Crypto Consultant Advocates International Businesses Relocate to Wyoming | Current edition

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LARAMIE — A British international technology lawyer advocates that global blockchain, crypto and digital asset companies and startups consider Wyoming as a location for their businesses.

Cal Evans, CEO and Founder of Fortune Wallet, offered his perspective on why the state should be considered a hotbed for international businesses, during the recent Wyoming Blockchain Stampede and Wyohackathon held from 21 September 26 at the University of Wyoming.

Evans said startups and existing companies involved in cryptocurrency and decentralized finance (DeFi), ask him where they should be based and where they should do business.

“I’m going to talk about Wyoming today because it’s damn good,” Evans said.

Evans said he advises startups and existing businesses that there “is no magic glove” or “one size fits all.” Companies need to look at everything from shareholders to dividends, from taxation to management.

“What do crypto companies really want? Evans asked his session audience. “Having worked with many of them, I can safely say that they really want a regulatory framework where they don’t have to look over their shoulder.”

He cited a 2019 cryptocurrency survey reported by Crypto Daily, which found that most respondents expressed a desire for greater regulatory certainty, with 89% wanting some sort of license. {%%note} {/%%note}

Governments around the world have been inconsistent or non-existent with licensing efforts, Evans said, making it difficult for companies to choose a location from which to operate. Citing Malta as an example, he said the country was among the first to introduce a licensing framework in 2018.

“They were going to license companies,” Evans said. “They were going to give everyone a home. Let me ask a question. Who knows how many licenses were issued in Malta today? None. And believe me, I’ve helped businesses move out of Malta after spending hundreds of thousands of dollars trying to get a license. It’s shocking.

He cited another example of a new licensing process by the UK’s Financial Conduct Authority (FCA) that he helped the agency draft. The process provides a framework for how businesses should operate and interact.

“We are currently going through a really problematic situation where the FCA is encouraging companies to withdraw their applications because they do not meet the criteria, even though, I emphasize, there are no criteria as to what constitutes a company .”

In addition to confusing or non-existent regulations, Evans said companies have to consider various tax requirements.

“The reality is that the flexibility is not there,” he said of regulations trying to cope with the rapidly changing digital economy.

“We’re in one of the most flexible industries that’s able to diversify very quickly into its technology sector,” Evans said. “We weren’t talking about NFTs (non-fungible tokens) to any real extent five years ago, (or) four years ago. It’s the only thing people talk about now.

“Wyoming is a great choice,” Evans said. “He is flexible, and he has a logical legislature. Let’s be honest, it’s kind of a kick, just when you look at what other states are doing, when you look at what other countries are doing, they really have a consultative approach.

Evans said he saw this consultative approach during the Wyoming Legislature Select Committee Meeting on Blockchain, Fintech, and Digital Innovation held during the Wyoming Blockchain Stampede.

“You only have to look at the conversations that took place on the committee to understand how different they are from other places,” Evans said.

He called Wyoming’s corporate structure “exceptional” for digital businesses.

“The flexibility, ease of structure, ease of maintenance, and options you have (in Wyoming) surpasses every other state in the country,” Evans said.

He said the state has an easy-to-use tax system, banking guidelines, and custodial laws for crypto business that are “fantastic for businesses working in Wyoming and businesses that have just been domiciled in Wyoming”.

Wyoming’s groundbreaking 2021 law establishing the ability for businesses to form as DAOs (Decentralized Autonomous Organizations) is “incredible.”

“Companies are jumping on it,” Evans said. “It’s the first place that’s ever invented an actual legal entity that people can reference as a DAO and operate as a DAO. It is recognizable in the international market, no matter what people think or feel.

The DAO Act has attracted businesses from around the world to domicile in Wyoming, giving the state and the nation a positive international reputation.

As someone who works with crypto and other digital businesses around the world, Evans said Wyoming simplifies many business tasks that are difficult to accomplish in other countries.

“You can show ownership very easily, very effectively, and that helps you in an international market,” he said. “And of course, best for last – the custody and banking laws they created for the crypto industry are exceptional. The things you can do here as a crypto business far exceed many other places in the world.

The last thing Evans listed for a company considering Wyoming isn’t in regulation, cryptocurrency, or blockchain. It is the hospitality he finds in the state.

“Let’s be honest, Wyoming is a hell of a place, isn’t it?” he said. ” It’s awesome. Every time I come here I feel welcome anytime. Everyone I know who has been here before feels welcome. It’s a great place to be.

Wyoming faces challenges in areas of federal tax policy and labor availability, Evans said in a follow-up email interview.

From an international perspective, the only real hurdle for companies looking to relocate to Wyoming is the federal corporate tax.

“Although it’s currently at its lowest rate in years, many people are noticing that the federal government’s willingness to change the rate with nearly every jurisdiction is causing great uncertainty,” Evans said. “Especially, considering the alarming rate changes – sometimes around 9%. On the international scene, this represents an alarming change.

Having an available workforce compared to more urban areas is another challenge in attracting business, Evans said. From a practical standpoint, he said that means many companies struggle to recruit “one-of-a-kind” talent, such as developers and coders.

“Still, it’s worth stopping and asking if in a remote post-COVID world, that’s really a major hurdle,” Evans said.

Nationally, Evans said there are other examples in the United States of states seeking to follow Wyoming’s blockchain and crypto framework, particularly with respect to custody laws.

“Internationally, many have looked to Wyoming as a prime example of how well crypto can be regulated while maintaining a good level of ‘freedom,'” Evans said. “The most impressive thing about Wyoming’s legal framework, on the international stage, is that it strikes a fantastic balance between protection – the purpose of laws – and freedom – the purpose of business. For these reasons, I have seen Wyoming law cited in many different countries when debating amendments or developments to their crypto and blockchain laws.

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