Puerto Rico Blockchain Legislation Update

Puerto Rico Cryptocurrency Updated Laws
Regulation of Digital Currencies: Cryptocurrency, Bitcoins, Blockchain Technology

Jurisdictions Proposed Laws & Regulations Enacted Laws & Regulations
Puerto Rico

 

 

 

Puerto Rico has recently updated the law that governs the tax incentives for incoming entrepreneurs, including crypto. Law 40-2020 made a key change to the rules that govern tax incentives for new residents. Previously, investors who moved to the island and applied for these incentives were required to pay a yearly fee of $300 for the privilege. The new law increases that yearly fee to $5,000.

P.S. Insights on Cryptocurrency Legal Issues

Most jurisdictions and authorities have yet to enact laws governing cryptocurrencies, meaning that, for most countries, the legality of crypto mining remains unclear.

Under the Financial Crimes Enforcement Network (FinCEN), crypto miners are considered money transmitters, so they may be subject to the laws that govern that activity. In Israel, for instance, crypto mining is treated as a business and is subject to corporate income tax. In India and elsewhere, regulatory uncertainty persists, although Canada and the United States are relatively friendly to crypto mining.

However, apart from jurisdictions that have specifically banned cryptocurrency-related activities, very few countries prohibit crypto mining.

Our Freeman Law Cryptocurrency Law Resource page provides a summary of the legal status of cryptocurrency for each country across the globe with statutory or regulatory provisions governing cryptocurrency.  The globe below provides links to country-by-country summaries:

Podcast:

The Freeman Law Project – Cryptocurrency Regulation and Taxation: A Brief Primer

Is cryptocurrency legal in Rhode Puerto Rico?

Do you have Cryptocurrency or Blockchain Issues or questions?
Freeman Law is an innovative thought leader in the blockchain and cryptocurrency space. Blockchain and virtual currency activities take place in a rapidly evolving regulatory landscape. Freeman Law is dedicated to staying at the forefront as these emerging technologies continue to revolutionize social and economic activities. Contact Freeman Law to
schedule a consultation or call (214) 984-3410 to discuss your cryptocurrency and blockchain technology concerns.

 

Schedule a consultation
close slider

    Schedule a Consultation

    captcha