The allure of crypto-friendly countries in Europe is undeniable for crypto investors and entrepreneurs. With regulations evolving, some nations have emerged as beacons of progress, offering not only a conducive environment for crypto activities but also attractive residency and tax benefits. Here's a look at the top destinations and essential steps for relocating as a crypto investor.
🇵🇹 Portugal: A Haven for Crypto Enthusiasts
- Crypto Environment: Portugal is recognised for its welcoming stance towards blockchain and crypto, incorporating blockchain technology into public services.
- Taxation: Remarkably, Portugal does not tax crypto earnings unless it becomes a primary business activity.
- Residency: The golden visa program offers a pathway to residency for investors.
- Appeal: The country's economic stability and a growing population make it an attractive destination.
🇲🇹 Malta: The Blockchain Island
- Crypto Legislation: The Virtual Financial Assets Act regulates ICOs, exchanges, and wallet providers.
- Tax Benefits: Long-term crypto holdings are not taxed for non-regular traders.
- Residency Programs: Offers various programs including the Global Residence Programme and the Permanent Residence Programme.
- Citizenship: A Citizenship by Investment Programme is available for those who qualify.
- Legal & Tax Considerations: English is widely spoken, and the country benefits from no worldwide taxation and low business taxes.
🇨🇭 Switzerland: Crypto Nation
- Regulatory Approach: Known for its balanced and open system, Switzerland has low tax rates for crypto businesses.
- Taxation: Crypto assets are taxed similarly to other assets, with clearly defined yearly valuation methods.
🇱🇺 Luxembourg: Pro-Business and Crypto-Friendly
- Regulatory Environment: Luxembourg offers a liberal stance on crypto trading with no specific restrictions.
- Business Attraction: The country is attractive for its low taxes and a strong pro-business environment.
💼 Moving to Malta as a Crypto Investor: A Case Study
- Understand Crypto Legislation: Familiarise yourself with the Virtual Financial Assets Act (VFAA) and the Innovative Technology Arrangement and Services Act (ITAS) for DLT and smart contracts.
- Choose a Residency Programme: Consider the Global Residence Programme for non-EU nationals, offering significant tax benefits.
- Investor Residency for Citizenship: Explore options such as contributing to National Development, purchasing government bonds, or investing in real estate.
- Legal & Tax Benefits: Benefit from English as an official language, no wealth, property, or inheritance taxes, and favourable corporate income tax rates.
📌 Final Advice
Relocating as a crypto investor to a crypto-friendly country in Europe involves navigating complex legal and tax landscapes. It's crucial to consult with legal and financial experts specialised in the crypto space to ensure compliance and maximise benefits. Utilise our directory of professionals to find the right advisors for your relocation journey.
