Profile

The British Virgin Islands are a popular jurisdiction for a range of business entities which is considered to be an easy one in which to do business. The regulations are reasonable, and their commitment to transparency has given it a good reputation. There is no requirement to be physically present in order to hold a business in the BVI, there is no minimum paid-up capital requirement and no local directors are required. The process of incorporation is fairly quick, the process takes typically 3-5 business days after submission and approval of all required documentation.

Political

The political climate is stable and the BVI is compliant with international regulations on anti money-laundering, such as the KYC (know your client) information-gathering process. The KYC process asks many probing questions particularly about your finances and requires some suitable documentation to substantiate it. However this is essential to maintain a ‘clean’ image for the jurisdiction in which you would be registered. The BVI has built itself up into a significant financial hub.

Tax

It is a tax-efficient jurisdiction, there is no corporation, capital gains or inheritance tax or withholding on income earned outside the jurisdiction.
However, companies must comply with applicable economic substance requirements and international reporting obligations where relevant

Legal

The legal system is derived from British law, so it is familiar to international businesses. The regulatory regime is suited to financial services and particularly for asset protection. Given the businesses already present there is significant legal resource available in the BVI.

Privacy

The BVI continues to provide a high level of confidentiality for company owners, although transparency requirements have increased in recent years.

Information relating to beneficial owners and registers of members must now be filed with the BVI Registrar of Corporate Affairs, but this information is not publicly accessible. Access is restricted to competent authorities and law enforcement agencies for regulatory and legal purposes.

As a result, while the BVI complies with international transparency standards, public disclosure of ultimate beneficial owners is currently not required

FAQs

What makes the BVI attractive for a crypto business?

The BVI has favrouable VASP regulations for a one-time token issuance. Besides that it is very straight forward to launch a investment fund that invests in crypto. To provide services like crypto custody, market making, etc. it will be required to optain a VASP license.