Crypto License in Saint Lucia

The cryptocurrency business in Saint Lucia has several advantages:

• A favorable regulatory environment. St. Lucia has created a favorable legal and regulatory environment for the cryptocurrency business. The government has demonstrated a proactive approach to the use of blockchain technology and digital currencies, providing clarity and legal certainty for cryptocurrency-related activities.
• Low taxation. St. Lucia offers attractive tax incentives for cryptocurrency businesses. The jurisdiction offers tax exemptions (0% tax) for companies which provide their services outside St Lucia. That helps to boost the profitability of cryptocurrency exchanges and related businesses.
• Privacy. St. Lucia respects privacy, which makes it an attractive jurisdiction for cryptocurrency transactions. It has robust privacy laws and regulations that protect the confidential information of individuals and businesses.
• Access to international markets. The creation of a cryptocurrency exchange in St. Lucia provides access to international markets. The country’s strategic location in the Caribbean region facilitates connections to both North and South American markets, creating opportunities for global expansion.
• Stable political and economic environment. Saint Lucia has a stable political and economic environment that provides a safe and secure base for cryptocurrency business. This stability reduces the risks associated with geopolitical instability and economic fluctuations, increasing investor confidence.
• Favorable business environment. St. Lucia offers a favorable business environment with simplified registration procedures and a responsive government. The country has dedicated institutions and agencies to help entrepreneurs establish and manage their cryptocurrency businesses.
• A growing cryptocurrency community. St. Lucia is witnessing a growing crypto community with a growing interest in digital currencies and blockchain technology. This trend creates opportunities for collaboration, partnerships, and knowledge sharing within the local ecosystem.

Although St. Lucia still does not have specific legislation regulating cryptocurrencies, it has recently taken a proactive approach to this area of legislative regulation, recognizing the potential benefits of blockchain technology and digital currencies.

Key points regarding cryptocurrency regulation in St. Lucia:

Regulatory framework
Saint Lucia has not yet enacted specific legislation or regulations devoted exclusively to cryptocurrencies. Nevertheless, the government has shown a willingness to use digital assets and blockchain technology, creating a favorable environment for cryptocurrency businesses. Not long ago, the Financial Services Regulatory Authority (FSRA) notified companies that they will publish a set of laws and regulations for issuing crypto licenses in late 2023. Once the law is published, crypto activities will be fully regulated and all companies that want to start a crypto business will need to apply for a license. It will only be possible to start a business when the license is approved.

Securities Laws
Digital assets with the characteristics of securities may be subject to St. Lucia’s current securities laws. Therefore, cryptocurrency companies need to comply with the relevant securities provisions if their offerings are considered securities. More information on this can be found on the website of the St. Lucia Attorney General’s Office.

Anti-Money Laundering Act
Cryptocurrency businesses in St. Lucia are subject to the Anti-Money Laundering (AML) Act and the Know Your Customer (KYC) rules spelled out in the Act. Entities involved in cryptocurrency activities must implement robust AML and KYC procedures to prevent illegal activities and ensure compliance with these requirements.

Licensing and registration
Although there are no specific licensing requirements for cryptocurrency businesses in Saint Lucia now, cryptocurrency companies must register with the relevant government authorities, following existing business registration procedures.

Important requirements for opening a cryptocurrency exchange in St. Lucia are:

• at least one shareholder;
• at least one director (the same person can also be a shareholder);
• a clean police report (for Americans – FBI report).

There is no minimum start-up capital required to form a company.

Each shareholder and director requires certain documentation, which must be provided:

• Certified copies of two government-issued identification documents, one of which must be a passport.
• Two letters of recommendation from the bank.
• Original utility bill or business address document issued by the state financial institution.

If properly executed, the company may be registered within 24 hours of receipt of all required documents.

Consumer protection
As the cryptocurrency market involves certain risks, cryptocurrency companies need to prioritize security, transparency, and integrity measures to protect the interests of their users and customers.

If you need more information on this subject, please do not hesitate to contact us. We are ready to help you.

St. Lucia is known for its favorable tax environment, including certain incentives for cryptocurrency businesses. Since the status of cryptocurrency in St. Lucia is currently undefined, no taxes are levied on crypto transactions. However, note some key points regarding taxation in St. Lucia: