Forming an International Business Company (IBC) in the BVI offers a host of advantages for Blockchain and ICO activities. Flexible legislation has led numerous, highly successful blockchain companies such as FootballCoin, Bitifinex and Finamatrix to incorporate in the BVI.
BVI Blockchain/ ICO Legislation
There is no specific regulation for blockchain or ICO companies issued by either the BVI Government or the BVI Financial Services Commission (FSC). Blockchain and ICO companies are not restricted or subject to any regulations under the existing financial service framework in the BVI.
BVI General Legislation
While there is no direct regulation for blockchain technology or ICOs in the BVI, there are aspects of BVI general legislation which have application for the launch of an ICO, exchange or blockchain company.
The Securities and Investment Business Act 2010
The Securities and Investment Business Act (SIBA) prohibits any individual or company from carrying out investment business activity without holding a license authorised from the BVI Financial Services Commission. The act does not specifically recognise cryptocurrencies or ICO tokens within its definition of investment, although careful consideration is required to make sure an ICO token does not full under SIBA regulations.
We can provide legal assistance to avoid any ICO launch fulling under SIBA regulations.
The Anti-Money Laundering Regulations 2008
The Anti-Money Laundering Regulations (AML) currently does not affect the launching of an ICO or blockchain as it is not defined within the act as carrying out relevant business activity. That being said it must be considered as it is believed that the act could be modified to include ICOs in the future. So in order to ensure a problem-free future for the ICO or blockchain, the Anti-Money Laundering Regulations must be considered.
BVI’s Electronic Transactions Act 2001
One important piece of legislation is the BVI’s Electronic Transactions Act 2001. This act maintains that electronic contracts and records will not be denied legal validity in the BVI simply because they are only maintained in electronic format. This is relevant for ICO’s and blockchain companies since everything in relation to the launch and conduct of the company will, of course, be done on an electronic platform.
BVI Company Formation Benefits
The British Virgin Islands is held across the financial world as the pinnacle in offshore company formation. Its international company law has been duplicated by countries all around the globe due to its staggering success. It is a stable and reliable formation location having thousands of International Business Companies incorporated each year.
The BVI has many benefits for any company looking to incorporate offshore including tax exemption and confidentiality.
Tax Exemption
One of the key advantages of incorporating an IBC is that the company is exempt from income tax provided that its profits are generated from outside the BVI. This means that any ICO/blockchain company incorporated in the BVI is unlikely to face any income tax.
BVI Filing Requirements
It not only has few requirements for incorporation but, also very few yearly filing requirements with no need to file accounts or financial statements yearly.
BVI Annual fees
An IBC only has one yearly government fee in order to keep the company in good standing. As long as the company pays this fee is can continue trading.
Confidentiality
British Virgin Islands company formation is completely confidential with all directors and shareholders details being kept out of public records. This means the directors and shareholders information is only kept at the registered agents’ office and they are under no obligation to show it to anyone without consent from the BVI Government.
Requirements for BVI Company Formation
There are very few legal requirements for the incorporation of a BVI International Business Company . The whole incorporation process can be completed within 2-3 days of application. The BVI is one of the fastest locations worldwide to incorporate a company.
Company Directors
Only one director of any nationality is required for your BVI IBC. Corporate directors are permitted in the BVI.
Company Shareholder
One shareholder of any nationality is required for the formation of your IBC in the BVI. The shareholder of the BVI company can be a corporate entity.
Share Capital
An IBC requires no paid up share capital to register with the BVI Registry of Corporate Affairs.
BVI Registered Office & Registered Agent
A requirement for the incorporation of an IBC is to have a registered office and agent within the BVI. The registered office is the point of contact for the BVI Registry of Corporate Affairs to mail any company documentation. It also maintains a copy of company registers including the register of directors and shareholders. The registered agent is the point of contact between the BVI Registry of Corporate Affairs and the company.
Our Services
We offer a reliable and efficient way to form a Blockchain company including company formation, banking setup & a host of Corporate services. All required documents can be submitted online with no requirements for a visit to the BVI. To incorporate a company using our services please complete our order form.