16 countries in which cryptocurrency is legalized
• While some countries categorically do not recognize cryptocurrency or introduce it into everyday life very carefully, others are introducing it with might and main into their financial system. Here is a list of the top 16 countries that allow cryptocurrencies.
• In this country, the legalization of cryptocurrency occurred at the end. Then the law “On the Digital Economy” was issued. At the same time, the cryptocurrency market was exempted from paying taxes until 2049. Citizens of the country can store and change digital money, as well as buy and sell it. And transactions do not have to be declared. In 2020, the Central Bank of Belarus launched an online service for the exchange of virtual assets.
• In September, the law “On Virtual Assets” was adopted on the territory of Ukraine, which spelled out the provisions for regulating transactions with virtual currency. In addition, changes are being prepared to the tax code, which will regulate the taxation of transactions with electronic assets.
• Here, cryptocurrency assets are defined as private money. With their help, commercial companies and banking structures can pay among themselves. At the same time, for all purchases paid with bitcoin, you need to pay VAT. And the cryptocurrency transactions themselves are not yet taxed.
• In Cyprus, it is not prohibited, but not regulated in any way, the activity of conducting ICO (initial offer (placement) of coins) is not prohibited mining, possession and transfer of cryptocurrencies, exchange for fiat (traditional currencies). At the same time, Cyprus seeks to regulate the industry.
• Here, cryptocurrency became a legal form of electronic payments at the beginning. In 2016, the state passed laws that required miners to register for a license and required them to pay taxes.
• The regulatory framework for the regulation of cryptocurrency began to be developed here back in 2017. Then, in the spring, the authorities officially recognized the digital currency as a means of payment, which can be used to pay for goods and services. However, bitcoin was not legally considered a currency until spring. Then it was recognized as a legal tender and it ceased to be considered a commodity asset. Cryptocurrency exchanges also have official status.
• Among the 27 countries of the European Union, Italy can be called the leader in the use of bitcoin in transactions. More than 15% of all stores in the world that accept payments in crypto operate in this country. Also in Italy there are 39 cryptomats and there is a project that is focused on the development of a payment system in bitcoins. It is already actively replacing the euro in payment transactions within the country.
• This state is very progressive in terms of jurisdiction in the direction of cryptocurrencies. Residents have a positive attitude towards blockchain technology and willingly accept digital assets. True, they do not equate them with traditional means of payment, but rather with alternative ones. The legal regulation of the crypt is also at a high level here.
• Here, bitcoin and other digital assets are not legally considered a means of payment. At the same time, you can pay for goods and services with cryptocurrency. Bitcoin ATMs operate throughout the country. For income received from investing in digital assets, you will have to pay tax.
• The country’s parliament first started talking about the regulation of cryptocurrency back in 2013. Since the city of Zug began to accept bitcoin as payment for public services. And already in 2017, they created the first legal platforms for the development of cryptocurrency startups. This made the work of companies that dealt with crypto assets and blockchain much easier. Thanks to the progressive legislation of the country, crypto business has become very popular here. In some regions, electronic currency is being actively introduced into everyday life. For example, in Zug, you can pay for utilities and other services with bitcoins already from.
• In this country, cryptocurrency is accepted as a full-fledged market instrument. The Ministry of Finance even developed a law with new provisions that regulate the circulation of electronic currency. Cryptocurrency companies have also been legalized here, and citizens of the country can use coins as a payment transaction.
• Cryptocurrency circulation is also allowed here. At the same time, the Central Bank of the country believes that operations with digital assets do not need to be licensed, and additional taxes should not be paid either. The only requirement of the government of the country is that the owners of crypto-exchanges, bitcoin ATMs and other companies that exchange currencies for fiats must verify their clients.
• Here, cryptocurrencies were recognized as a digital asset back in 2013. And in 2017, the government abolished VAT on all purchases and sales of bitcoin and other digital assets.
• Here, the cryptocurrency market began to be regulated back in 2017. To work, all cryptocurrency exchanges must be registered and licensed. Also, annual reports must be submitted to the regulatory authorities. In the Philippines, any type of electronic currency has the status of a financial instrument with which you can make any type of payment.
• Here, the cryptocurrency was officially recognized in September. Moreover, it was equated to a means of payment on a par with the dollar. Commercial organizations and other companies are actively introducing bitcoin as a form of payment for services and goods. And citizens can download the Chivo app, which the government specifically designed to promote virtual currency. New users for installing it receive a welcome bonus of $30 in bitcoins.
• Cryptocurrency was legalized in the United States in 2017. At the same time, all transactions with altcoins and bitcoins are taxed. You need to pay both local and federal taxes on income that was received as a result of mining, investing, or exchanging goods for crypto. Large cryptocurrency exchanges operate in the United States, including Poloniex, Bittrex and others.
This information is not an individual investment recommendation, and the financial instruments or transactions mentioned in it may not correspond to your investment profile and investment goals (expectations). It is your task to determine whether a financial instrument or transaction matches your interests, investment objectives, investment horizon and acceptable risk level.