Creation of a crypto fund

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Establishing a cryptocurrency investment fund is a simplified way to generate profits with minimal risk, especially for beginning investors. By leveraging existing structures and regulatory frameworks, fund founders can avoid costly market research while gaining access to global financial markets. Selecting the right company type, the right jurisdiction, obtaining a license, and preparing the necessary documentation—each of these steps is key to legal compliance and sustainable development. Jurisdictions such as the Cayman Islands and Singapore offer attractive conditions for launching and scaling a crypto fund.

Advantages

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    Does not require additional market research, saves your time and resources;

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    One of the opportunities to make a profit while minimizing risks;

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    A chance to invest for beginning investors.

Steps

01

Decide on the type of company.

Select the most appropriate business management structure (LLP or Ltd), its internal policies, investment attraction and settlement procedures.

02

Register a company

To open a cryptocurrency fund, it is necessary to register a legal entity in the most favorable jurisdiction based on relevant regulatory and tax provisions. The next step involves familiarizing yourself with the current legislation of the potential country of incorporation, developing and coordinating the appropriate legal documentation for the fund, defining the key components of the fund, and resolving any issues that may arise related to the fund, including those related to intellectual property.

03

Obtaining a license

Each country has its own legal framework, which must be familiarized with to avoid penalties and other liability. In most countries, working with cryptocurrencies requires a license, the type and procedure of which depend on a number of factors.

Documents we can prepare for you:

  • Legal entity incorporation documents
    Investment management agreement
    Management agreement if the fund is managed by a third party
    Service agreements with administrators, auditors, custodians, brokers, etc.
    Private placement memorandum
    Deposit agreement
  • 01

    Decide on the type of company.

    Select the most appropriate business management structure (LLP or Ltd), its internal policies, investment attraction and settlement procedures.

  • 02

    Register a company

    To open a cryptocurrency fund, it is necessary to register a legal entity in the most favorable jurisdiction based on relevant regulatory and tax provisions. The next step involves familiarizing yourself with the current legislation of the potential country of incorporation, developing and coordinating the appropriate legal documentation for the fund, defining the key components of the fund, and resolving any issues that may arise related to the fund, including those related to intellectual property.

  • 03

    Obtaining a license

    Each country has its own legal framework, which must be familiarized with to avoid penalties and other liability. In most countries, working with cryptocurrencies requires a license, the type and procedure of which depend on a number of factors.

    Documents we can prepare for you:

    • Legal entity incorporation documents
      Investment management agreement
      Management agreement if the fund is managed by a third party
      Service agreements with administrators, auditors, custodians, brokers, etc.
      Private placement memorandum
      Deposit agreement

Why is the Cayman Islands an attractive location for a crypto fund?

Cryptoasset funds are currently located in the Cayman Islands, so the question arises: what makes this jurisdiction attractive to crypto funds? The answer is tax regulations. Tax efficiency is explained by the fact that there is no income tax, corporate tax, or real estate duty, and the Cayman Islands is not a party to any double taxation treaties with any other country. The process for setting up a fund in the Cayman Islands is simplified compared to other jurisdictions. Closed-end funds are not subject to regulation at all.

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