Find below continuation of the interview with Bartosz Milczarek, Chief Executive Officer of Cryptiony, who we talk with about the company and crypto industry. The first part of the interview is available here.

FXMAG.COM: What are your assumptions for your development on the UK market? Are you going to take over an entity, create a "subsidiary" or control the whole thing remotely?

Bartosz Milczarek (Cryptiony CEO): We have launched a branch in the UK: Cryptiony Ltd. However, the nature of our business - an application in the Software-as-a-Service model allows us to run this business largely remotely. From the very beginning of the company's existence, the team has been working remotely.

What do your shares in the project look like now? New entrants only support you financially, has the shareholding structure changed?

Acquiring a VC investor or a Business Angel usually means selling part of the shares. This is also the case with us. However, the founding members still hold the majority of the company's shares. New investors not only support us financially, but also with their "smart-money" - which I mentioned. This was crucial for us when we were looking for investors. Our investors have extensive experience in scaling local projects to global businesses, they have extensive networking - also in the crypto industry - which we are happy to take advantage of.

We are not planning a debut on the stock exchange. Next fundraising round is planned - later this year.

Are you planning another fundraising round, or are you planning to go public?

We are not planning a debut on the stock exchange. Next fundraising round is planned - later this year. We believe that we must quickly expand our activities to other countries. We have in mind the EU directive DAC8, which we talked about earlier. The entry into force of this directive and the imposition of the obligation to report customer transactions to the tax authorities would certainly strongly increase the demand for the Cryptiony application. Although such regulations raise a lot of controversy, it seems that this direction is inevitable.

More and more accounting offices are interested in the subject of cryptocurrency settlement. They undertake to settle them for companies as well as for individuals. Assuming that the trend will definitely intensify and it will become more and more common, does it not pose a big risk for you in development?

Definitely not. In addition to our main product: an application for self-accounting for cryptocurrencies, we also offer a separate platform for entities such as accounting offices or tax offices. These types of entities without automation tools have a much harder time settling taxes with their clients, they also do it slower. So far, not much has been heard about our second product. Last year, we launched a separate platform for entities specializing in cryptocurrency tax settlements based on the MVP (Minimum Viable Product) prepared by us for entities that contacted us. In 2023, we plan to significantly expand our activities in this area, we are observing an increase in interest of this type of entities in the settlement of crypto trading, and thus the need for automation of this process.

In what time horizon do you see the stabilization of the cryptocurrency market in the context of regulations in Poland? What must change?

The entry into force of EU regulations, i.e. the previously mentioned MiCA regulation and the DAC8 directive, will be of key importance. Currently, we have very simple and investor-friendly cryptocurrency tax regulations in Poland. I've heard voices that the government can change the regulations and follow the British ones more closely.

Read next: Bartosz Milczarek, CEO at Cryptiony: Customers settle the crypto tax in annual returns, so our business model is also based on annual subscriptions | FXMAG.COM

In light of the events of 2022, what do you see as the biggest threat to the crypto market in the coming years?

The scale of frauds, pathologies or bankruptcies of cryptocurrency projects that took place in 2022 shows that regulations in this industry are necessary. It's important not to be too strict. The lack of regulations or their too late implementation may significantly harm the further dynamic development of the industry. It is therefore essential that governments adopt the golden rule of thumb.

Do you think that with the introduction of CBDC on a larger scale, stablecoins will be forgotten?

Not necessarily, CBDC will rather act as digital cash - controlled by governments. Cryptocurrencies, including stablecoins, will continue to be an alternative to the traditional financial system. There is a lot of talk about the introduction of CBDC, but there are still few details on how it will be implemented, and it is quite crucial to whether users will switch from stablecoins to CBDC.