What are the advantages of a crypto company in Poland?
- Poland is a member of the broad world economy. This gives you direct access to a large number of potential customers.
Cryptocurrency business opening in Poland is faster than other EU countries.
- It is easier to get a Polish cryptocurrency license, avoiding more complicated licensing procedures in other EU member states.
- Poland has dual tax treaties with different countries. For foreign investors, opening a branch in Poland offers significant returns.
Poland has a very low corporate tax rate.
- For your financial transactions, you can use the banking services provided by any bank or EMI registered in the EEA to open a bank account with your Polish crypto company.
- The minimum capital requirement is only PLN 5,000 (approximately EUR 1,100).
Currently, cryptocurrency companies are not part of the regulated financial markets, so they are not subject to regular financial monitoring or auditing.
What is the scope of activity for a crypto business in Poland?
A registered crypto trader can provide the following activities in the field of virtual currencies:
- Exchange of fiat and virtual currencies
- Swapping virtual currencies
- Acting as a broker or agent in these activities
- Providing digital accounts such as eWallet to customers. (Note: It is not permitted to store fiat currencies in a digital wallet.)
Crypto regulations in Poland
The Polish Financial Supervisory Authority (KNF) says that “In the Polish system, there are no regulations prohibiting the conduct of an activity as an exchange or an exchange office for cryptocurrencies, which means that conducting activities in the form of an exchange in cryptocurrencies, as well as trading in cryptocurrencies, is not prohibited and is therefore legal.”
Regulations introduced in 2021 state that trading activities in digital currencies include exchanging between virtual and fiat or between other virtual currencies, creating markets for those exchanges, and creating digital accounts where customers store virtual currencies.
In Polish law, ‘virtual currency’ is defined as a token that can be stored or transmitted electronically, traded for legal tender, accepted as a medium of exchange or settled in electronic commerce. Nor may it represent legal tenders issued by the National Bank of Poland or foreign central banks or other recognized public bodies such as the euro, which are accepted by countries that are members of the European Union. The definition of virtual currency also distinguishes it from electronic money, financial instruments, checks, and bank notes.
Poland cryptography regulation
The cautious and evolvable nature of Poland’s regulatory stance toward cryptocurrencies. The Polish government and financial regulators have taken steps to clarify the legal status of cryptocurrencies and prevent money laundering and other illegal activities associated with them. In 2018, the Financial Supervision Authority of Poland (KNF) issued a warning to investors regarding the risks associated with cryptocurrencies and initial coin offerings (ICOs). According to the KNF, cryptocurrencies are not legal tender in Poland, and there are no regulations governing their use.
In 2019, Poland enacted regulations requiring cryptocurrency exchanges to register with the KNF and comply with anti-money laundering (AML) and counter-terrorism (CTF) laws. The regulations also require exchanges to confirm the identities of their users and report any suspicious transactions.
The Polish Ministry of Finance announced in 2020 that it was drafting a law to regulate the cryptocurrency industry in the country. The proposed law would require cryptocurrency exchanges to obtain licenses from the KNF and adhere to AML and CTF laws. Additionally, the law would establish regulations for initial coin offerings (ICOs) and cryptocurrency trading platforms.
Poland’s regulatory stance on cryptocurrencies is evolving, with an emphasis on preventing criminal activities and protecting investors. Although cryptocurrencies are not yet fully regulated in Poland, the government and financial regulators are working to clarify their legal standing and establish a framework for their use.
Financial Supervisory Agency of Poland
Poland’s primary financial regulatory agency is the Financial Supervision Authority (KNF). The KNF is responsible for supervising and regulating Poland’s financial sector, including banking, insurance, and capital markets. The authority was founded in 2006 and operates as an autonomous agency under the direction of the Minister of Finance.
The primary objectives of the KNF are to ensure the stability and security of the financial system, to safeguard the rights of consumers, and to promote transparency and accountability in the financial sector. The authority possesses a vast array of powers, including the ability to issue licenses to financial institutions, impose fines and sanctions for noncompliance with regulations, and investigate and prosecute financial crimes.
In the context of cryptocurrencies, the KNF has adopted a cautious and adaptable regulatory stance. In 2018, the KNF issued an investor alert regarding the risks associated with cryptocurrencies and initial coin offerings (ICOs). The warning stated that cryptocurrencies are not recognized as legal tender in Poland and that there are no regulations governing their use.
In 2019, Poland enacted regulations requiring cryptocurrency exchanges to register with the KNF and comply with anti-money laundering (AML) and counter-terrorism (CTF) laws. The regulations also require exchanges to confirm the identities of their users and report any suspicious transactions. In general, the KNF plays a vital role in regulating the Polish financial sector, including the emerging field of cryptocurrencies. Its emphasis on consumer protection and financial stability is likely to guide future regulatory developments in the nation.
How to set up a Polish cryptocurrency business
In the following sections, we will identify what are the basic steps needed so that you can establish your operations in this market.
Corporate requirements in Poland
The primary requirement is that the Crypto Banking claim must be held by a company registered in Poland itself, not one with its registered office in a fellow member of the EU. However, ultimate ownership of the company is not restricted to Polish citizens, or even to citizens of other European Union or European Economic Area (EEA) countries.
There are two options:
- Acquire a company that is currently registered in Poland and that meets the requirements of registration as a cryptocurrency exchange.
Set up a new company that abide by the steps to follow for Polish crypto company formation
- Create a new legal entity in Poland following these steps:
Prepare Articles of Association and Memorandum of Agreement
- Prepare the prescribed AML/CFT (Anti-Money Laundering Law) and KYC forms
- Open a corporate bank account with a recognized financial institution, EMI or bank within the EEA
- Submit proof of identity of the company representative (e.g., a certified copy of the director’s passport – translated under the apostille into Polish if the representative is not a Polish citizen.)
- Submit proof of address of the company (e.g. accounts showing a local business office with zip code)
Submit information about company directors, Ultimate Beneficial Owners, and shareholders
Apply for Polish Tax Service approval
- Obtain a Polish tax number (PESEL)
Our trained team here at GBO International Financial Services can provide you with all the necessary guidance and will assist in performing all of these steps. Talk to us before you start so that you do not miss out on any required steps.
Since Poland is within the European Economic Area, the bank account for a crypto company in Poland can be opened at any registered EEA payment institution. This does not require a physical visit and can be done remotely.
Licensing a Polish company authorized as a cryptocurrency exchange
In Poland, there is no formal licensing authority. You are only required to register the company with the Register of Organizations as being authorised to trade in cryptocurrency. This requires payment of the required government fees and production of your company’s Anti-money Laundering procedures in Polish.
Please contact us for a price offer to Poland Crypto license
WhatsApp or Telegram us: +972504938469, email us: firstname.lastname@example.org