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5+ Crypto-Friendly Countries in 2025: Taxes and Residencyby@obyte

5+ Crypto-Friendly Countries in 2025: Taxes and Residency

by ObyteJanuary 30th, 2025
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Crypto is legal in most parts of the world, but the rules, taxes, and related services change depending on the specific place**. Switzerland is likely an obvious crypto-friendly country, with its own Crypto Valley as a tax haven for these assets. Antigua & Barbuda is a twin-island paradise renowned for its pristine beaches and progressive stance on DLT.
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If you’re a crypto holder or you’re thinking about investing in crypto, then you should consider what’s the general environment of your jurisdiction towards these assets. Are they considered legal? Are they taxed? Are there some crypto-related services around? In any case, if your territory isn’t the most welcoming one, there are some good alternatives available in every continent: crypto-friendly countries that will also receive (and even welcome) people from other lands.


Except for a few countries, cryptocurrency is legal in most parts of the world —but the rules, taxes, and related services change depending on the specific place. Switzerland is likely an obvious crypto-friendly country, with its own Crypto Valley as a tax haven for these assets, and numerous crypto companies residing there as well. We’re going to expand our options a bit further in the next list, especially considering recent developments.

United Arab Emirates

Located in the Arabian Peninsula, in the southeastern region of the Asian continent, UAE is renowned for its cutting-edge cities and economic vision. Among its crown jewels, Dubai stands out with its ultra-modern skyline, luxurious lifestyle, and a population where foreigners make up the majority. This cosmopolitan city has embraced the crypto revolution since around 2016, developing new Distributed Ledger Technology (DLT) initiatives and fostering a welcoming environment for digital assets.


Downtown Dubai (UAE)

UAE's crypto-friendly stance is rooted in its favorable policies and strategic initiatives. It imposes zero personal income or capital gains taxes on crypto trading, staking, and mining, making it a haven for investors. Dubai's free zones, such as the Dubai Multi Commodities Centre (DMCC) and the RAK Digital Assets Oasis in the city of Ras al Khaimah, offer 100% foreign ownership, tax exemptions, and minimal regulatory hurdles.


However, crypto businesses may face a 9% income tax if they exceed 375,000 AED annually in profits.


On the other hand, in a significant move, the UAE exempted crypto transactions from VAT in 2024, further welcoming this industry and aligning it with traditional financial services.


For those looking to immerse themselves in this country's crypto ecosystem, they offer several paths. To live here long-term, you need a visa, which can be obtained through employment, remote work with a monthly income of $3,500+, property ownership worth AED 750,000+, or a Golden Visa via significant investments or recognized specialized talents like scientists, athletes, or artists.

Antigua & Barbuda

Nestled in the heart of the Caribbean, Antigua & Barbuda is a twin-island paradise renowned for its pristine beaches and welcoming atmosphere. Its progressive stance on DLT and digital assets has made it a hotspot for cryptocurrency enthusiasts. By blending tropical charm with innovation, Antigua creates an appealing environment for those embracing modern financial technologies.


Port in Antigua (A&B)

Tax incentives and positive crypto regulations make the nation particularly attractive to digital investors. Antigua has no capital gains, inheritance, or income taxes, providing a tax-efficient haven for crypto asset holders.


The Digital Assets Business Act, implemented in 2021, offers no taxation on foreign-sourced income and flexible licensing frameworks for exchanges, wallet providers, and DeFi platforms while maintaining compliance with international KYC and AML standards.


For residency or citizenship, Antigua’s Citizenship by Investment Program offers options like contributing $230,000 to the National Development Fund or investing $300,000 in real estate. Crypto payments are accepted for this, showcasing its forward-thinking approach. Citizenship grants visa-free travel to over 150 countries and opens doors to new business opportunities in a crypto-friendly jurisdiction.

Germany

Located in Central Europe and bordered by neighbors like France, Poland, and Switzerland, Germany stands out as a progressive and dynamic nation. Known for its strong economy, rich cultural heritage, and deep commitment to innovation, it creates an ideal setting for embracing technological advancements, including cryptocurrencies. Germany’s strategic position within the European Union also enhances its appeal, offering seamless cross-border opportunities for crypto enthusiasts and businesses alike.


Berlin, Germany

Germany’s tax policies further highlight its crypto-friendly reputation. Unlike many countries, it exempts individuals from paying taxes on cryptocurrency disposals held for over a year.


