Financial
Real & Physical
Case study
MONETARY CENTRAL HOLDINGS LTD
Services Provided: Full turnkey MSB setup in Canada with FINTRAC registration, AML/KYC policies, corporate restructuring, and banking advisory support.
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Crypto License
Crypto License in Canada
Plan FINTRAC registration for your crypto business in Canada
Service Snapshot
Regulatory & Service Snapshot
Gofaizen & Sherle assesses your operations in or serving Canada and prepares agreed applications. The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) registers businesses for anti-money laundering and anti-terrorist financing (AML/ATF) purposes. It issues no licenses.
- Route Assessment based on your activities
- Authority FINTRAC for the federal route
- Applicant Operators offering covered virtual currency services
- Output Written route assessment and application assistance
- Extra Checks Securities, payments, provincial rules, banking and tax
- Timing Basis Preparation plus regulator and provider reviews
- Pricing Basis Quote after assessment
Is Canada The Right Fit for Your Business
May fit
- You exchange or transfer client funds with Canadian connections.
- Your business has no place of business in Canada, but you market crypto exchange or transfer services to Canadian customers and provide those services to them.
- You process crypto payments for other businesses by receiving funds from their customers and forwarding them to the merchants.
May fall outside
- You provide software without performing covered services.
- You buy and sell crypto only for your company’s own account and do not offer exchange or transfer services to clients.
- You accept crypto only as payment for your own goods or services.
Which Regulatory Route Applies?
A Canadian money services business (MSB) offers covered services and has a place of business in Canada.
A foreign MSB (FMSB) must meet all four conditions:
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Offer covered services.
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Have no Canadian place of business.
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Direct services at people or entities in Canada.
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Actually provide them to clients there.
Exceptions
Exceptions may apply to agents and businesses already regulated under another reporting category.
| Activity | Canada Nexus | Authority | Regulatory Output |
|---|---|---|---|
| Covered money services | Canadian place of business | FINTRAC | Canadian MSB registration |
| Covered money services from abroad | Direction and provision to Canadian clients; | FINTRAC | FMSB registration. |
| Investment-dealer trading platform | Relevant provinces | Securities regulators and CIRO | Registration or regulatory relief plus membership |
| Covered payment function | Canadian place of business, or services directed at and performed for end users in Canada | Bank of Canada | Regulatory Output: Retail Payment Activities Act (RPAA) registration. |
CIRO is the Canadian Investment Regulatory Organization. Crypto platforms that trade securities or derivatives, including certain crypto contracts, are expected to register as investment dealers and become CIRO members. This process is separate from FINTRAC MSB registration.
The payment test requires a payment service provider (PSP) function, an electronic funds transfer in government-issued money or a prescribed unit, the Canadian connection shown above, and no applicable exclusion. The MSB license in Canada service addresses the registration route.
What Gofaizen & Sherle Will Handle
Our crypto licensing and legal services can include:
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Assessment & Strategy
- A written assessment and recommended route
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Corporate Structuring
- Coordinating the corporate structure where needed
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Compliance Documentation
- AML/ATF documentation
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Application & Support
- Application preparation and help answering regulator questions
Scope and Cost
FINTRAC’s registration fee is zero. Professional fees follow assessment.
