If you want to open a company in Bulgaria in the cryptocurrency sector, you can contact our Bulgarian local agents. The formalities and procedures related to company incorporation in Bulgaria can be explained in detail by our specialists. In the following lines, you can find information on how to open a cryptocurrency company and what are the rules in this direction. Besides, a startup in Bulgaria can be a good option for the development of such activities.
Table of Contents
Conditions to open a cryptocurrency company in Bulgaria
Investors who want to set up cryptocurrency companies in Bulgaria should ask for support and information from our specialists in company formation in Bulgaria in matters of documents and varied conditions. One should consider the following aspects when deciding on a cryptocurrency company set up in Bulgaria:
- sign a contract with a Bulgarian bank;
- respect the rules and regulations imposed by the National Bank of Bulgaria;
- adopt a secured method of currency exchange with no hidden conditions or fees;
- offer client support;
- create Bitcoin applications for clients;
- respect the rules and regulations imposed by the National Bank of Bulgaria.
How is cryptocurrency seen in Bulgaria?
Cryptocurrency is a legal method of payment that is supervised by the Bulgarian National Bank. In other words, this digital currency is a form of payment without involving liquid money in a transaction. Bitcoin is the first decentralized cryptocurrency with roots in Japan and developed worldwide quickly, including in Bulgaria. Opening a cryptocurrency company in Bulgaria as a foreign entrepreneur is subject to the main conditions imposed for any company in the country, considering also the special licenses and permits imposed in the financial sector. Even though cryptocurrency is not used on a large scale, it has sufficient potential to develop and Bulgaria is open to all kinds of investments in the financial sector, including the one related to the electronic form of payments.
If you are interested in a team of accountants in Bulgaria, we recommend you contact our company. We have certified accountants at your disposal, who can take care of procedures related to bookkeeping, payroll, audits, annual financial statements, tax registration, tax minimization options, and more. Full financial reports can be made to see the financial position of the owned company. Therefore, get in touch with us and discover all the aspects that interest you.
Unregulated activities in Bulgaria
The European Securities and Markets Authority, the European Banking Authority, the Bulgarian National Bank, and the Financial Supervision Commission in Bulgaria consider that cryptocurrencies fall out of the regulatory boundary of the payment services and investment services legal backgrounds. This is because certain cryptocurrencies do not qualify as financial tools, due to mere payment use. In this case, no license is required for the exchange, transfer, or custody of cryptocurrency in Bulgaria.
Controlled cryptocurrency activities in Bulgaria
When crypto assets are recognized as financial instruments, services linked to these may fall within the scope of the existing investment services legal framework in Bulgaria. Also here, if such crypto assets have investment purposes and are expected returns, they are recognized as financial instruments. Here, an investment firm license is needed, issued under the control of the Bulgarian Markets in Financial Instruments Act. With this type of license, you can make exchanges, transfers, and other financial operations. Here are the other EU financial regulations that apply in Bulgaria, for financial instruments, with the help of the European Securities and Markets Authority:
- Transparency Directive,
- Directive Prospectus,
- Market Abuse Directive,
- Short Selling Regulation,
- Central Securities Depositories Regulation,
- Settlement Finality Directive.
Specialized support from our local agents
The legislation regarding the opening of a cryptocurrency company may seem quite complex, especially since there are many directives and regulations from Europe that apply without fail in Bulgaria. But with specialized help, you can make sure that all the rules are respected, especially regarding the documents. Those who want to set up a company in Bulgaria’s virtual currency sector should collaborate with experts in the field, such as our local agents. On the other hand, it is good to know that our team collaborates with the relevant institutions that are in charge of business formation and license issuance.
Why is Bulgaria a great business destination?
Bulgaria has a stable business climate and optimal local conditions. Also, foreign entrepreneurs can opt for Bulgaria if they want to develop their business in this part of Europe. On the other hand, Bulgaria has a fairly attractive tax system compared to other European countries, which makes it a favorable business destination. Here are other interesting facts if you want to set up a company in this country and want to know one of the economic facts:
- An economic growth of approximately 2.3% was recorded in 2023.
- The consumer price index was set at 8.2% in the same year in Bulgaria.
- The unemployment rate in Bulgaria was 4.5% at the end of 2023.
Business persons interested in opening a cryptocurrency in Bulgaria and the rules in this matter are invited to contact our company formation representatives in Bulgaria.