Bitcoin, the original cryptocurrency, popped up in 2009 thanks to Satoshi Nakamoto, whose real identity is still a mystery. There are only 21 million bitcoins out there, and they're mined, stored, and traded online. Unlike regular currencies issued by governments, Bitcoin was created to keep transaction fees on the internet as low as possible.
However, because of its characteristics, many countries haven’t really taken it on board. Governments worry that Bitcoin might be misused by criminals for scams or by terrorists to buy weapons, drugs, and other dangerous stuff.
Since Bitcoin is decentralized, no government has control over it. That’s why they’re reluctant to accept it like traditional money, which is managed by central banks and can be manipulated through monetary policies.
This makes bitcoin to be deflationary, appreciative in design, which is also helping in its adoption as the supply is limited.
Do not mind what some governments are saying about bitcoin, some of the wrong information are said by the central bank of such country because they are affraid bitcoin not to take their place and let their fiat to become useless, but bitcoin is not a substitute but just an alternative. It is even because fiat is inferior is the reason why bitcoin is superior, if nothing to compare bitcoin with, then bitcoin will not be appreciated.
Before Bitcoin was created, some terrorists in the world were already deadly and making use of fiat, criminals are also making use of fiat very well. Yet, bitcoin blockchain is available to the public which has been even used to track down some illicit transactions. But people should know that Bitcoin transaction is irreversible and to be careful of scammers.
But some people are making use of centralized wallets and exchanges while the government are enforcng also other centralized services to make kyc mandatory. But you are not wrong, bitcoin was designed to give freedom and privacy means of using money (bitcoin) but most people using bitcoin now even while using custodial wallets are using it in a way they are not conscious of privacy.
Where is Nigeria? I could not see Nigeria. Bitcoin and other decentralized currencies are banned by the CBN in Nigeria but not by any of the three arms of government (legislative, executive and judiciary), especially the legislative arm. The rate of bitcoin and other crypto adoption in Nigeria was never negatively affect by the CBN ban.
There it is, i don't know how you missed it. Still baffles me though that Bitcoin has such an undefined status in Nigeria despite the popularity, unfortunately, instead using this to improve your country and maybe attract more capital with favorable crypto laws.
Edit: OP beat me to it by 20 seconds
I checked all through like three times and I did not see Nigeria included.
We can still imply that cryptocurrencies are banned in Nigeria, but banned by the CBN while its use is not restricted, even the CBN governor says CBN did not ban crypto use, that only direct bank to crypto transactions are banned, but yet the CBN do not even have such power to banned bitcoin and other crypto P2P transactions. So I think what Issa56 wrote and posted about it just now is correct, but I do not think it is from the article, also was after I mentioned about Nigeria not included as I checked all through like three times or more.
From the original article, Nigeria not included, and this was all that was posted before, before the edit.
https://cryptonews.com/guides/countries-in-which-bitcoin-is-banned-or-legal.htm
Countries where Bitcoin is neither legal nor illegal
Some countries still haven’t made their minds what to do with Bitcoin. In such cases, the usage of BTC is legal in the sense that you can own it, but there are no clear rules or legal protection concerning its status. These countries are either already creating a legal framework for Bitcoin and cryptocurrencies, or have taken a wait-and-see approach.
These “undecided” countries include:
Albania. Warns citizens to use cryptocurrency responsibly.
Afghanistan. The Ministry of Health plans to use blockchain to identify fraud in medicine. Still, crypto’s legal status is unclear.
Angola. There is no legislation on it.
Anguilla. They have policies regulating ICOs but make no mention of banning cryptocurrencies outright.
Argentina. Specified that their Central Bank is the only one that can issue legal currency and emphasizes that citizens treat crypto responsibly.
Belize. Belize has no crypto regulations to this date.
British Virgin Islands. They have been regarded as ICO-friendly but nothing official on cryptocurrencies is available. The government is on standby with cryptocurrency policies, wanting to see how the crypto scene plays out first before further action.
Brunei. There is an emphasis on cryptocurrency not being legal tender. The government urges caution.
Cambodia. Although the government is developing its own currency backed by blockchain, cryptocurrencies are still a gray area legally, with the government warning of the potential risks involved with cryptocurrencies.
Costa Rica. Cryptocurrencies are emphasized as the individual’s risk and responsibility and are not recognized as legal tender.
Cuba. There is no overarching framework to operate crypto under the government. An exchange, however, has still propped up with no domestic backlash.