For shorter-term holdings, taxes apply only if profits exceed €600 annually, with rates based on personal income brackets —ranging from 0% to 45%. This forward-thinking approach is complemented by Germany’s participation in broader EU regulatory initiatives, such as MiCA, which harmonize crypto regulations across member states.


For those seeking residency, Germany offers opportunities through entrepreneurship. Establishing a business that benefits the local economy can qualify applicants for self-employment visas, with investments of €360,000 recommended. Successful ventures leading to job creation and sustained income can secure permanent residency after a few years.

Georgia

Placed between Europe and Asia, Georgia is a vibrant nation known for its stunning landscapes, rich history, and welcoming culture. Beyond its charm, it has gained recognition as a crypto-friendly country. The abundance of hydroelectric power and affordable energy has turned it into a hotspot for crypto mining, attracting enthusiasts and businesses alike. The lack of strict regulations for crypto activities further enhances its appeal, fostering a dynamic environment for digital asset ventures.



Castle Ananuri in GeorgiaGeorgia’s tax system is another significant draw for crypto investors and traders. Individuals enjoy a 0% income tax rate on profits from cryptocurrency trading, as such earnings are not considered “Georgian sourced.” Transactions involving the sale or exchange of crypto are also exempt from VAT in many cases.


While businesses are subject to a 15% corporate tax on distributed profits, these policies ensure a stable and predictable landscape for crypto-related activities.


Residency in Georgia offers significant advantages for crypto enthusiasts. By investing $100,000 in real estate, individuals can secure a one-year residency permit, with the option to extend it by increasing the investment to $300,000.


Business-oriented individuals can achieve a five-year residency by investing $300,000 in a Georgian enterprise and meeting specific milestones. Over time, continuous residence can lead to citizenship eligibility, with applicants embracing the country’s language and culture to integrate fully.

El Salvador

This is the first-ever country that embraced Bitcoin as legal tender —which means it can be used to pay for everything, and there’s proper infrastructure (like ATMs) for it everywhere. Positioned in the heart of Central America, El Salvador is a small nation noted for its volcanic landscapes, Pacific coastlines, and, of course, its full adoption of cryptocurrency. This forward-thinking approach stems from the country’s push to modernize its economy, attract international investment, and foster technological innovation.


San Salvador historical Center. Image by Maranon68_Wikimedia Commons

Crypto-related earnings in El Salvador enjoy a tax-friendly environment. The nation exempts income and capital gains derived from cryptocurrency transactions, making it an appealing destination for traders and crypto startups alike. This exemption includes profits from mining, staking, and other crypto activities, while corporations benefit from a modest 25% corporate tax rate.


Additionally, the government supports crypto ventures through infrastructure development, creating an ecosystem where digital finance can flourish. That’s maybe why Tether Limited, the issuer of the most popular stablecoin worldwide (USDT), moved its headquarters to this country in January 2025.


Obtaining residency in El Salvador is straightforward and accessible. Options include the Digital Nomad Visa, requiring a monthly income of $1,460, and the Retirement Visa, set at $1,095. Investors can also make Bitcoin donations to the government or invest at least $1 million into the country's economy to obtain full citizenship. Whether through entrepreneurship or lifestyle migration, El Salvador offers diverse pathways to establish a foothold in a nation pioneering the integration of DLT into everyday life.

More Territories

Other nations are becoming crypto havens as well, offering enticing opportunities for both individual investors and businesses. Malta, a Mediterranean island, has positioned itself as a hub for crypto innovation. With no capital gains tax on long-term crypto holdings and a 0% tax on income sourced outside its borders, the country provides an ideal setting for those seeking tax efficiency. Businesses face a corporate tax rate of 35%, but individuals can often reduce their tax obligations significantly.


In the Caribbean, the Cayman Islands stand out for their complete absence of taxes, including capital gains, income, and corporate taxes, making them a magnet for crypto investors.


Estonia offers a good alternative with its digital-first approach, providing clear regulations and a flat 20% tax on distributed profits. Singapore is renowned for its zero capital gains tax and favorable corporate policies, fostering a strong environment for DLT enterprises. Slovenia complements these with minimal crypto taxation for non-professional activities.


Liechtenstein, a small yet innovative European state, provides one of the most comprehensive frameworks for crypto enthusiasts.


The country’s Blockchain Act simplifies compliance for crypto businesses, and its lenient tax policies make it highly attractive. Individuals benefit from no capital gains tax, and corporate taxes are capped at 12.5%. The Obyte Foundation, based in Liechtenstein, thrives in this environment, contributing to the country’s reputation as a crypto-friendly hub.


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