FAI Comply
The Benefits of Running a Digital Asset Business in the Bahamas
We explore the many benefits of running a digital asset business in the Bahamas, one of the first nations to regulate such activity.
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License Application Process
Following the transposition of the Digital Assets and Registered Exchanges (DARE) Act into Law in the Bahamas, a legal definition for digital assets and a regulatory framework was established for digital asset businesses and activities. Under the Act a person or entity intending to provide a digital asset business service must apply to the Securities Commission of the Bahamas for registration.
The applicant must complete the relevant forms (forms 1, 2 and 3), accompanied by:
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A detailed business plan,
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Evidence that the Applicant is in good standing,
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Certified copy of the applicant’s Memorandum of Association or equivalent
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Schedule of proposed fees for services rendered by the business,
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Evidence of the applicant’s registration with any other regulatory authority,
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Any other information or document as may be required by the Commission,
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The application fees.
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A Legal Entity must also provide the commission, for their approval, a copy of the rules of the exchange for admission to listing of digital assets on the exchange.
Upon filing the complete application for registration, the commission may investigate the financial and business experience, responsibility and professional conduct of the Applicant.
PROCESS DARE
FEES & EXPENCES DARE
License Fees and Expenses
Digital Token Exchange $5,000.00
Digital Token Exchange registration fee $15,000.00
All other digital asset businesses $3,000.00
Capital Requirements
The commission will prescribe the minimum amount of capital which must be maintained by the registrant at all times. The commission may prescribe requirements for specific categories of registrants, which may be dependent on the following factors:
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The registrant’s total assets
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The registrant’s total liabilities
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The actual and expected volume of digital asset business activity
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Whether the registrant is already licensed or regulated by the commission under the laws of the Bahamas, and whether the registrant is in good standing in such capacity
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The amount of leverage
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The registrant’s liquidity position
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The financial protection that the registrant provides for its customers through a trust account or bond
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The types of entities the registrant will service
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The types of services or products that will be offered
What Can FAI Comply do for Your Business?
We undertake the preparation and submission of applications for DARE licensing and provide post-submission support leading up to the granting of the license, which authorises companies to provide investment services in accordance to applicable EU laws and regulations. Services include:
Overall coordination of services and management of the process to completion
Consulting on the Virtual Asset Service Provider (VASP) structure
Due diligence requirements
Assistance with the completion and submission of application forms to the Securities Commission
Review and collection of all necessary documentation from the Company to support the application process
Creation of required documents to accompany the application (AML policies and procedures, business plan, Business Continuity manual, Operational manual and job descriptions documents)
Application follow-up during the process of assessment by the Commission
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