We already had a look at five of the most crypto-friendly countries around the world, for 2023. Today we are going to expand that list by looking at the other five countries from the Top Ten List of crypto-friendly countries.
If you’ve missed our previous article, you can find it here: ‘Most crypto-friendly countries in 2023 (Part one)’
So, the first five places in the list were taken from:
Malta
Canada
Slovenia
The Netherlands
Portugal
The other five most crypto-friendly countries are:
Germany
Luxembourg
Estonia
Singapore
Switzerland
Germany
Germany is another crypto-friendly country, with a unique approach when it comes to crypto taxes.
In Germany, Bitcoin is private money, instead of currency, commodity, or stock. According to the law there, Bitcoin and other digital currencies are exempt from capital gains tax if held for more than a year. Cryptocurrencies there are not subject to VAT, on sale and purchase.
Furthermore, if you exchange your funds for cash or other cryptocurrency within a year, and your profit is less than 600 Euro, it will be tax-free. That is why Germany is considered to be one of the most crypto-friendly countries.
Luxembourg
In Luxembourg, cryptocurrencies are a legitimate currency, with no restrictions against trading, or using them within the country. While there are no explicit rules regarding cryptocurrencies, we can see that the government has a progressive approach to them.
Luxembourg is set up with the crypto trends and develops the best strategies to deal with them, and we can say that it is among the most crypto-friendly countries.
Estonia
Estonia is another crypto-legal country, aiming to create a magnificent space in the world of digital currencies. We can say that it is a hot spot for crypto companies, and this fits Estonia’s image as a digital success story. Transactions in Estonia with bitcoin and other cryptocurrencies are taxed in the same manner as other corporate activity is.
Furthermore, financial business is also more crypto-friendly.
Singapore
Singapore is known to be a fintech hotspot. Its central bank, the Monetary Authority of Singapore, believes that the crypto ecosystem should be supervised in order to avoid criminal activities such as money laundering, while at the same time the innovation should not be impeded. This makes Singapore a crypto-friendly country.
Moreover, in Singapore, there is no capital gains tax. Individual and corporate crypto funds are not subject to taxation.
Switzerland
Swiss banks were the fits to offer crypto companies business accounts, in 2018. They recognized that banking channels would help to eliminate fraudsters and encourage legitimate businesses.
In some locations in Switzerland, Bitcoin is recognized as legal tender. If you hold or trade cryptocurrency as an investment in your own account and qualify as an individual trader, you will not be liable to capital gains tax. However, keep in mind that selling and buying through authorized professional traders is considered a business income and is taxed accordingly.
Final worlds
As we can see, there are many countries around the world working on adopting cryptocurrencies, and there are reasons for that. So, if you plan on making investments in Bitcoin or other digital currencies, these countries may be a good place for you. Of course, keep in mind that regulations change, and you should always do good research, and update your information before making an investment.
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