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Isle of Man Provides Regulatory Certainty for Crypto Businesses

27 January 2021 13:30, UTC
Anna Martynova

The Isle of Man Financial Services Authority (IOMFSA) has notified cryptocurrency companies operating in the Isle of Man that it is possible to pre-register a business. The innovation follows the publication by the regulator of a new guideline in the autumn of 2020, which stated that digital tokens issued using blockchain technology are subject to regulation like DLT tokens.

This means that all local companies must have a presence in the Isle of Man, managed by at least two resident executives. According to IOMFSA representatives, this will help ensure effective oversight. However, while the COVID-19 pandemic has not stopped, the regulator decided to introduce an additional opportunity for companies that plan to settle on the Isle of Man and conduct cryptocurrency business here.

Crypto companies are now eligible for pre-registration, which can be completed online prior to actually deploying a business in the Isle of Man. This will allow companies to get started in the cryptocurrency space, and as the restrictions are lifted, companies will be able to expand their business on the Isle of Man. The main thing is that business operations do not change. It should be noted that the company will not have officially registered status until the move. But there will be confidence in a quick and successful registration, after the end of the pandemic and the complete relocation of the company.

Image: Hedge Think