10 Crypto-Tax-Free Countries (and Where to Find 'Crypto Valley')

Dubai is a magnet for crypto investors for a reason: The United Arab Emirates doesn’t impose capital gains tax or personal income tax. That means no tax on crypto, whether you're trading it, holding it or earning it.

Crypto businesses love it too, thanks to regulatory clarity and the country’s zero corporate income tax in free zones.

U.S. citizens usually owe capital gains tax no matter where they live. But Puerto Rico is a special case.

Thanks to Act 60, qualifying residents enjoy tax exemptions on long-term capital gains—crypto included. It’s one of the only places Americans can legally enjoy tax-free crypto profits without renouncing their citizenship.

Home to "Crypto Valley," Switzerland treats crypto like private money. That means no capital gains tax on crypto held for more than a year as a private asset.

Income from mining or trading crypto professionally is taxed, though, and there’s a wealth tax on total assets. Still, for most investors, it’s a haven of tax benefits and clear tax treatment.

Singapore is known for its favorable tax environment. There’s no capital gains tax, and most crypto transactions aren't subject to income tax. Even crypto businesses benefit from low corporate tax rates and minimal tax obligations on crypto gains.

Just note that if you're trading crypto as a business, income tax may apply.

The Cayman Islands don’t tax capital gains, personal income, or corporate income. That means zero tax on crypto trading, mining or holding.

As a recognized tax haven, it’s a top pick for crypto companies and foreign investors looking to legally reduce their tax liability.

Germany’s tax laws come with a key time-based advantage.

If you hold your crypto assets for more than a year, you don’t have to pay capital gains tax when you sell. Sell earlier than that and you may owe capital gains, depending on the amount.

It’s a standout policy that rewards long-term crypto investments.

El Salvador made headlines by adopting Bitcoin as legal tender, but it also offers major tax incentives. Foreign investors don’t have to pay capital gains tax or income tax on Bitcoin. The country is actively courting crypto companies with promises of a favorable tax regime and legal protections.

Crypto gains aren't taxed in Portugal for individual investors. That means no capital gains tax or income tax on most crypto activities.

Crypto held as a personal investment isn’t treated as business income, giving the country a well-earned spot among the most crypto friendly countries. However, Portugal has started taxing some business-related crypto income.

Malta, often called "Blockchain Island," offers crypto businesses legal certainty and tax incentives. Individuals don’t pay capital gains tax on crypto held as a long-term investment.

However, day traders and businesses may be subject to business income tax or corporate tax, depending on the nature of their crypto activities.

Belarus has taken a pro-crypto stance by granting tax exemptions for crypto-related activities.

Individuals and businesses involved in mining or trading crypto enjoyed a tax holiday through 2025. That included zero tax on crypto gains, income, and transactions—an unusually generous treatment among tax authorities.

We created this article in conjunction with AI technology, then made sure it was fact-checked and edited by a HowStuffWorks editor.