Top 7 Crypto Countries in 2022
Tue Sep 20 2022
Bitcoin and cryptocurrency adoption has grown over 800% in the past year. So question remains following which country has the most crypto holders and users? We have separated top crypto countries and presented statistics according to Bololex research.
Selling crypto for fiat currency
Trading crypto for another cryptocurrency
Spending crypto on goods or services
Receiving income from crypto staking or mining
The Central American country passed a law in 2021 that implemented Bitcoin as a legal tender. It means you can use Bitcoin just as easily as the U.S. dollar to pay for goods in services in El Salvador. And even more el salvador plans to build the world’s first bitcoin city. Consequently, the country has no income or capital gains tax on Bitcoin. It also plans to maintain its status as a cryptocurrency hub by building the world’s first Bitcoin City despite heavy criticism from established financial institutions.
Let’s start to underline Singapore advantages. It is not a secret that another well-known crypto-friendly country is Singapore. The South-East Asian country levies no capital gains tax and no tax on goods and services paid for in crypto. However, it has an income tax on income from crypto-related activities like staking. Furthermore, financial regulators in Singapore are fairly open to digital assets, allowing crypto companies to operate without a license within a grace period of six months.
Malta is another popular destination for crypto, as it recognizes Bitcoin and other cryptocurrencies as a “unit of account, medium of exchange or a store of value.” The law on blockchain, cryptocurrency and distributed ledger technology the country passed in 2018 made it a haven for ICOs at the time. Even though crypto trading in Malta incurs a tax of up to 35%, you can reduce that to 0% — 5%, depending on your tax bracket and income status.
Switzerland is a popular crypto hub, especially in Zug, with Lugano emerging as another crypto-friendly city that plans to pay its taxes in digital currency. Switzerland has an income tax on mining and a wealth tax on an individual’s net worth but no capital gains taxes. Furthermore, income from professional trading is taxable as well.
This European country is known as ranked among the topmost desirable places to live in and has created a welcoming environment for Bitcoin. Portugal’s crypto-enthusiasm is largely due to its long history of economic instability. Although Portugal taxes income in crypto, there are no capital gains taxes and taxes on trading.
Furthermore, Portugal has a Golden Visa program, allowing non-EU citizens to qualify for a residency permit and eventually a passport in the country through investments. But to apply for the Golden Visa and not become a tax resident, you can’t remain in Portugal for more than 183 days a year. This tax-free way of life for crypto investors is one of the reasons why Portugal has been growing rapidly in popularity in the industry, with Lisbon becoming one of the main hubs in Europe.
Puerto Rico is a popular destination for North Americans since the overseas territory is treated as a separate country when it comes to taxation. Consequently, there is no federal income tax in Puerto Rico and no capital gains tax if you bought cryptocurrencies as a tax resident. However, crypto that you purchased before moving to Puerto Rico and becoming a resident will be subject to taxation by the IRS.
It is considered that small Alpine country has the highest market capitalization of blockchain projects, even though ICOs are subject to taxation. Furthermore, Slovenian tax residents have to pay a 25% income tax on mining but no capital gains tax.
In conclusion, there are many Crypto-friendly countries in the world that you can consider investing your money into if you want to use this financial technology.
It is important to do research before deciding how best to invest in cryptocurrencies because each country has different regulations on trading crypto assets.
Before buying crypto, make sure you have a wallet that allows you to trade crypto with total security and encryption.
Explore the market and you will make sure that Bololex is the most secure platform to buy and sell limit orders.
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