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Obtaining CASP in Austria
As everyone who follows the status of digital assets in the European Union knows, the cryptocurrency market in Europe continues to develop actively, and Austria, in particular, occupies one of the leading places among EU countries that provide a transparent and understandable legal framework for activities in the field of digital assets.
Yes, to legally provide services related to cryptocurrencies and other virtual assets in Austria, it is necessary to obtain CASP (Crypto-Asset Service Provider) status.
Our team at the Law Firm “Prikhodko and Partners” provides support in the process of obtaining a CASP license at all possible stages, namely: from the preliminary analysis of the project to successful registration with the Austrian regulator.
What is CASP and why is it important?
CASP — This is an official status that allows a company, in our case in Austria, to legally conduct transactions with cryptocurrencies, tokens, and other virtual assets.
This status is regulated within the framework of national legislation and European Union regulations (in particular, the MiCA Regulation, which is gradually being implemented in EU member states).
Without proper registration, any activity related to the exchange, storage, or management of crypto assets is considered illegal and can result in significant fines and blocking of activities.
Who should obtain CASP status in Austria?
Registration as a CASP is mandatory for companies that provide at least one of the following types of services:
- Exchange of virtual assets for fiat currencies or vice versa;
- Exchange of crypto assets among themselves;
- Storage of cryptocurrencies on behalf of clients (custodial services);
- Cryptocurrency wallet management;
- Conducting ICO, IEO or other methods of public token placement;
- Providing advice or investment services in the field of virtual assets.
The difference between CASP and VASP: what you need to know
It should be noted that before the implementation of the MiCA (Markets in Crypto-Assets Regulation) in Austria and other EU countries, the main legal status for companies working with cryptocurrencies was VASP (Virtual Asset Service Provider).
VASP covered the same core business areas as CASP, but had a national regulatory framework. In Austria, VASP registration was carried out by the FMA, allowing it to operate within the Austrian market while complying with local AML/KYC requirements.
CASP — this is already a European standard, which is being implemented thanks to MiCA.
Its key differences:
- Single regulation for all EU countries — CASP obtained in Austria gives you the right to work throughout Europe without additional licenses in each state.
- Stricter requirements for capital, compliance and corporate governance.
- Extended list of services and more detailed requirements for each of them.
- Enhanced control over consumer protection.
In other words, VASP is a preliminary stage, and CASP is the next, EU-harmonized regulatory format.
Main legislative requirements and regulation
In Austria, the FMA (Financial Market Authority) regulates CASP activities.
To obtain the status of a crypto-asset service provider, the applicant must meet the requirements set out in Austrian law, including:
- Legal form of the company — GmbH (analogous to Ukrainian LLC) or AG is most often used.
- Local office and director — a real legal address in Austria and at least one EU resident director are required.
- Qualified personnel — the presence of specialists with proven experience in finance, cryptocurrencies, or compliance.
- AML/KYC compliance — development and implementation of internal policies to combat money laundering and terrorist financing.
- Reputational requirements — the owners and managers of the company must have an impeccable business reputation, no criminal records or bankruptcies.
- Financial stability — confirmation of sufficient capital to carry out the declared activity.
Steps to obtain CASP in Austria
We offer a full range of services, including:
- Analysis of the client’s business model — determining the compliance of activities with CASP requirements, choosing the optimal organizational and legal form.
- Company registration in Austria — preparation of constituent documents, registration in the commercial register (Firmenbuch), opening a bank account.
- Preparation of AML/KYC documentation — development of internal policies and procedures, instructions for employees, reporting forms.
- Preparation and submission of a package of documents to the FMA — forming an application, preparing an explanatory note on activities, providing information on the ownership structure.
- Communication with the regulator — responses to inquiries, clarifications and amendments to submitted materials.
- Obtaining permission and registration in the official CASP registry — inclusion of the company in the public list of crypto-asset service providers.
Benefits of obtaining a CASP in Austria
- Legal activity throughout the EU — the Austrian license is recognized in other European Union countries.
- High level of trust — banks, investors, and partners perceive regulated companies positively.
- Stable regulatory environment — Austria is known for its predictable financial policy.
- Ability to scale your business — entering new markets and attracting international clients.
What should companies that currently have VASPs in Austria do?
If your company is already registered as a VASP in Austria, please note that once MiCA is fully implemented, the national VASP registers will cease to exist in their current form. You will need to re-register as a CASP to continue your business.
Key steps for such companies:
- Evaluate current activities — whether all services comply with the new MiCA and FMA requirements.
- Conduct an audit of internal AML/KYC policies — MiCA provides for enhanced standards and detailed transaction monitoring procedures.
- Check corporate structure — CASP may have additional requirements for director residency, financial performance, and ownership transparency.
- Prepare a package of documents for FMA — this is actually an updated application that will comply with new regulatory requirements.
- Submit documents on time — The FMA sets specific transitional deadlines, the failure to which may result in the loss of the right to operate.
Conclusion
Considering all of the above, we can note that obtaining a CASP in Austria is not just a formality, but a complex process that requires a clear understanding of legislative requirements, preparation of documents, and building a reliable compliance system.
The right approach to this process opens up broad opportunities for companies to operate in the European cryptocurrency market, increases the trust of investors and partners, and also allows them to avoid legal risks in the future.
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