The Bitcoin craze grew stronger when many countries across the world joined the Bitcoin bandwagon in mid-2017. In a young, growing industry like the Crypto market, it is indeed profitable to start a Bitcoin firm, but I suggest exercising caution.
There is no common legal status for Bitcoin in all the countries. There are places where trading cryptocurrency is illegal. So, here I’ll give you a list of Bitcoin-friendly countries:
Denmark is at the forefront of developed countries trying to eliminate cash. Tax exempted Bitcoin transactions are a common phenomenon in Denmark. Danish Central Bank doesn’t consider Bitcoin as a currency and doesn’t regulate its use. Many Bitcoin exchange innovators like CCEDK have emerged in the country. Real estate purchases are being made using Bitcoin since March 2018.
Japan is one of the early adopters that legally recognized the Bitcoin tender. They eliminated scope for double taxation on Bitcoin. Various stores and hospitality businesses like Marui and Comicap accept Bitcoin transactions in the Land of the Rising Sun. Bank of Japan’s Hiromi Yamaoka believes that Bitcoin will bring about a total transformation in their banking system.
Swedish financial supervisory authority Finansinspektionen legalised Bitcoin and other cryptocurrencies. Bitcoin mining has seen a boom in the country with firms like BTCX Exchange and Safello Exchange. KnCMiner, one of the largest mining firms, went bankrupt in 2016. The reason was the halving of the Bitcoin mining award, which can be taxed for their profits.
Switzerland’s Falcon Private Bank became one of the first banks to offer services in cryptocurrency. The Swiss model of financial system appeals to many mining firms and Bitcoin exchanges. But, every county levies their own regulations for Bitcoin. Zug, the Swiss city, is being dubbed as ‘Crypto Silicon Valley’. Services like payment of utility bills or citizens verification system are possible through Bitcoin.
Arnhem, a city in the Netherlands, has over a hundred cryptocurrency firms. You can get a service as simple as getting a haircut with transparent and secure Bitcoin payments. Bitcoin is not regulated by De Nederlandsche Bank (the Dutch central bank). But in March 2018, the bank started a project to make its own cryptocurrency ‘DNBCoin’ using a distributed ledger technology similar to Bitcoin.
In making this comprehensible list, I have come to the conclusion that many countries in Europe may become the hubs of blockchain industry and new technologies in no time. I believe that we might actually see various countries publishing Blockchain laws and crypto strategies.
If there are no sturdy regulations, there are huge risks involved for the firms and individuals alike. In my opinion, the launching of special market regulation tools like the Safinus platform can protect new crypto investors and result in profits for traders.