LEGAL NOTE ▶︎ The European Parliament in the morning session of 19 March 2024 extraordinarily approved a new series of very harsh rules to repress cryptocurrencies and their custody. It is an immediate and already regulated ban for transactions exceeding 3000 EURO and the custody of any crypto value in self custody wallets, in practice it bans the possession and maintenance of addresses and wallets such as Metamask, Phantom etc. It is basically a ban on the entire DeFi ecosystem. The legal persecution occurs on the level of non-compliance with AML and AMLR, KYC and leads to the legislator of all European countries and the material executors of the new rules (tax, postal police, finance, etc.); the legal and hardware tools to infiltrate, track, report, deprive the owner of freedom and seize the cryptoassets present on Metamask, Phantom and all self-custody wallets as well as all DeFi tokens and wallets and for those who transact over 3000 EUR of crypto in return without an AML justification (proof of funds). These measures will also be implemented by banking institutions as obliged entities every time crypto cash outs are received from exchanges (both DEX and CEX) regulated to operate on European soil or which can offer their services under license to traders with European residence . In the absence of another justification for remaining with tax and legal residency in Europe, today it is vital for those who own, invest and trade cryptocurrencies and make it a matter of work, investment and life, as well as operating according to a Geo Arbitrage plan , to take over a residence in a crypto-friendly country such as Paraguay or Panama or Mexico.

By crypto assets we mean identifying all cryptocurrencies and cryptographic tokens available for buying/selling and stacking. We therefore identify intangible assets that effectively act as currency assets capable of generating economic profit expressed in FIAT currency values ​​in the national currency of the market in which this asset is exchanged. Therefore in itself a crypto asset or crypto asset means an asset that acts as a currency reserve both in its own and intrinsic value as a token, which accrues and generates interest in its own denomination, and in terms of FIAT currency thanks to its free convertibility in the value corresponding to the reference FIAT currency. Therefore, cryptocurrencies or crypto assets are actually legally subject to taxation like any other currency asset because they generate capital gains and taxable earnings. Therefore the multiple "Hodlers" of active cryptocurrencies or cryptocurrencies today must submit to the rules of their country of residence for tax issues or legally evade them by appropriately changing residence. So this is where we come into play.

Yes. The short answer is that you have to pay taxes on every crypto Cash Out. But in this section we explain how through our services you can legally avoid paying taxes by moving through the laws.

Transferring Bitcoin and cryptocurrencies abroad to pay zero taxes on capital gains from cryptocurrencies still remains a convenient option for traders with tax residency in Italy and Europe. Protecting crypto assets in Panama or Paraguay is particularly important to be able to trade and cash out freely and without worries. But how do you transfer bitcoins and cryptocurrencies abroad if they are already on the blockchain and only deposited at hardware or exchange addresses?

How to transfer Bitcoin and crypto abroad

The perfect strategy to avoid paying taxes on crypto and Bitcoin is to change the residence on your personal documents.

Simply transfer the tax residence registered with these exchanges without physically or digitally moving any crypto. It is also one of the best forms of defense to protect crypto assets. To transfer the value of cryptocurrencies abroad and the obligations that fall on their possession and cash out, simply purchase residency in Panama and open an account in a Panama Crypto Friendly bank. Then with your new data, change the documents in the exchanges and you will cash out in the crypto friendly Panamanian bank account that we will open exclusively for you if you are traders or crypto holders.

Pay zero taxes on capital gains from cryptocurrencies

During the Covid-19 pandemic, cryptocurrencies have shown that they can withstand the hard blows of the real economy by supporting an inflation-proof return on investment, regardless of the dumps that physiologically follow one another over the years. Those who invest in cryptocurrencies have a significant time and economic advantage over those who invest equivalent sums in other assets. During the worst moments of the global economy due to the pandemic, cryptocurrencies gave their best by reaching new ATHs and crowning Bitcoin so protected by maximalists as the undisputed queen of all cryptocurrencies. Therefore there are numerous investors who have obtained large profits but do not know how to use them, exploit them now that in principle the costs of other real assets are increasing dramatically. In fact, cashing out imposes certain financial and fiscal rules that can put a strain on the investor's wallet if cashing out crypto; this is done in the presence of an inappropriate tax residence such as any Italian or European tax residence. So how to pay zero taxes on crypto? Do I have to declare my bitcoins and cryptos to the tax authorities beyond a certain amount or do I have to declare my capital gain made through exchanges or by holding cryptos in wallets? Do I have to pay taxes on crypto capital gains? Is BTC and Crypto Cash Out Tax Risk?

