Cayman Islands Blockchain Company Formation
The Cayman Islands are one of the most trusted and reputable financial centres in the world with thousands of companies incorporating a year. The island nation is leading the way as one of the world’s major hubs for blockchain technology.
Cayman Islands Blockchain Regulation
Blockchain and ICO’ss are currently unregulated in the Cayman Islands.
The Caymans are resistant to rush into any regulations to make sure that it keeps its status as a trusted, leading international financial centre intact. They are currently working in association with industry leaders to bring in regulations aimed at blockchain technology that will be business friendly as well as protecting the reputation of the jurisdiction.
The Cayman Islands has not brought in any direct regulations for ICOs and blockchain companies
The Money Services Law (MSL)
One such legislation piece of legislation is the MSL regulation. The MSL regulation requires that a business must be licensed to work in money transmission and currency exchange. This regulation could, in theory, affect the costs of running a blockchain/ICO company from the Cayman Islands.
The Securities Investment Business Law (SIBL)
The SIBL monitors and licenses security investment companies. The law defines a list of activities which require a license to operate these include; advising on securities, dealings in securities and managing securities. The SIBL does not set out specific ruling for cryptocurrency or digital tokens. In order to not fall under the SIBL careful analysis must be carried out on the activities of the ICO. ICOs using utility tokens are unlikely to fall under the SIBL.
Cayman Islands Company Formation Advantages
The Cayman Islands have been a popular offshore destination for over a decade and has a host of advantages including but not limited to confidentiality and tax exemption.
Tax Exemption
One of the key advantages to Cayman islands company formation is that there are no requirements to pay tax on profits made outside of the Caymans, so as long as the Exempt company is not trading within the Cayman Islands there are no tax requirements. The company will remain tax exempt for a period of 20 years after the incorporation date. A blockchain company is highly unlikely to be taxed on any of its activities.
Privacy
The Cayman Islands prides itself on its privacy and confidentiality of company information. The Caymans Islands are renowned for keeping company information on a strictly need to no bases with no public access to company documents. The Registered Agents are the only individuals who have access to the Cayman Islands General Registry. No Directors or Shareholders information is available on public record and the registered agent holds no obligation to show the document to anyone without the consent of the Caymans government.
Minimal Filing Requirements
An Exempt company has the advantage of very few filing requirements with only an Annual return required yearly. We can assist with the file of annual returns with the Cayman Islands General Registry. Exempt companies will not be required to submit any financial records to the Cayman Islands General Registry.
There is also only a one-time yearly fee for the company to remain in good standing with the Cayman Registry. Apart from this yearly fee, there are no other government fees or taxes on the exempt company.
Cayman Islands Company Formation Requirements
Company formation in the Cayman Islands is a simple and efficient process with very few legal requirements to complete process for an exempt company takes between 5 and 7 days to complete.
Company Directors
The Cayman Islands registry only requires one director of any nationality to incorporate.
Company Shareholders
An Exempt company only requires one shareholder who can be a corporate entity. There is no limitation on the nationality of the shareholder.
Share Capital
A Cayman Island Exempt company does not have any required share capital for incorporation.
Caymans Registered Office and Agent
A requirement for incorporation is that an Exempt company must have a registered office and agent within the Cayman Islands. A registered office merely acts as an address where documents can be sent from the Cayman Islands General Registry. The registered Office holds no legal rights for the company. The Cayman registered agent is the point of contact for the Cayman Registry to communicate with the company. We can provide both of these services alongside our company incorporation package.
Our Services
We offer a reliable and efficient Cayman Islands company formation service including; company setup, company secretary, banking setup & all other corporate services