Best setup for crypto trading/staking

[Battura]

Apologies, I know this question is asked a lot, but I haven't found an answer that suits me.

I'm a non-US person, non-dom in my country of residence and I would like to set up an offshore company for crypto staking and trading. I will loan the company the initial trading capital as either fiat or crypto.

Profits from the trading activities need to be withdrawn as stables and converted to fiat on an exchange, so crypto-friendly banking is necessary.

Other than the offshore setup, which is tax-beneficial as a non-dom, my main goal is to reduce the accounting burden of 1000s of trading-relating transactions, converting between cryptos, calculating capital gains, and so forth.

I've considered these options:

• A Wyoming LLC sounds like the cheapest and easiest option so far. But I can't find much information about what depth of record keeping would be required or if it's enough for the IRS just to record fiat in/out and payments from the LLC to myself as a nonresident. And the US seems shaky on the crypto regulation front so I would be worried about needing to shut the business down or ending up in trouble with the IRS later down the line because of something I did incorrectly.
• A UK LLP would be another option but I don't like the fact that the company register is public. Also unclear about the level of the accounting required.
• Cyprus crypto banking seems impossible.
• Singapore feels like overkill and the banking situation also seems difficult.
• UAE is expensive and I don't want to go there so banking is impossible. Crypto trading might require a license.

Am I missing anything with these options? Does a better setup exist?

 

[CyprusLawyer101]

Hqve you considered your tax implications when lending the company in fiat/crypto?

To the rest of your queries , my two cents:

You say cryptobanking in Cyprus seems impossible, however it does not mean that having a Cyprus company you cannot use a bank abroad.
For accounting there are ways to create an automatic/semi-automatic process and save on accounting fees on the thousands of transactions.

Last edited: Mar 14, 2022

 

[blizz]

CyprusLawyer101 said:
For accounting there are ways to create an automatic/semi-automatic process and save on accounting fees on the thousands of transactions.
Click to expand...

can you elaborate and tell me what that would be? if someone is looking for an almost handsfree accounting and tax filing?

What banking abroad would you suggest for a Cyprus company if you need to exchange crypto coins to FIAT and transfer the FIAT to a bank or neobank account?

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[CyprusLawyer101]

blizz said:
can you elaborate and tell me what that would be? if someone is looking for an almost handsfree accounting and tax filing?



What banking abroad would you suggest for a Cyprus company if you need to exchange crypto coins to FIAT and transfer the FIAT to a bank or neobank account?
Click to expand...

ARE YOU HANDLING A LOT OD TRANSACTIONS ? IN THE HUNDREDS OR MILLIONS? WHERE DO YOU RECORD THEM ? IN ANY FILE ? LIKE AN EXPORTABLE EXCEL OR SIMILAR?

THERE ARE BANKS OUT THERE READY TO DO AN OTC TRANSACTION OF YOUR CRYPTO TO FIAT AND THEN DEPOSIT THE FIAT TO YOUR ACCOUNT OPENNED WITH THEM. THEREAFTER YOU CAN TRANSFER OUT IF YOU WISH.

 

[aage]

someone got mad here, writing in capital letters only 😛