VASP registration is mandatory for all entities engaged in intermediary activity in the field of virtual assets, including cryptocurrency exchanges and other virtual asset service providers.
Who Needs VASP Status
- Cryptocurrency exchanges.
- Providers of crypto-to-fiat and fiat-to-crypto conversion services.
- Operators of payment and settlement operations involving virtual assets.
- Other intermediaries in the virtual asset space.
Legal Form Requirements
- Only a limited liability company (LLC) or joint stock company (JSC) registered in Georgia may provide virtual asset services.
- Sole proprietors (individual entrepreneurs) are prohibited from operating in this sector.
- Registration with the National Bank of Georgia is mandatory (or membership as a representative of the financial sector).
Operating Rules
- Providing services through agents (third parties acting on behalf of the VASP) is prohibited.
- Lending virtual assets is prohibited.
- Service fees may be charged in Georgian Lari or in the virtual assets that are the subject of the services provided.
- The VASP's head office must be located in Georgia.
- The person responsible for the VASP must remain in Georgia for at least 14 days per month.
Registration Documents
Obtaining authorisation from the National Bank of Georgia requires a comprehensive package of documents and completion of multiple application forms. The specific list depends on the type of activity.
Registration Process
- Incorporate an LLC or JSC in Georgia.
- Open a corporate bank account.
- Prepare the document package in accordance with NBG requirements.
- Submit the application to the National Bank of Georgia.
- Application review; additional materials may be requested.