Bitcoin, Blockchain, Cryptocurrencies and Defi , Cryptocurrency Staking and NFTs, burst onto the world stage from 2008 onwards, when the online publication of a pseudonymous white paper provided a vision of a new way of transferring value over the internet.

In the past decade since then, the cryptocurrency market has gone through all the classic phases of a disruptive technology: massive bull markets and crushing pullbacks, periods of euphoria and moments of despair, FOMO.

As the cryptocurrency market enters its second decade, one thing is clear: cryptocurrencies are not going away. The cryptocurrency markets are approaching new all-time highs and many of the world's largest investors and financial institutions are involved. Cryptoassets are part of the whole galaxy of Coin assets that today are traded, held and used for commercial purposes and which are listed on CoinMarketCap.

The value of cryptoassets depends on the type of crypto held, the project it supports, the development team, the number of investors and trustees who own it and the high or low seasons in which these assets cyclically find themselves at market value level. The problem resulting from this panorama is the current deregulation in this sector which has opened the door to numerous entities offering crypto holding, investment, savings (stacking of cryptocurrencies), trading, sending, lending services with interest earnings on the loaned amount (lending) etc etc.

From Apps to Brokers and Exchangers such as Kraken, Binance or Bitfinex, up to solutions such as HardWallet and finally institutional services such as Fidelity which hold some of the most used crypto assets. The inconvenience of navigating multiple technologies, not just the web, and relying on third parties for asset management is scary as it causes almost no regulation; the market and the sector are essentially built on collective trust.

Bitcoin, thanks to the upcoming Halving 2024 in April, to the encouraging inflow of capital into the BTC ETFs approved by the SEC especially inflows into BlackRock and Microstrategy, with Michael Saylor still buying at a price of around 70k per BTC, has reached encouraging levels in 2024 but high levels of value per coin, which undoubtedly highlights the somewhat unique current market realities. BTC ETFs would appear to be the engine that pushed the cryptocurrency to reach a new ATH. But if this were the case, could it be that the new upcoming Halving appreciation has already been partially or completely assimilated by today's BTC prices? And if so, are we close to having a much more aggressive reversal of the pre-FOMC dumps? By asking the right questions, more astute investors could realize that a part of their crypto assets could exit and require immediate cash out. Normally at these levels you are already operational and ready with an appropriate tax residence in countries where you must take up residence to safeguard the crypto cash out. But many still have not understood that at this level if one has not already acquired the necessary documents, it means being seriously behind on the actions to be taken in the next few days. It could also happen that the post Halving of BTC is instead a springboard towards new unexplored values, but this would imply a greater probability of a sudden fall in the following days, weeks and months. Being ready with the documentation, and the right banks for this moment becomes crucial.

There are various ways to sell and cash out Bitcoin (BTC), Ethereum (ETH) and any other cryptocurrency you own.

Cash Out of crypto via Exchange is the most obvious and simple way of all. An Exchange is a platform that allows the end consumer to access a cryptocurrency buying and selling market and also to be able to. buy directly through credit or debit cards or bank transfers or PayPal, the desired token or cryptocurrency. It is therefore logical that the most immediate, simple and safe way to sell cryptocurrencies and make cash out is through a cryptocurrency exchange. Options for selling BTC on an exchange include selling it into a stablecoin on an exchange and then withdrawing those holdings into a personal wallet off the exchange. You can also simply keep the funds in the exchange, although this has its advantages and disadvantages. A stablecoin is a digital asset pegged to the value of an underlying asset, typically a fiat currency, such as the US dollar. There are numerous stablecoins that you can exchange your BTC with. Another indirect method of selling your BTC using the services provided by a cryptocurrency exchange is to spend it via one of the many cryptocurrency-focused payment cards on the market.

Remember that Exchanges require specific documents to open an account for you, and they must be translated into English. You can translate any document into any language including English, from an electricity, water or gas bill, telephone bill, bank statement, passport, identity card, tax code in less than 24 hours and send to the exchanges where you want to open the accounts. have all documents translated as they wish, using the translation service ▶︎ RushTranslate

Cashing out BTC through a sale to another person can be a widely used alternative method, especially in the past. Above all via specialized platforms (now many are closing like LocalBitcoins), or through a face-to-face sale with the interested party who will pay via bank transfer or PayPal or another method the BTC you want to Cash Out.

