The VASP license in Poland is set to be transformed under the influence of the latest MiCA regulation, which will come into effect at the end of 2024. The majority of requirements and rules for obtaining the legal permit, however, will be preserved: the new framework will streamline their implementation and simplify the understanding of the licensing process for potential applicants. Let’s take a more profound look at the key regulatory requirements for obtaining a crypto license in Poland in 2024.
Poland VASP registration: licensing requirements
The requirements for getting a Poland crypto license in 2024 will be gradually influenced by MiCA by the end of the year. However, the rules for licensing VASPs (Virtual-Asset Service Providers) remain set in stone under the governance of the current regulator, the Polish Financial Supervision Authority.
Here are the current requirements to be expected from the Polish regulator for VASPs:
- Registered office within the EU;
- Collecting the required information and documents from the founders (identity documents & certificates of non-criminal record);
- Preparing necessary AML and compliance documents, such as the recommended Risk Matrix and AML policies and procedures;
- Submitting an application to Polish authorities to obtain the license;
- Opening a corporate account with a crypto-friendly bank.
While Poland has a single licensing process for all applicants, the range of business activities permitted by the license differs. Once you secure a Polish VASP license, you will be entitled to:
- Providing custodial services for crypto assets;
- Providing the exchange services (fiat for crypto and vice versa);
- Providing the exchange services (crypto assets for other crypto assets);
- Issuing a token or cryptocurrency (provided the virtual asset cannot be deemed a security or a financial instrument);
- Other specific activities with crypto-assets.
Regardless of the services you intend to provide, you have to describe them to the regulator in writing and attach the description to your application documents. This is also known as your business plan, and it is an integral part of the application procedure.
Crypto license in Poland: application process
The application process for a VASP license in Poland starts with incorporating a company and opening an office either in Poland or any other country in the EU. Once the company is formed, you will have to prepare the following document package and attach it to your application:
- Identity documents and certificates of non-criminal records of all directors and shareholders;
- A short description of the business activities in the company;
- AML-CFT compliance policies of the company;
- A business continuity policy and risk management policies;
- Certificate of incorporation (if applicable);
- Data protection protocols;
- Technical documentation.
These and other documents are likely to be requested by the regulatory authority during the application phase. While MiCA will simplify the licensing process in general, it has broadened the scope of paperwork needed. Therefore, it is often advisable to have an experienced lawyer draft and compile all the necessary documents on your company’s behalf.
Price of the crypto license in Poland
There is no specified price tag associated with the crypto license in Poland since the licensing fee depends solely on your project type and business models involved. In addition, the starting share capital requirement is involved, which is going to be standardized for all Member States under MiCA. The amount of money you will have to deposit before commencing your operations will depend on the license type you are planning to obtain.
Securing a Poland VASP license: timeline
The speed of licensing as a VASP in Poland can vary. The most optimal time frame is a couple of months, while in some cases, the whole process can be completed in 3 to 4 weeks. Generally, it depends on the complexity of your project and the current workload of the regulatory authority. In addition, if you are compiling all the necessary application documents and forming a company entirely by yourself without the help of a lawyer, inexperience and the fear of failure might slow you down.
Ongoing compliance obligations with the Polish crypto license
Like any other jurisdiction licensing crypto-asset providers, Poland has its own set of ongoing obligations and a set of sanctions for non-compliance. These requirements align with expectations established during the application for a crypto license in Poland.
A key obligation is appointing a qualified AML officer in a managerial position. The officer ensures compliance with the following key requirements for legal operations:
- Client identification (KYC and KYB processes);
- Conducting enhanced due diligence when necessary;
- Performing risk assessments;
- Reporting to the regulatory authority;
- Applying restrictive measures when applicable;
- Ensuring proper storage and protection of consumer data (in line with the GDPR);
- Training all employees and board members on AML regulations;
- Protecting employees’ privacy in relation to transaction reporting.
Like any limited liability company in Poland, crypto businesses must maintain accounting records and submit monthly reports. Collaborating with an accountant experienced in cryptocurrency is essential for accurate bookkeeping and overall compliance.
Benefits of obtaining a Poland VASP license
Poland is one of the most stable and reputable economic environments for registering as a VASP in 2024. The country is known for its dedication to innovation and for encouraging more young entrepreneurs to dive into the crypto realm.
At the same time, Poland has one of the easiest and most cost-effective licensing processes, taking an average of 3 months to be completed. Most importantly, Poland has one of the lowest corporate income tax rates in the European Union, which makes it a perfect solution for the longevity of your project.
