Looking to start your own blockchain startup but not sure as to which place would provide the ideal conditions? Well, Europe might have an answer for you. This is all because European regulators adopt a pro-innovation approach towards the advancements of cryptocurrency, and so far, they have been positive and supportive towards various crypto startups and projects.
All thanks to a low level of corruption, a demographic concentration of world-class talent and a pro-blockchain environment, Europe is an ideal place to begin your own crypto startup. It is worth mentioning here that the EU gathers 500 million like-minded people at your disposal and serves as a host to around 40% of all ICOs worldwide.
Doesn’t this sound interesting? Let’s have a look at the top 5 European countries wherein you can plan to launch your own crypto business.
Switzerland
Switzerland is ranked first on the list of top ten European countries to start your own blockchain company as revealed by a study by blockchain conference Blockshow Europe 2018.
This is because Switzerland is a crypto friendly nation. It is tax-free for crypto investors and has also emerged as a virtual currency hub. As The Blockchain Land has covered, the Crypto Valley, located at the Zug canton, hosts and nurtures many fintech companies by providing counseling in taxation, investment, law, among other supports in different areas.
With such a friendly environment to the technology and digital currencies, Switzerland is likely to gladly accept your startup and even provide services beyond adoption of innovation, but also in the field of using cryptocurrencies in a regulated manner. That is because Switzerland has taken a leading role in the race of adopting cryptocurrencies, as the Maerki Baumann Bank started accepting digital currencies as payments last month.
Malta
Malta sees things differently and instead of simply licensing the crypto businesses as ICOs or MSBs, this crypto-positive country is looking at technology with a sharper eye.
Malta’s Junior Minister for Financial services, Silvio Schembri, said, “If the technology is flawed, the product won’t deliver what is started in the white paper. We are looking heavily at the technology behind these blockchain-focused companies.”
The country has recently established MDIA (Maltesian Digital Innovation Authority) which would help the government determine the eligibility of crypto businesses. As we’ve covered, Malta is the first country to enact the full legal framework that regulates blockchain and cryptocurrencies
It is this radically-different approach from Malta towards crypto regulation that it has attracted major crypto companies like Binance, BitBay, and OKEx.
On the same lines, Malta also passed three crypto-specific bills: MDIA act (Malta Digital Innovation Authority Act), ITAS Act (Innovative Technology Arrangement and Services Act) and VFA Act (Virtual Financial Assets Act) to make it easier for the crypto startups to flourish.
Cayman Islands
Cayman Islands is another crypto-enthusiastic country in Europe and has helped various ICOs raise funds. Just within the first five months of 2018, the country was able to host ten ICOs which raised more than $4.2 billion.
It doesn’t have any specific regulations yet, however, it is working in the direction of developing a crypto-specific regulatory framework.
In addition to this, the crypto projects established in the Cayman Islands also benefit from the financial infrastructure along with well-developed connections to almost all the financial centers in the world.
The Islands also provide relaxed tax regimes and is a great place to start your blockchain startup.
Estonia
Crypto startups love Estonia because it allows for a stable and open government that is willing to create the most advanced digital society in the world.
It is worth mentioning here that Estonia is one of the first countries in the world to implement e-Voting, e-Tax, e-Health, and e-Residency. Additionally, Estonia is already making use of blockchain in various sectors like security, judicial and others since 2012 in fully-functional mode.
Further, the country is known for regulating the cryptocurrency precisely, and the exchanges and wallet providers are required to register themselves and get licensed with the FIU (Estonian Financial Intelligence Unit).
Gibraltar
Gibraltar is a crypto-friendly nation and provides a suitable environment to the blockchain startups. Recently, the GFSC (Gibraltar Financial Services Commission) also plans to create a new license for blockchain startups.
The country is known as a high-quality international finance center, in addition to providing favorable corporate tax regime.
This year, Gibraltar United, a football team that plays in the Gibraltar Premier Division, announced that they are introducing cryptocurrency payments to their financial system.
The Takeaway
These were the top 5 countries which are ideal for starting your own crypto or blockchain business. We’re sure more countries would soon join the list!