You can cash out BTC through a common Bitcoin ATM. If you are in Panama you will be quite accustomed to using BTC ATM in the malls or shopping plazas of Panama City. Bitcoin ATMs allow you to scan a wallet's QR code and then sell BTC for cash. Bitcoin ATMs are found all over the world, and their locations can easily be found on the Internet. However, they usually charge high transaction fees compared to other methods. Additionally, not all Bitcoin ATMs offer both buying and selling functionality, which is important to keep in mind when looking for a Bitcoin ATM to sell BTC at.

Essentially this Cash Out allows you to sell cryptocurrencies on an exchange and withdraw the sums via various banking methods. A common way to convert Bitcoin into cash is to withdraw the money to a bank account via wire transfer or automated transfer (ACH) after selling your BTC. You can also transfer money through the Single Euro Payments Area, or SEPA, which handles euro transfers

Tax residency and cryptocurrencies: tax authorities and taxes

The problem also arises of owning capital in cryptocurrencies and not knowing how to protect them from the tax authorities and how to reinvest them in the market, by purchasing physical assets with added value and with a determined ROI. Cashing out Bitcoin, Ethereum, Ripple, Defi etc. requires knowing well the rules of the tax authorities with whom we are interfacing, and of the banks we are depositing with and of the physical products and capital we are buying with the FIAT money received from the cashout .

Each crypto asset may or may not be subject to the attentions of the tax authorities of your tax residence and may or may not be treated as an asset, as a speculative instrument or current currency. How to do ? There are numerous products, first of all the Private Interest Foundations placed as shareholders of an Offshore Company, which can hide, protect and invest both the crypto assets and the FIAT money deriving from the partial or complete cashout of the virtual assets. Then there is the accounting part and how to legally evade it to prevent the taxman from getting his share of the collections and earnings made through the holding or trading of crypto assets. There are many doubts about it and few answers.

In this regard, we provide not only legal instruments but also ad personam consultancy for a fee. Contact us with your requests. Finally El Salvador became the first country in the world to have legalized Bitcoin as a real current currency in the country.

What cultural changes, above all economic and fiscal ones, will this decision lead to? How will the legalization of Bitcoin in El Salvador affect the tax policies of your country of residence? For those interested in applying for a residency as a Bitcoin Investor in El Salvador, contact us to find out how to start the procedure.

Tokenization of tangible and non-tangible assets in Panama

Panama has roared into a new era that no other country in the world has yet entered. The new law called Ley Cripto is present at this address.

The Panama Cryptocurrency Law allows and legalizes the use of cryptocurrencies such as BTC, XRP, LTC, ETH, XDC, EGLD, XLM, IOTA, ALGO. These cryptos can be used to replace the US Dollar, the currency officially used in Panama. Panama has a unique feature that makes it economically armored from a sovereign point of view. In fact Panama is the only country in the world to have decided not to have an official currency. In fact, the Panamanian constitution clarifies that in Panama it is legal to use the currency or currencies or the basket of currencies that the free market decides to use or decides to trust at the given historical moment in which they are used. In fact, the Dollar did not enter Panama at the behest of someone, it was simply the market that decided.

Therefore Panama does not hinder the outflow of money or the entry of currency in dollars or other currencies, relying only on the mutual trust between the market and therefore the people who make up the market, and the financial center of Panama. So for Panama it has become simple and easy to propose a law on cryptocurrencies that isn't even a law, precisely considering the freedom to do what you want in Panama with the currency you deem trustworthy. However, it was necessary not to give doubts and not to create future doubts in investors and individuals about the role of cryptocurrencies in Panama.

The law goes further and clarifies that any tangible or intangible asset can be tokenizable. We at Studio Panama Italia have been proposing and still proposing the tokenization of Panama companies for 3 years, but today we can tokenize real estate and anything you want thanks to the law in question that supports us. For Panama , inevitably , this dynamic law brings undisputed advantages that place the nation at a completely different level of competence in the matter . To protect your crypto assets, tokenize them or invest and tokenize new assets we strongly recommend that you take up residency in Panama and be followed step-by-step on your path to success in Panama in the best legally possible hands.

A Special Purpose Vehicle (SPV) is a company (legal entity) created for a specific, limited purpose, such as owning a particular asset or undertaking a specific project. Such special purpose vehicles are solely used in financial and corporate transactions to isolate and protect the assets and liabilities of the underlying business from the rest of the company or other investors' investments. By creating an SPV, the sponsoring company can limit the financial risks associated with the project or asset, as well as gain tax efficiencies, regulatory compliance and other benefits. Special purpose entities are often structured as limited liability companies or partnerships and are subject to specific legal and accounting requirements. So, how do special purpose vehicles relate to asset tokenization?

