Best Setup/ bank account for trading bitcoin across different continental markets

[Deanalyst]

I'm a non EEA/ UK/ US resident and
Im looking to setup a company/bank accounts that I can use to buy and arbitrage bitcoin from exchanges in the uk (kraken, luno , etc)/EU via Sepa/swift transfers or other faster bank transfer method and sell on localbitcoin and in other jurisdictions where its profitable at that time for example Africa

An example of the activity would be:

1) i buy 5000€/£ worth of btc in Kraken or on lun.o uk

2) Then sell those at a price of 5100€/£ on Localbitcoins.com (to one or many traders) or on an exchange in Africa So 100€ profit.

3) I buy again on kraken or on luno UK and repeat the process.

I intend to reinvest profits and compound my capital daily and start taking profits out later after paying corporate taxes.

My questions are:

1) What is the best incorporation setup/jurisdiction and bank account that would let me buy volumes daily ( up to 10 btc or more daily ).

2) How to remit liquidity from the African market im selling to back to my EU/UK bank account as fast as possible after selling there

3) tax planning

4) Do I need a license for this ?

I was thinking to setup an LLC in the UK but I'm looking for the best options possible



Looking forward to your replies

 

[CaptK]

Any of the EU countries are ok for set up initially like UK.

It's your bank/EMI that could give you headache. Look at Wirex, SEBA or AdvCash.

Remitting back is the biggest headache cos the fees are the problem.

Tax planning can be done in a multitude of ways but you require decent revenue first.

You are simply buying and selling and crypto at this level is not regulated.

 

[Martin Everson]

Deanalyst said:
1) What is the best incorporation setup/jurisdiction and bank account that would let me buy volumes daily ( up to 10 btc or more daily ).
Click to expand...

No company needed you can start using a personal account and wirexapp and luno account.

Deanalyst said:
2) How to remit liquidity from the African market im selling to back to my EU/UK bank account as fast as possible after selling there
Click to expand...

Lets say your selling in Nigeria market. You need a Naira account in Nigeria which you then link to your Luno account. To get a Naira Luno account you need to someone to be resident in Nigeria as Luno don't offer funding in Naira to ppl resident outside Nigeria. Then you get clients to send the money to your personal account in Nigeria and then you wire funds to Luno account in Naira to repurchase your sold crypto immediately and send to wirexapp to liquidate to fiat. Ideally you want o liquidate through as many crypto wallets as possible to spread the volume outside of luno. The same principle can apply to different African markets. You can even use localbitcoin services outside Luno to do it.

Deanalyst said:
3) tax planning
Click to expand...

When you actually have volume move to Dubai. There are literally dozens of people and some doing $4-6m a year each in turnover in the Nigerian Naira crypto reselling business alone from their flats in Dubai tax free using personal accounts.

Deanalyst said:
4) Do I need a license for this ?
Click to expand...

If you live in country where you are taxed then thats another discussion. Best to relocate to a tax free country and operate offshore from there. The key is to spread the business volume wide and far.

Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[Deanalyst]

Martin Everson said:
No company needed you can start using a personal account and wirexapp and luno account.



Lets say your selling in Nigeria market. You need a Naira account in Nigeria which you then link to your Luno account. To get a Naira Luno account you need to someone to be resident in Nigeria as Luno don't offer funding in Naira to ppl resident outside Nigeria. Then you get clients to send the money to your personal account in Nigeria and then you wire funds to Luno account in Naira to repurchase your sold crypto immediately and send to wirexapp to liquidate to fiat. Ideally you want o liquidate through as many crypto wallets as possible to spread the volume outside of luno. The same principle can apply to different African markets. You can even use localbitcoin services outside Luno to do it.



When you actually have volume move to Dubai. There are literally dozens of people and some doing $4-6m a year each in turnover in the Nigerian Naira crypto reselling business alone from their flats in Dubai tax free using personal accounts.



If you live in country where you are taxed then thats another discussion. Best to relocate to a tax free country and operate offshore from there. The key is to spread the business volume wide and far.
Click to expand...

Thank you for finding time to reply

I have been selling informally and on/ off exchanges for a few years and competition is getting fierce hence the need to create a blue ocean for myself and also to scale this up

Hence the need to explore arbitrage in other markets , leverage exchange rate fluctuations and scale once I have a working setup.

I'm Nigerian and I have that end taken care of


Please can you give more clarifications about this

"Ideally you want to liquidate through as many crypto wallets as possible to spread the volume outside of luno."

Apart from wirexapp, which other crypto to fiat services can i use to liquidate the crypto after buying from luno

My questions are

1) are there any limitations to using the wirexapp as a Nigerian and would I be able to scale my transaction volumes to over $100,000 on some days

2) can I receive eur/Gbp payments from localbitcoin traders without issues with this



PS:

"When you actually have volume move to Dubai. There are literally dozens of people and some doing $4-6m a year each in turnover in the Nigerian Naira crypto reselling business alone from their flats in Dubai tax free using personal accounts."

I really don't mind setting up a company if I can scale way beyond these numbers annually

Can I pm you?

 

[Deanalyst]

CaptK said:
Any of the EU countries are ok for set up initially like UK.

It's your bank/EMI that could give you headache. Look at Wirex, SEBA or AdvCash.

Remitting back is the biggest headache cos the fees are the problem.

Tax planning can be done in a multitude of ways but you require decent revenue first.

You are simply buying and selling and crypto at this level is not regulated.
Click to expand...

Thanks, this was enlightening

 

[Deanalyst]

.

 

[Martin Everson]

Deanalyst said:
I'm Nigerian and I have that end taken care of
Click to expand...

I kind of guessed that. You must be Igbo as they are the entrepreneurs.

Deanalyst said:
Apart from wirexapp, which other crypto to fiat services can i use to liquidate the crypto after buying from luno
Click to expand...

Go into your phones Apple store or Google Play store and search for wirexapp. Then check the list of similar apps i.e crypterium, C.pay, Tenx, Xapo that are listed under the results to find alternatives.

Deanalyst said:
1) are there any limitations to using the wirexapp as a Nigerian and would I be able to scale my transaction volumes to over $100,000 on some days
Click to expand...

wirexapp won't give you a prepaid debit card if your in Nigeria. But Nigeria clients are listed as accepted clients and are welcomed. Crypto is a big market in Nigeria due to capital controls in Nigeria. The currency black market in Nigeria is HUGE and so is crypto!!!!

https://wirexapp.com/help/article/the-list-of-supported-countries-0027
They have no transaction limits however for wire transfers in and out its $500,000 a day limit in total.

Deanalyst said:
2) can I receive eur/Gbp payments from localbitcoin traders without issues with this
Click to expand...

No don't send thirdparty money to wirexapp.

You can use Binance P2P service also to sell. There are people there already selling Bitcoin for NGN wire transfers or EUR/GBP.

https://p2p.binance.com/en/trade/buy/BTC

Deanalyst said:
I really don't mind setting up a company if I can scale way beyond these numbers annually
Click to expand...

If you can then thats good.

Deanalyst said:
Can I pm you?
Click to expand...

Ok but no time wasting please.

Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.