MSB LICENSE + RPAA REGISTRATION
With registering a company in Canada and compliance under the Retail Payment Activities Act
$27,200
- Dedicated consultant with Fully personalized support
- Full turnkey company formation assistance
- Choice of company name
- Development of individual AML/KYC Policy (aligned with Bank of Canada & RPAA compliance)
- Registration as a Retail Payment Service Provider with the Bank of Canada
- Corporate documents
- Corporate bank account assistance
- Drafting and implementation of operational policies (risk management, incident response, safeguarding user Funds)
- Handling the communication with Financial Transactions and Reports Analysis Center (FINTRAC)
- Handling all communications with the Bank of Canada
- Appointment of a Chief Compliance Officer *
MSB LICENSE
With registering a company in Canada
$13,000 $15,100 with corporate bank account opening
- Dedicated consultant with the fully provided individual approach
- Full turnkey company formation assistance
- Company name of your choice
- Individual AML/KYC Policy
- Registration of the activities within FINTRAC
- Corporate documents
- Handling the communication with Financial Transactions and Reports Analysis Center (FINTRAC)
- Appointment of a Chief Compliance Officer *
FMSB LICENSE
Getting the MSB lisence on the already operating company in foreign country
$9,800
- Dedicated consultant with the fully provided individual approach
- Registration of the activities within FINTRAC
- Individual AML/KYC Policy
*Additional service fee will apply on a monthly basis
How the Process Works
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Choose the Registration Route
You describe the services you plan to offer. Gofaizen & Sherle assesses which route applies and agrees with you on the work involved.
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Prepare the Application
You provide the supporting documents and put the required compliance controls in place. Gofaizen & Sherle prepares the agreed application materials.
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Submit to FINTRAC
You complete pre-registration. Once FINTRAC sends you the registration form, you submit it with your supporting documents.
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Respond to FINTRAC
If FINTRAC asks for clarification or closes an incomplete file, Gofaizen & Sherle helps you respond or resubmit as directed.
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Start Operations
You can start the relevant activities once FINTRAC confirms your registration and you have any other permissions those activities require.
What We Need From You
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Business Model
Describe your services, the markets you plan to serve, who holds customer assets, how funds move, and your expected transaction volumes.
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Company and Ownership
Share your company details and documents showing who owns and manages it. Include your business locations and, where applicable, details of your agents and banking arrangements.
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Compliance Officer and Canadian Representative
Name your compliance officer. He does not necessarily have to live in Canada. If you apply as a foreign money services business (FMSB), name a Canadian resident representative to receive official notices. Your company remains responsible for compliance.
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Criminal Record Checks
Provide checks for the CEO, president, directors, and anyone who owns or controls at least 20% of the company. The checks must have been issued within six months before submission. Certified translations into English or French may be required.
Why Gofaizen & Sherle?
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Project assessment
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Structuring & Classification
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Documentation
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Implementation support
Timeline and Dependencies
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Preparation Phase
Preparation time is estimated once we agree on the work.
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FINTRAC Processing
FINTRAC says it processes most applications within three months of receiving a complete package.
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Dependencies & Delays
Complex cases may take longer. Collecting documents and other regulator or provider reviews add time.
Regulatory Framework
The Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) establishes the federal framework supervised by FINTRAC.
Provincial securities law governs relevant crypto assets and operations through Canadian Securities Administrators (CSA) members. CIRO handles the relevant investment-dealer membership route. The RPAA assigns payment supervision to the Bank of Canada.
Provincial Requirements
Gofaizen & Sherle can help you set up a company in British Columbia or incorporate federally. We offer federal incorporation where the majority of the company’s directors are Canadian residents.
If you already have a company incorporated in any Canadian province, Gofaizen & Sherle can help register it with FINTRAC as an MSB.
Quebec has a separate provincial MSB licensing system administered by Revenu Québec. Depending on your services, you may need this license in addition to FINTRAC registration.
Current Regulatory Status
| Current Status | What This Means |
|---|---|
| Crypto exchange and transfers: FINTRAC registration applies where MSB/FMSB criteria are met | Federal AML registration is required. It does not authorize every financial service |
| Trading platforms dealing in securities or derivatives: Separate securities framework | Investment-dealer registration and CIRO membership are expected. FINTRAC registration does not replace them |
| Payment services: Bank of Canada registration applies where RPAA criteria are met | Certain electronic payments in fiat currency or a prescribed unit fall under a separate payment-services regime |
| Services subject to provincial rules: Additional requirements may apply | The activities and provinces involved determine whether further permissions are needed, including a Quebec money-services license |
Ongoing Obligations
You must appoint a compliance officer, maintain written policies and risk assessments, and train staff regularly. Know-your-client (KYC) checks, beneficial-owner identification, monitoring, records, suspicious-transaction and other reports depend on the transaction.