The tokenization of an asset is the reduction of it into units so divisible that they can be divisible almost infinite times and therefore liquidated in an extremely faster, more certain and safer manner. An SPV being a separate legal entity that represents ownership of the underlying asset or assets, such as real estate, works of art or other investments can be created with the specific purpose of tokenizing the latter. After the incorporation of the Special Purpose Vehicle, it issues digital tokens supported by the asset, which can be bought, sold and traded on a blockchain-based platform. It is this last process that truly and legally tokenizes an asset which is divided into smaller and more liquid units, which can be easily marketed and exchanged. The SPV ensures legal and regulatory compliance and helps ensure that asset ownership is clearly defined and recorded on the blockchain. Tokenizing assets in this way can help unlock liquidity, reduce transaction costs, increase transparency and broaden access to investment opportunities, particularly for retail investors who may not have had access to such assets in precedence.

Through Studio Panama Italia , you will be able to open your Special Purpose Vehicle Company remotely without physical presence with tokenization purposes. assets and goods. We offer this service in jurisdictions at the forefront of the procedure, only where it is now regulated and practiced on a daily basis. Among these, Wyoming in the USA and Panama stand out. The cost of a Special Purpose Vehicle Company starts from 5000 USD.

Opening an offshore account in crypto-friendly banks is possible. Studio Panama Italia offers the opening of an offshore bank account in an important and renowned crypto-friendly bank in the Republic of Panama. Opening an offshore bank account in a crypto-friendly bank is not common. There are very few banks that allow you to associate crypto addresses and deposit assets such as BTC there, managing them directly like any ordinary bank account associated with a classic account between which to make movements. In Panama we can introduce you to an important banking institution in the nation that opens hybrid crypto and normal bank accounts where you can insure and deposit and therefore actually legitimize your crypto assets once deposited so that you can actually convert them if you wish into FIAT currency, tax-free in the same bank account without any risk of having them blocked for some reason. This type of crypto friendly offshore bank account in Panama is closely tied to your residence in Panama. So you will first of all have to take up residence in Panama as an Italian with our firm in order to open an account in this bank.

We have trusted our partner Kraken since the company existed and offer our customers an economic advantage when opening Futures accounts with Kraken Pro Futures

How to protect cryptocurrencies safely? The protection of cryptocurrencies and crypto-assets not only involves the correct management of your virtual wallets, therefore in a conscious and mature manner, decide to always take:

• An offshore residence with territorial taxation in non-CRS countries for CashOut Cryptocurrencies such as Panama or Paraguay
• Open an offshore bank account with banking secrecy, of a personal type with that tax residence and it is better if the same account can directly receive crypto and make cash out (like a bank transfer) internally as a bank in Panama does for its residents and where we open accounts exclusively for those preparing to take up residence in Panama. This bank is currently the only one in a tax haven to allow the direct holding of cryptocurrencies and to sell them and make cashouts internally or to send or receive other cryptocurrencies. Contact us to be exclusive customers of this bank.
• Spend and reinvest cash out in countries where financial coercion tools such as Spesometro, Redditometro, Riccometro and CRS Analysis do not exist

But in addition to the above, according to the major newspapers specialized in crypto, and according to sales statistics and finally according to reports from Hackers and specialist Hasking magazines, everyone must protect active cryptocurrencies, when they cannot have a real offshore account in Panama , in a physical wallet, a Hardwallet. The best of the HardWallets, Trezor, comes to our aid in this. Trezor offers the ultimate in security, precision and state-of-the-art technology. Send your hard wallets globally within hours of purchasing online and with the world's major couriers. Trezor Offers various types of secure HardWallets.

Our customers are more likely to use the top-of-the-line Trezor Model T

There are also other models such as the Trezor Safe 3 and the Trezor Model One

The company's website also offers many other specific products for the security of large crypto sums with the knowledge of using the best product in the world

