy and inexpensive licensing procedure for exchanges or any other projects.

A place where you won’t have to worry about paying taxes.
Easy-to-understand structure.
Fewer costs over time.
There is no required starting capital for a company.
No need to report anything.

Market projections:

Projected revenue in the Cryptocurrencies market: US$259.9k (2023).
Annual growth rate (2023-2027): 16.58%.
Expected number of users by 2027: 8.51k.

Conclusion

The cryptocurrency industry is ever-evolving, making the question of where to domicile your crypto firm a complex one. Our research of Estonia, Malta, Switzerland, the UK, the Cayman Islands, Lithuania, and Seychelles has thrown light on the quantitative differences between each candidate.

Based on the numbers mentioned in the article, here’s our comparative synopsis:

Estonia leads with balanced revenue, growth rate, and user projections, supported by regulatory responsiveness and favorable business conditions.
Switzerland stands out with substantial revenue and a diverse user base, anchored in financial stability and innovation.
The United Kingdom showcases impressive revenue figures and a substantial projected user base, buoyed by regulatory prowess.
Malta positions itself as attractive with proactive regulation and steady growth projections.
Lithuania emerges with steady revenue growth, streamlined processes, and a promising user base.
Seychelles offers a cost-effective entry point, appealing to businesses seeking simplicity and lower ongoing fees.