Quick question

Question: Is a cryptocurrency consulting and or managing a client’s crypto portfolio for a fee, legal in the US? A crypto advisor/consultant under a LLC. If so, what licensing is needed and what are the rules and regulations behind that.

Thank you!

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3 thoughts on “Quick question”

  1. Yes its legal but you need a RIA license to manage, for consulting you dont need anything. Of course the fees you are paid arent deductible for the client.

    Would advice against this as most RIA pay insurance to cover potential mistakes & lawsuits (worth it).
    You cant be insured for crypto investing

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  2. Many projects are actually helping out in this regards maybe you can take at look at them Fireblocks, Scallop and UnidoEP!

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  3. I’m trying to do the exact same thing and spoke with a lawyer. It’s a gray area but sounds like you do need some licensing. Either way I set up an LLC in Wyoming (crypto friendly) and have business partners that I can invest their funds. I need to talk to another lawyer about making it a hedge fund to accept other people’s funds and have an operating agreement.

    Let me know what you find out since we can benefit from helping each other.

    Does anyone know of crypto insurance companies? I know of Bright Union, insurace, and Nexus Mutual. Each offers insurance on specific protocols but I’m hoping to find something that can give umbrella coverages.

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