Guatemala. Citizens are warned about the decentralized nature of cryptocurrency. It is not recognized as domestic or foreign tender.
Haiti. No framework is given for crypto to operate on.
India. Although there was a fear of a ban earlier in 2021, the government is going to create a board that will decide how to handle cryptocurrency.
Honduras. Bitcoin and other cryptocurrencies are not backed by the country’s Central Bank. The individual is solely responsible for its risks.
Kenya. The government has issued warnings of crypto’s volatile nature, lack of regulation, susceptibility to criminal activity and urges caution to the citizens who want to engage in it.
Jamaica. The government urges caution when handling crypto.
Latvia. Although crypto is subject to personal and corporate income tax, cryptocurrencies are still in a gray area legally in Latvia.
Lesotho. Discouraging cryptocurrency practices, Lesotho does not allow the operation of cryptocurrencies that are unlicensed.
Macau. The Monetary Authority of Macau discourages cryptocurrency participation.
Malaysia. Bitcoin and other cryptocurrencies are not legal tender and the Malaysian government advises citizens to use them with caution. Using Bitcoin and cryptocurrency with transparency is heavily emphasized.
Mexico. There is an emphasis for financial institutions to relay the risk of cryptocurrencies to citizens. It is not backed by the Central Bank and not considered legal currency.
Moldova. The National Bank of Moldova suggests to tread cautiously.
Montenegro. Crypto is regarded as the individual’s risk. Given their desire to join the European Union, and using the euro as legal tender, the government is treading cautiously with crypto.
Pakistan. Although investigating cryptocurrencies for the potential of tax evasion and money laundering, Bitcoin and other cryptocurrencies are not recognized.
Tajikistan. Although the Central Bank wants to make its own digital currency, it is one of the least cyber-secure places in the world, making crypto operate through means that are neither legal nor illegal.
Tanzania. The Tanzanian shilling is the only one that is described as legal tender and crypto is legal but discouraged.
Samoa. Crypto is not considered legal tender and is discouraged by the Central Bank for now because of its risky and speculative nature. Anyone wanting to conduct business with cryptocurrencies needs a business license. The Central Bank acknowledges the potential of blockchain.
Zimbabwe. Cryptocurrencies are unregulated but the government cautions individuals about their use, citing its possibilities of terrorism financing and fraud.
Fears of widespread cryptocurrency crackdowns have had a long-standing effect on Bitcoin.
Because of that, many people are still wary of the trustless systems and rely on traditional banks instead.
Regardless, a growing number of governments choose to embrace digital innovation and play a role in the industry. At the same time jurisdictions which oppose the emerging industry are at risk of being left behind. Ironically, these countries already are some of the poorest nations in the world, and widespread Bitcoin and cryptocurrency crackdowns seem to yield no favorable results to improve the situation. Quite the contrary; embracing the cryptocurrency businesses with favorable regulations present an excellent opportunity to bring in innovation, capital, tax revenue and improve the living standard for the whole population.
Interesting to see that crypto is being illegal mostly in what we would call 'third world countries. Can't really say why that would be, but it is a pattern that El Salvador broke, and that might nudge other countries of similar status to rethink their legal positions on crypto. China and Hong Kong, that really is political than anything else.
I'm sorry but you have the wrong information for Croatia.
Croatia: There is a tax-free threshold of 3800 HRK and a capital gains tax of 12%-18%. The government warns of the high risk nature of crypto.
There is no non-taxable threshold of 3800 kn, where did you get this information?
Capital gains tax is only 10 %, and if you have held the funds for more than 2 years and traded with them, you are exempt from paying taxes.
The Croatian government has never issued a statement on the risks of investing in cryptocurrencies.
Such a statement was issued by the Croatian National Bank and HANFA, the Croatian financial market regulator.
Please correct all these mistakes.
This is a reason why I'm not really fan of this kind topic because there are a lot countries in this world and it's hard to gather all informations in a single time. I believe there's another country didn't included in this thread and even it's already completed, it doesn't mean all informations are correct since their government could change the legality of Bitcoin everytime if they want.
Just like how China and India start to accept Bitcoin and Ban it, then accept it, later ban again repeat.
only a handful of them is totally baning BTC. that's a really good adoption rate after just a decade.
it's only Bolivia among the countries in South America that bans BTC and its reason is that BTC unregulated nature are the people in that country banned to look up the internet? the countries surrounding them are already using cryptocurrency besides Bitcoin, their government will make them poorer.
