Crypto-Tax-Friendly Countries – The CoinJar Ultimate List

Crypto-tax-friendly countries: Which countries would be considered "crypto friendly" in terms of tax? Here’s what we discovered, in case your and you’ve been HoDLing like a squirrel with nuts at the end of Autumn.

At the time of writing (May 2025) several countries are considered "crypto-friendly" due to their favorable tax policies regarding capital gains tax on cryptocurrency.

The list below is focusing on individual investors rather than businesses. And as always crypto kids, tax laws are complex and subject to change, so consult a tax professional for your specific circumstances.

What to Know First

There are several important caveats to consider when evaluating crypto-friendly tax jurisdictions. Tax laws change frequently, so check with multiple sources before making any decisions.

These favourable tax benefits only apply to individuals who are actual tax residents of these countries, not just visitors or temporary residents. So while it sounds great, if you want to take advantage of them, you need to get on the road to permanent residency, so we have suggested ways to do that, like starting with nomad visas, for example, even just to see if you like being there.

In jurisdictions with no capital gains tax on crypto, there may still be other taxes such as VAT or GST that apply to certain cryptocurrency transactions.

The Australian Taxation Office (ATO) has specific rules to determine tax residency, and attempting to manipulate your residency status solely to evade taxes can lead to serious consequences if not done properly or if it’s deemed fraudulent. If you’re considering leaving Australia to change your tax residency, consult a tax professional to ensure compliance with ATO rules.

So now that we know all that, here is the scoop.

United Arab Emirates (UAE)

Tax Policy: 0% tax on crypto gains for individuals. The UAE, particularly Dubai, has

, making it a prime destination for crypto investors. Certain Free Zones may offer additional incentives.

Residency is for those investing in real estate or businesses with crypto.

Portugal

Tax Policy: on long-term capital gains (crypto held for over one year) for individuals, provided crypto trading is not their primary source of income.

BUT you DO pay tax if:

-Your crypto tokens are considered "securities" (like some investment tokens)

-You kept your crypto on exchanges outside Europe that don't share tax info with Portugal.

So basically, Portugal is pretty crypto-friendly for regular people who buy and hold long-term, but they still want to tax certain types of crypto or crypto held in non-cooperative countries.

Short-term gains (held less than one year) are taxed at 28%. Portugal's favorable tax regime, combined with its EU membership, makes it attractive for crypto investors, especially for EU/EEA citizens.

(minimum €250,000 investment, which can no longer include real estate) offers a path to residency and potentially citizenship in five years.

Panama

Tax Policy: 0% capital gains tax on crypto for with Panama building crypto-friendly regulations to support digital asset businesses.

Panama’s tax-free environment and openness to blockchain technology make it a growing crypto hub. Also the is fairly loose, you just need $200,000 to start, which for a full time crypto trader might be tempting considering the zero tax on trading factor.

Singapore

Tax Policy: for individuals, as Singapore does not impose capital gains tax. This makes it highly attractive for crypto investors.

However, if you trade frequently then the Singapore tax man may deem it as business income, then you will be taxed at 0-22% (individuals) or 17% (companies).

If you mine, stake, or get airdrops regularly, then it is the same as above.

Key factors: How often you trade, how long you hold, and how much time you spend trading determines if it's taxable.

Singapore may be a known global financial hub with clear regulations and a welcoming environment for crypto-related businesses and investors. However there are not many easy like some other places are.

Switzerland

Tax Policy: There is on crypto for individual investors (private wealth).

However, professional trading is subject to income tax.

Known as a blockchain hub, particularly in areas like Zug ("Crypto Valley"), Switzerland offers a stable and supportive environment for crypto activities. The catch here is that if you aren’t from the EU somewhere you are likely to have a tough time getting that then goes on to citizenship, unless your bags are really, really full. But people do manage to get it over the line, sometimes!

Malta

Tax Policy: There are . Trading profits may be subject to income tax at rates of 0-35%, but it depends on your circumstances.

Malta’s regulatory framework supports blockchain innovation, making it a favorable location for crypto investors.

If you are a Swiss or EU citizen, the road to citizenship is fairly clear and straightforward to navigate. If you do not hold EU or Swiss citizenship, then getting residency isn’t as hard as other places, especially if your bags are full. But interestingly, there is a that can start you off on the road to Swiss life.

Bermuda

Tax Policy: 0% tax on crypto gains, as Bermuda has for individuals.

A destination for crypto investors seeking tax efficiency and a straightforward . There are ways to reside in Bermuda if you work remotely too. Something to keep in mind is Bermuda’s .

Cayman Islands, British Virgin Islands, Anguilla, Antigua & Barbuda, Bahamas

Similar to other Caribbean tax havens, these all offer pretty much the same deal as Bermuda, with tax-free or nearly tax-free environments for individual crypto investors. Residency usually depends on an investment.

Germany

Tax Policy: Crypto gains are if held for more than one year. Short-term gains may be subject to income tax, depending on the individual’s tax bracket. And tax will apply to staking, airdrops, and mining.

Germany’s tax policies and progressive stance on blockchain make it a crypto-friendly destination, particularly for long-term holders. Also there are many different you can apply for, which aren’t expensive compared to other countries.

El Salvador

Tax Policy: on Bitcoin, as El Salvador recognises Bitcoin as legal tender, encouraging its use without taxing gains. Other crypto however are subject to tax, depending on your individual situation.

A pioneering country for crypto adoption, El Salvador is ideal for those integrating crypto into daily transactions. If you can prove you have a fairly modest passive income then you should not have trouble . You can also become a resident via investment.

Monaco

Tax Policy: , as Monaco does not impose capital gains or income tax for individuals.

A high-net-worth destination with a tax-friendly regime for crypto investors. However, to get residency there, thanks to the number of high-net-worth individuals and limited space, means that you usually need very full bags to even breathe on a .

Georgia

Tax Policy: Favorable tax regime with on personal crypto transactions for individuals, making it an emerging crypto-friendly nation.

Georgia’s low-tax environment and openness to crypto make it attractive for investors. And you can get a , among other visa types in a fairly straightforward way.

You can also factor in the low cost of living as a bonus in Georgia.

Malaysia

Tax Policy: , thanks to the fact that Malaysia does not consider crypto either an asset or ‘money’.

However if you are a trader, there are some taxes, depending on your circumstances. And tax will apply to staking, airdrops, and mining.

Malaysia’s tax policies and growing interest in blockchain make it a crypto-friendly destination. They offer a digital nomad visa called a , which is a good way to check the lay of the land there before trying to get residency.