Can be any state/province, city, country, whatever just as long as the tax rate is as close to zero as possible and the authorities aren't shady a-holes that might steal your company. This is to register a company, no to operate there. In fact if I can do it through mail and not having to physically go there for the paperwork then even better. BTW does what gawker did have a name? iirc they use a shell company for each blog, ads get paid to another company in the caymans while the bloggers themselves work/get paid by another company in hungary. Is there a term/name for this setup?