I tend to agree because there's an update from time to time when it comes to legal status on each country but I believe that this article from Wikipedia is about " Legality of bitcoin by country or territory " was always updated regularly as per see.
A clarification to OP, it is only restricted to the Banking system but it is legal to use and also in mining, that is why mining is most common in Russia since they had cheap electricity bills and had a cold season which is perfect for Bitcoin mining.
Is the Nigerian situation considered as ban or total ban for that matter. I'm beginning to see it as restriction but not absolute ban. Just the accounts linked with exchanges that are actually affected because if it were total ban, I think the government will take more steps to go after some more people including cryptocurrency analyst on the Nigeria television stations that are creating more awareness. This is the reason that I'm thinking this way, it is still having media attention as television stations have crypto analyst come to there stations.
It is true that the government has never given its position when it comes to cryptocurrencies, but the Central Bank and HANFA are just an extended arm of the government where mostly people who are politically eligible work. I would say that therefore their position is actually the official position of the government. Given that the attitudes of the Croatian government are mainly formed in Brussels, it is not surprising that the Croatian National Bank and other financial supervisory agencies have a very negative attitude towards cryptocurrencies - remember what comrade Zigman said not so long ago
Before I created the topic I know their is always change in government decision at any moment, which I have the intention on making changes if there is any new update I will always do my research and make updates.
And you thing there is mistake is your country you can just let me know atleast I can do more research and make changes thanks. Am still going to add more countries with time.
Cryptocurrency is not legal and not also illegal in Nigeria because Nigeria is my country.
Pls if you think their is mistake in your country you can late me know and I will do my own research and I will update it thanks.
[moderator's note: consecutive posts merged]
Issa56, Lucius and I are local Croatian members and believe me, we know all the information about taxes in Croatia since we live here.
When searching for data for a country, be aware that the data is changing rapidly, so please look for more recent data, starting this year.
Crrypto tax of 10% is valid from this year and last year it was 12%.
I suggest that you include local forum members in the data collection and ask for their help to make the data more accurate.
Even the countries that ban Bitcoin, a clear and explicit lawsuit has not been submitted to arrest a person because he owns Bitcoin, and many countries do not have clear laws and penalties for anyone who trades or buys and sells.
In general, it is too early to describe the legal situation because if one or two of the G20 countries were to be established, Bitcoin would become legal currency in many countries in a short time.
Low chances for someone to go for a prison just because they are holding cryptos but in very few countries like Bangladesh they announced there will be huge penalty as well as prison sentence for who violates it.
Even now many countries allowed bitcoin to operate under digital asset class but they never going to allow it as legal tender for sure.
What about the status of Paraguay?
Source 1: https://www.indiatoday.in/technology/news/story/paraguay-becomes-second-country-to-propose-a-bill-to-make-bitcoin-legal-tender-1819142-2021-06-25
I haven't seen Singapore in the list as well, but lately they were being restricted by Binance due to the ongoing country regulations issue.
Source 2: https://www.reuters.com/business/finance/binance-stop-singapore-users-buying-or-trading-crypto-main-platform-2021-09-27/
Maybe you should update the list with these countries I've mentioned and see where they would end up in the respective categories you've mentioned in the thread. Thanks!
Issa56, I see that you still haven't corrected the wrong information for Croatia, 2 weeks after I warned you of the mistake.
It is clear to me that you came to the information through the Google search engine, but almost all results on Google in English give outdated data for Croatia, and the sources of information are not reliable either.
Given this, I bring you the answer of the Croatian tax service to my direct inquiry about the crypto tax in Croatia, since the search results in English do not give accurate data for Croatia Therefore, this is an official response from the state administration office responsible for taxes in Croatia.
https://bitcointalk.org/index.php?topic=5331847.0
The answer is, of course, in Croatian, but it is not difficult to understand the content through the Google translate tool.
I would ask you to change the errors in the report for Croatia now.
Thank you for understanding.
Issa56, thanks for correcting the incorrect data for Croatia.
I understand that you were very busy and could not immediately verify my allegations.
You have accepted a very big task, and in stating such important information you should be careful and check everything well.
There is a lot of misinformation on the Internet, so I suggest that you ask local members to confirm the accuracy of the information you post here.
In this way, this topic can become a source of very important information for the entire bitcoin community.
Just keep up the great work.