You should probably ask them.
As far as I understand this restriction indicates the location of your 
merchant account not the location of you or your company. So you could open 
a bank account that's a US or Europe based account and use that with 
Braintree. This should work and should be legal as far as my limited 
understanding of this goes. Most countries have branches of foreign banks 
that allow you to do that, so you can live in one country and open an 
account that would technically work as an account in their country of 

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