SpectroCoin, a bitcoin and cryptocurrency payment company has announced it now officially holds so-called crypto licenses for “Providing services of exchanging a virtual currency against a fiat currency” and “Providing a virtual currency wallet service” in Estonia.
Cryptocurrency exchanges in Estonia operate with two licenses: the Virtual Currency Exchange Service Licence and the Virtual Currency Wallet Service Licence. The first one allows the business to initiate exchange operations: fiat to crypto, crypto to fiat, crypto to crypto. The second one covers the legal grounds of keeping, storing and transferring virtual currencies.
Register of Economic Activities (REA)
SpectroCoin is now officially listed on the Register of Economic Activities (REA) or Majandustegevuse Register (MTR), which is an official database developed and backed-up by the Estonian Ministry of Economic Affairs and Communications, providing a list of Forex brokers and other registered financial institutions. This database contains information about licenses, economic activities and makes it easier to determine the authenticity of a company, working as a background check for a specific entrepreneur.
Obtaining these licenses strengthens SpectroCoin’s recognition among possible new clients and partners, as well as ensures that the company works according to the highest standards and will provide first-rate services and products for its customers and partners.
Safe-Hub for Crypto
Estonia is well-known for supporting FinTech companies and for its liberal laws of governance, which in turn offer a high level of freedom and a vastly competitive, transparent environment for businesses. We see the Estonian market as a place where both local and foreign businesses are embraced.
Estonia has built a reputation as the most tech-savvy and crypto-friendly country in Europe, especially in comparison with other EEA members. Estonian Money Laundering and Terrorist Financing Prevention Act came into force in 2017 and the data speaks for itself – in 2018, the Government of Estonia issued more than 900 licenses for crypto and blockchain businesses.
Having in mind that the AML5 is coming into force in 2020, it is important to have a safety hub where lawmakers are adopting crypto-friendly regulations.
The government’s focus on the smart economy, which includes the effective use of information and communication technologies, as well as digitalization of the financial industry, represents the perfect opportunity for business expansion, for offering new products and attracting new customers. Estonia’s economy is stable and open for innovations, so that as well brings more certainty for crypto businesses.
“These two licenses help SpectroCoin to avoid possible deterrents to crypto innovation, since compliance is constantly changing in this field. Now, we have ensured that SpectroCoin cryptocurrency exchange has a favorable environment supported and promoted by governmental bodies in which to operate in the future, if needed. SpectroCoin has always valued the importance of crypto regulation, which was expressed by following strict KYC and AML policies since day one of its operations. Besides that, it has actively initiated debates regarding crypto regulation on multiple occasions and it is constantly seeking to be one step ahead of regulation by participating in conferences, events, and discussions on the matter. These licenses represent a small part of the commendable effort done by our Legal Team and Advisors, who continue to work on our expansion: expect more licenses to be obtained in the near future.”