US Person Definition
Detailed regulatory definitions of what constitutes a 'US Person' for the purpose of compliance and jurisdictional restrictions on the Cofinex platform.
To comply with international regulations and our jurisdictional policy, Cofinex restricts services to certain individuals and entities defined as "US Persons". This document provides the specific criteria used to determine this status.
Natural Persons
A natural person is considered a US Person if they meet either of the following criteria:
US Citizens
Any US citizen, regardless of whether their place of residence is currently outside the United States.
US Residents
Any natural person who normally lives in the US, regardless of their citizenship status.
Legal persons organised or established in the US
Any partnership, trust, corporation, or other legal entity that is organised or established under the federal or state laws of the United States.
Non-US Entities with US Principal Place of Business
Partnerships, trusts, and corporations not organised or established under the laws of the US, but where the **Principal Place of Business** is in the US.
Principal Place of Business
The location from which the officers, partners, or managers primarily direct, control, and coordinate an entity’s activities.
Passive Investment Entities
Partnerships, trusts, and corporations incorporated under non-US laws formed principally for the purpose of facilitating passive investment by one or more US persons.
Trusts
A trust is considered a US Person if it meets any of the following conditions:
- Any trustee is a US Person (subject to certain professional fiduciary exceptions).
- The trust's income is subject to US income tax regardless of source.
- It is organised under US laws or has its Principal Place of Business in the US.
Agencies and Branches
The definition extends to sub-entities and operational outposts, specifically:
US Person Agencies
Any agency or branch of a US person located anywhere in the world.
US-Based Branches
Any agency or branch of a non-US Person that is located in the US, where it does not have an independent legal personality.
Discretionary / Non-Discretionary Accounts
Any discretionary or non-discretionary account (other than an estate or trust) held for the benefit or account of a US Person.
Discretionary
Broker has authority to make trades without the investor’s approval.
Non-Discretionary
Investor determines which trades to make while buying/selling assets.
Pension Plans
A pension plan is a US Person if it is:
- For employees or principals of an entity having its Principal Place of Business in the US.
- Organised or established under US laws.
Estates
An estate is considered a US Person if:
- Any executor or administrator is a US Person.
- The estate's income is subject to US income tax.
- The descendant was a resident of the US at the time of death.
Compliance Questions?
If you are unsure about your status or have jurisdictional questions, please contact our team.
support@cofinex.io
