Investors who open a cryptocurrency company in New Zealand follow the regular steps for incorporation and, in addition to these, the ones needed for registration with the authorities.
A crypto exchange license in New Zealand is required for NZ based trading platforms.
Our New Zealand company formation experts are able to assist investors who wish to open a cryptoasset company, as well as complete the needed registration.
Our team assists investors who are interested in company creation in New Zealand irrespective of the business field in which the company will activate. You can reach out to us from the earliest stages of company formation, as soon as you decide to open a company in New Zealand and need assistance when drawing up the Articles of Association and making the registration with the Companies Register.
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Steps needed to open a cryptocurrency company in New Zealand
Company formation in New Zealand is a straightforward process composed of a number of essential steps:
- Business name: the first step is to reserve an available business name; the reservation of the name is subject to a fee;
- Incorporation documents: these are the company’s constitutive documents that include relevant information about the business, its name, address, and industry, as well as its founders;
- Business registration: a company is registered with the New Zealand Companies Office following a special application for this purpose;
- Additional registrations: this is the step during which business-specific licenses are obtained and needed registrations with the authorities are made, such as obtaining a crypto exchange license in New Zealand.
The steps described above are required for opening a limited liability company, the most commonly used business form and suitable for those investors who wish to open a cryptocurrency company in New Zealand.
Investors should note that all New Zealand companies must have at least one director who lobes in New Zealand (be present for more than 183 days in a 12 month period, in most cases).
For the incorporation of other types of companies, such as branches, our team can give you specific details.
Starting a business in New Zealand involves several steps, each important and relevant to the creation of the company. Once the corporation is duly registered with the Companies Office, our team can also answer questions about other matters of interest, such as hiring staff in New Zealand intellectual property protection, the duties and liabilities of directors and shareholders, and more.
The taxation of crypto companies includes the following:
- Corporate income tax: 28% standard corporate income tax rate for resident companies;
- Withholding tax: the taxation of dividends is generally exempt from withholding tax;
- Social security contribution: in general, the minimum employee contribution rate is 3% of the gross pay;
- No GST: cryptoassets are not subject to the goods and services tax;
- Others: fringe benefits tax applicable to certain employers with rates starting at 49.25%.
Our New Zealand company formation agents can give investors more details about taxation.
We also offer services related to virtual offices, which can be suitable for companies involved in the cryptoassets business.
The crypto exchange license in New Zealand
Companies are registered with the financial service providers register (FSPR). This is a register that allows clients to view information on companies offering financial services.
Additionally, these NZ-based trading platforms need to belong to a dispute resolution scheme.
Companies dealing with cryptocurrencies are also subject to anti-money laundering rules.
If you start an NZ crypto trading platform, our team can help you with the registration process, which can be seen as the equivalent of applying for and obtaining a crypto exchange license in New Zealand.
Cryptocurrencies are not legal tender in New Zealand and thus are not regulated as such.
Other conditions can apply for initial coin offerings (ICOs) that involve crypto assets classified as financial products.
Our team can give you more details on the Financial Markets Authority Act of 2013 which includes relevant provisions about crypto assets.
Contact us if you want to open a cryptocurrency company in New Zealand.
Our company formation agents will answer any questions and will assist you throughout the registration process.