Receiving CAD 10,000 equivalent or more can trigger a large virtual currency transaction report within five working days, including qualifying 24-hour aggregation. Exceptions, valuation and agency rules apply.
The travel rule requires sender and recipient information for applicable transfers. Missing data requires reasonable measures to obtain it and written risk-based procedures to allow, suspend or reject transfers.
Review program effectiveness at least every two years. An external AML audit is universally mandatory. Renew registration before its two-year expiry and generally update changed information within 30 days.
The current Canadian crypto regulatory status depends on the services a business provides. There is no single license covering every crypto activity.
Tax and Accounting
Corporate income tax depends on entity, province and income. File your company’s income tax return, called the T2, within six months after the end of its tax year. Payment deadlines differ.
For goods and services tax/harmonized sales tax, Canada Revenue Agency guidance explains that qualifying virtual payment instrument supplies are exempt. Other token supplies may be taxable. Bookkeeping, reconciliation, payroll and T2 preparation are separate services.
Regulatory Risk
Unregistered operations, missed duties and misleading FINTRAC license claims expose businesses to regulatory action under the amended 2026 penalty framework.
Banking and Payment Partners
For high-risk banking support, prepare ultimate-owner details, source of funds, flows, markets, counterparties, volumes and controls. Gofaizen & Sherle helps you prepare documents for banks and payment providers. Each provider decides whether to accept your company. Registration does not guarantee a bank account or PSP approval.
Official Sources
- FINTRAC Registry • Registration status and limits
- FINTRAC Registration • Filing, fees and processing
- FINTRAC Compliance Program • Controls and review
- CIRO CTP Guidance • Separate securities route
- Bank of Canada Criteria • RPAA applicability
- FINTRAC Changes • Effective and pending changes
- Revenu Québec Cryptoasset Services • Provincial overlay
- PCMLTFA • Federal AML/ATF legal framework
Frequently Asked Questions
Is there one license for every crypto business?
No. Different activities can require different permissions.
Can a foreign business use the FMSB route?
Yes, if it meets all four conditions: it offers covered money services, has no place of business in Canada, targets people or businesses in Canada, and actually provides those services to clients there. Applicable exceptions must also be checked.
Does a wallet automatically require registration?
No. Whether a wallet provider needs registration depends on its business model and the services it actually provides.
Is registration enough for a trading platform?
Not necessarily. Applicable securities registration or regulatory relief and CIRO membership require a separate process.
Does RPAA cover every crypto payment?
No. It requires a PSP payment function, fiat or prescribed-unit electronic transfer.
What do I need before applying?
Start with the business and ownership information above. Filing requires complete supporting documents.
Why are professional fees separate from registration?
FINTRAC charges no registration fee. Professional preparation, third-party charges and ongoing work are separate costs.
When does the three-month benchmark start?
When FINTRAC receives a complete package. This is typical processing guidance, not a guaranteed deadline, and excludes preparation.
Can a ready-made company guarantee a bank account?
No. Acquisition needs due diligence, and each provider decides whether to accept the business.
Does registration remove ongoing reporting duties?
No. The business must continue meeting the reporting requirements applicable to its transactions.
Fintech
Canada MSB Registration
Prepare FINTRAC MSB registration for your money services business
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Fintech
RPAA Registration in Canada
Prepare your payment business for RPAA registration with the Bank of Canada
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Compliance
AML Audit
An independent check of your AML framework, with clear next steps
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Fintech
Ready-Made Canadian MSB
A ready-made Canadian money services business (MSB) is an existing Canadian company registered with FINTRAC. Gofaizen & Sherle supports the ownership transfer, adapts AML/KYC policies to your operations and assists with bank account opening.
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Client Testimonials
Trusted by Industry Leaders
Good service, clear roadmap, quick communication. Satisfied with prompt work, been looking for shelf company solution, got Canadian company with already acquired license in like 2-3 weeks. Setting up the flows now, but good to go.
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