CASPCrypto License in Czech Republic

From 30 December 2024, the EU’s Markets in Crypto-Assets Regulation (MiCA) applies directly in the Czech Republic. Virtual-asset businesses that formerly relied on a simple trade licence must now obtain a Crypto-Asset Service Provider (CASP) authorisation from the Czech National Bank (ČNB), with oversight by the Financial Analytical Office (FAÚ). Existing VASPs may operate only until 31 July 2025 unless they file a CASP application by that date; those that apply on time can continue until a decision is reached, but no later than 1 July 2026. 

Why choose the Czech Republic?

• Established crypto community – Prague hosts one of Europe’s oldest Bitcoin hubs and a dense network of blockchain developers. 
• Clear transitional rules – precise deadlines give firms certainty when planning their MiCA migration. 
• Liberal regulatory stance – the ČNB views most crypto activity as unregulated unless it falls under AML, payment or securities law, supporting innovation while maintaining safeguards. 
• EU passporting – a Czech CASP licence allows services to be offered across all 27 EU member states without extra authorisations. 
• Favourable tax system – 19 % corporate income tax; no withholding on reinvested profits until distribution.

Services that require a CASP licence

Under MiCA, a licence is mandatory for any firm that:
• Safeguards private keys or operates custodial wallets
• Exchanges crypto-assets for fiat or other crypto­-assets
• Executes or transmits client orders, operates a trading platform, or places crypto-asset issues
• Provides portfolio management or investment advice on crypto-assets
• Offers crypto-asset issuance or lending services

Key licensing requirements

• Local presence – Czech limited company (s.r.o. or a.s.) with registered office and at least one EU-resident director.
• Capital thresholds –
• €125 000: custody or exchange services
• €150 000–€350 000: trading-platform operation or multiple high-risk services 
• Fit-and-proper management – clean criminal records for UBOs and directors; professional competence in finance, compliance and ICT.
• AML / CFT – written policies, transaction monitoring, sanctions screening and Travel-Rule compliance; contact person registered with FAÚ must file suspicious-transaction reports within 24 hours. 
• ICT & operational resilience – procedures aligned with DORA for incident response, data security and outsourcing oversight.

Application process & timeline

• Step 1: Trade-licence upgrade – convert existing trade licence (if any) into a CASP application dossier.
• Step 2: Pre-filing with ČNB – submit draft documents for completeness check.
• Step 3: Formal submission – ČNB has 25 working days to confirm completeness and 40 working days to decide, subject to suspensions for additional information.
• Overall duration – 4–8 months, provided policies and substance are in place. 

Ongoing obligations

• Maintain minimum capital and liquidity on a rolling basis.
• Annual audit and compliance report to ČNB and FAÚ.
• Five-year record retention for KYC files and transaction logs.
• Real-time suspicious-activity reporting via FAÚ portal. 

How Demire Inc supports your Czech launch

Ready to secure your Czech CASP licence and access the entire EU market? Contact Demire Inc for a streamlined, remote-first licensing solution.