Nestled at the crossroads of Europe and Asia, Georgia is gaining international attention as a hub for emerging digital industries — especially in the cryptocurrency sector. Among its various innovations, the Tbilisi Free Zone (TFZ) stands out as an attractive option for individuals and businesses seeking to obtain a crypto license in a favorable regulatory and tax environment.
This article provides a comprehensive, step-by-step guide on how to get a crypto license in the Tbilisi Free Zone. Whether you’re a startup owner, entrepreneur, or investor, here’s everything you need to know to make your application process smooth, compliant, and successful.
Why Choose Tbilisi Free Zone for Your Crypto Business?
The Tbilisi Free Zone offers a range of benefits that make it one of the most appealing destinations for crypto ventures in Eastern Europe and the Caucasus region. These include:
- Tax incentives: Enjoy 0% corporate tax and 0% VAT for Free Zone-registered companies.
- Simplified regulatory environment: Georgia has a business-friendly approach and is not yet burdened by complex crypto regulations.
- International recognition: Georgia ranks highly in global ease-of-doing-business indexes.
- Full foreign ownership: Foreign nationals can own 100% of a company in the Free Zone.
- Banking and financial support: Access to a growing number of local and international banks willing to work with crypto businesses.
Step-by-Step Process to Obtain a Crypto License
While Georgia does not issue a specific “crypto license” like some other jurisdictions, setting up a registered company in the Tbilisi Free Zone allows you to lawfully operate a crypto business, provided you comply with financial and AML standards. Here is a step-by-step breakdown:
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Choose Your Business Structure
Most crypto enterprises register as Limited Liability Companies (LLCs) in Georgia. This structure provides flexibility and limited liability for shareholders. -
Incorporate the Company in TFZ
Through the Tbilisi Free Zone’s official administration, you’ll need to submit the required documentation, which typically includes:- Passport copies of shareholders and directors
- Business plan and operational scope
- Proof of registered address in the Free Zone
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Apply for a Business Activity Permit
When your business includes crypto asset trading, wallet services, or blockchain development, obtain a business activity permit aligned with those functions. -
Register with Tax Authorities
While Free Zone companies benefit from significant tax relief, it is still mandatory to register with the Revenue Service of Georgia and maintain basic reporting standards. -
Comply with Anti-Money Laundering Laws
Georgia has adopted basic AML/KYC policies aligned with FATF guidelines. Ensure your business implements identity verification and transaction monitoring mechanisms.
Estimated Costs and Timeline
Setting up a crypto company in TFZ is not only straightforward but also relatively affordable compared to other jurisdictions like Estonia or Singapore. While costs may vary based on legal advisors and services, here is a rough breakdown:
- Company registration: $1,000 – $2,000
- Legal fees: $2,000 – $5,000
- Registered office and nominee services (optional): $1,500 – $3,000 annually
- Bank account setup: $500 – $1,500
The total process typically takes between 2 to 4 weeks, provided all documentation is in order.
Ongoing Compliance and Reporting
After successful registration, it’s vital to maintain compliance with Georgian law. While TFZ has relaxed rules, you should be aware of:
- Annual audit requirements for some business types
- Basic bookkeeping and regular financial statements
- AML procedures including customer data retention and suspicious transaction reporting
Conclusion
Getting a crypto license through the Tbilisi Free Zone is a smart move for forward-thinking businesses. Georgia’s advantageous tax policies, minimal bureaucracy, and strategic location make it an excellent gateway to both European and Asian markets. By following the proper steps and partnering with experienced local consultants, you can launch your crypto enterprise with confidence and legal stability.
Whether you’re planning to run a crypto exchange, offer digital wallets, or build blockchain infrastructure, setting up in the TFZ could be the strategic edge your project needs.