How to Fill Out Kraken’s Business Account Application Without Getting Flagged #
Kraken’s business account application has dropdown menus that determine whether you get approved or stuck in Compliance review for weeks. Pick the wrong category and you’re explaining yourself to someone in Malta who doesn’t care about your legitimate business reasons.
When Kraken asks for your industry, select Financial. When they ask for business type, choose either Holding Company or Proprietary Investment Company. Both work. Both tell Compliance you’re managing assets, not running some sketchy operation.
Holding Company means your LLC exists to hold and manage assets. That’s exactly what a digital asset LLC does. You’re holding crypto for appreciation. Proprietary Investment Company means you’re investing your own capital, not managing money for clients. Also accurate for most people running crypto LLCs.
Do not select anything with “Trading” in the name unless you’re actually running a trading operation. Active trading means you’re buying and selling constantly, generating income from spreads and Volatility. If you’re just buying crypto and holding it, you’re not a trading company. You’re an investment company.
The distinction matters because trading companies face different regulatory scrutiny. Exchanges watch trading accounts more closely for wash trading, manipulation, and other violations. They set different limits. They apply different fee structures. You don’t want any of that if you’re just managing a long-term Portfolio.
NAICS codes work the same way. Use 551112 for Offices of Other Holding Companies or 551114 for Corporate, Subsidiary, and Regional Managing Offices. These codes describe companies that manage assets and investments. They’re boring. They’re normal. They don’t trigger Compliance algorithms.
Avoid NAICS codes that reference trading, speculation, or anything that sounds high-risk. You want to sound like the most boring Asset Management company in Wyoming. Compliance teams love boring. Boring gets approved quickly.
This whole approach is about speaking the language that exchanges and banks understand. You’re not hiding what you do. You’re describing it in terms that fit their risk categories properly. Your LLC holds digital assets. That’s holding company activity. The fact that those assets happen to be Cryptocurrency instead of stocks or Real Estate is a detail, not your primary business classification.
Keep everything aligned. If your operating agreement says you’re a holding company, your NAICS code says holding company, and your Kraken application says holding company, there’s no confusion. Compliance sees consistent information and approves you. If your documents say three different things, you get flagged for manual review.
The same principle applies to banking. Mercury, Relay, and Axos all ask similar questions about business type and industry. Give them the same answers you gave Kraken. Consistency across all your financial relationships prevents problems.
Your Custody setup should match your stated business purpose. If you’re telling everyone you’re a holding company that manages assets for long-term appreciation, your actual behavior should reflect that. Hardware wallets like D’Cent for Cold Storage. Not leaving coins on exchanges where they can get hacked or seized. Actual Asset Management practices that match what you told Compliance.
When your holdings grow substantial enough that you’re thinking about more than just buying and holding, wealth management structure becomes relevant. Registered investment advisors like Digital Wealth Partners provide fiduciary-level guidance on how to integrate digital assets into a broader Investment Strategy. They understand Custody, tax implications, and Portfolio construction at a professional level.
Higher up the wealth ladder, you’re not just managing investments. You’re coordinating Estate Planning, tax strategy across multiple entities, Generational Wealth transfer, and the kind of comprehensive financial oversight that requires dedicated professionals. Digital Ascension Group provides Family Office services that handle multi-generational planning, estate and succession coordination, tax strategy oversight, and the concierge-level financial coordination that complex wealth situations demand.
Contact Digital Ascension Group to learn how our Family Office services can coordinate your complete financial picture.
