Panama Foundation

An ultra-private vehicle to hold assets and make grants.

The Panama Foundation competes with the Cayman one in providing an optimized, flexible vehicle for asset holdings and grant distributions. We provide all filing and support services from Panama to set up a Private Foundation as the ultimate asset protection vehicle.

PACK THE MINIMUM TO SURVIVE

Starter Kit

The essentials to start your journey

$ 5,405

Incorporation

One-time

Franchise Tax

Annually

Corporate Secretary

Annually

Registered Agent and Local Address

Annually

CHOOSE A PRE-ASSEMBLED RIG

HANDPICKS EXTRA GEAR

Entity Management

Crypto Exchange/OTC Account

Fiat Bank Account

Paid Guides

Frequently Asked Questions

A Panama Foundation is a civil law legal entity commonly used for crypto projects, asset protection, and decentralized governance. It supports a founderless and memberless structure and can be controlled through on-chain voting mechanisms or a supervisory board.

Panama Foundations are ideal for:

Crypto project treasury management and DAO governance
Asset protection for personal or corporate assets
Founding entities for grants, charitable, or non-profit activities
Holding companies in civil law jurisdictions

Panama Foundations are tax-exempt on foreign-source income. Any income generated outside Panama is not subject to Panamanian taxation, making this structure well suited for international operations and crypto treasury management.

Directors are part of the public record
Beneficiaries remain private and are not publicly disclosed
Privacy can be enhanced through the use of nominee directors

Setting up a Panama Foundation requires KYC (Know Your Customer) and AML (Anti-Money Laundering) checks for all participants.

For Individuals (KYC):

Certified copy of primary and secondary photo ID
Proof of address
Updated resume or CV
Source of wealth declaration
Professional reference

For Corporate Participants (KYB):

Certificate of formation
Register of directors and members
Share certificates
Memorandum & Articles of Association (M&A)
Consent to act as Director

After placing an order, you will receive access to the Otonomos Dashboard to complete the entity application form, including company name options, purpose, source of funds, financial year-end, participants, and organizational chart.

A Panama Foundation requires the following roles:

Director(s)
Treasurer
President
Secretary
Founder

If a corporate director is appointed, only one director is required, covering all roles. If natural persons are appointed, three directors are required, each assuming one additional role.

Otonomos can provide nominee directors if needed.

All participants receive a KYC invitation via SumSub to upload required documents and complete verification online. The process is designed to be efficient and streamlined for founders and investors.

Renewal periods:

Foundations registered between January–June renew by July 15
Foundations registered between July–December renew by January 15

Annual financial statements must be submitted during renewal. Timely renewals ensure the foundation remains in good standing.

There are two available options:

Company Dissolution

Formal and proper closure of the foundation. Ensures all legal and financial obligations are settled.

Company Strike Off

Occurs if renewal fees or statements are not submitted. Less formal and may result in penalties or delays.

Civil law jurisdiction suitable for founders preferring this legal framework
Tax exemption on foreign-source income
Well suited for crypto projects and DAO governance
Strong beneficiary privacy protections
Nominee director and AML/KYC support available