How are crypto classified in Panama? Are taxes and duties paid on holding and trading cryptocurrencies in Panama? Panama has now become the mecca of crypto start-ups in the world. Over 15 crypto startups are founded every day, a higher average than the United States and Europe. Crypto start-ups are also totally tokenized in Panama, and work in a totally Tax Free environment. What does this mean ? It means that if you invest in a company in Panama dedicated to trading, cryptocurrency arbitrage, cryptocurrency futures, management of third party funds to reinvest in cryptocurrencies, you will not need licenses and you will not pay taxes and you will not even need a accounting book. Panama is the only country in all of the Americas to guarantee this zero tax whatever you or your company does with crypto assets (cryptocurrencies, crypto futures, NFts, Options, ETFs, Fund Management) but only if that you take up residence in Panama that; as clarified on this site of ours, it does not mean that you are obliged to live there, because the offshore residence of Panama does not oblige you to live in the country and allows you once resident to start your crypto business, or simply to trade and cash out of crypto in Panama in total tax exemption and if anything take advantage of geographical arbitrage to live in another country where you can spend the proceeds of these activities, earning at the exchange rate with the hard currency US dollar with which you will operate your transactions. Residency in Panama therefore allows you to cash out crypto in Panama in a crypto friendly Panama bank such as the crypto friendly Panamanian bank where we at Studio Panama Italia are authorized to open bank accounts for our clients involved with crypto. In Panama, therefore, taxes are not paid and declared on the capital gains obtained from the holding of cryptocurrencies, cryptocurrency futures, Bitcoin ETFs and NFTs when these earnings are generated by a person who has taken up residence in Panama and collects the capital gains and earnings in a Panama bank account.

How are cryptocurrencies regulated in Ecuador? Do they pay taxes to the Ecuadorian tax authorities? Ecuador is adollarized country that allows cryptocurrency holding, cryptocurrency trading and cryptocurrency arbitrage. In Ecuador, trading as a natural person does not imply payment of capital gains taxes. But a company dedicated to third-party trading and fund management pays taxes like a regular Ecuadorian company with SRI, the Ecuadorian tax authority. To address in detail the tax obligations that Ecuadorian citizens have due to the operations they perform with cryptocurrencies, it is necessary to take into account the nature of the operation carried out, i.e. whether the cryptocurrency was received as consideration for its mining, whether it was used as an investment instrument or if it was used as a means of payment. The activities described, without constituting an exhaustive list, are the most relevant operations that are carried out today using these cryptoassets. The Law on the Internal Tax Regime of Ecuador in its article 8.126 lists the income classified as of Ecuadorian source and includes, in its last paragraph, all other income received by companies and natural persons, national or foreign resident in Ecuador, including unjustified increase in assets. Income received following transactions carried out with cryptocurrencies, without being considered as falling within any other qualification provided for by Article 8 of the aforementioned legislation, appears to be unjustified capital income and as such must be taxed. In this order, the difference in value between the purchase price and the transmission price of a cryptocurrency would be framed as extraordinary income taxed as “Impuesto a la Renta” subject to taxation as long as the total taxed ordinary and extraordinary income received by the taxable person within a tax year, less refunds, discounts, costs, expenses and deductions attributable to such income, exceed the tax base provided for in Article 36 letter a) of the Law on the Internal Tax Regime,127 i.e. exceed the value of $11,310.00 USD, for the year 2021. Therefore, for its declaration it must be considered that, under the current terms of the Ecuadorian Law in question, the generating event would not occur until the moment in which the cryptocurrency, whatever it either, is transmitted to a third party in exchange for the payment of its equivalent in United States of America dollars, since it is only when the cryptocurrency is converted into its equivalent in dollars that the collection of the proceeds is verified pursuant to of article 2 of the Law on the Internal Tax Regime.128

What is the tax treatment of cryptocurrencies in Spain? Are taxes paid on cryptocurrencies in Spain? Spain has updated the legislation relating to the holding, trading and arbitrage of cryptocurrencies both as a natural and legal person. Spaniards must by law declare the capital gain relating to the trading of cryptocurrencies or relating to the holding of cryptocurrencies when they are sold after holding and have increased in value. The tax on earnings is 19% up to 6000 EURO, 21% for earnings between 6001 EURO and 50,000 EURO, 23% between 50,001 EURO and 199,999 EURO and 26% for all earnings above 200,000 EURO. In this case the Spanish citizen does not have to do anything because the automatic digital exchange of financial information between the Crypto Currency Exchanges and the Spanish Tax Office (Hacienda) is in force by law.

Circular 30 of 27 October 2023 underlines that all those digital representations of value or rights that do not fall under financial instruments are defined as crypto-assets. For natural persons, capital gains from crypto-assets are taxable at the same rate that is applied to financial assets (26%) provided that the income is not obtained in the exercise of business activities, arts or professions or as an employee .

The same capital gains are then taxed on non-resident subjects without a permanent establishment when the income is considered territorial, on non-commercial entities when this operation is not carried out in the exercise of a commercial enterprise, on simple and equivalent companies. It is clarified that "different income" (art. 67 TUIR) deriving from "activities carried out" in the territory of the State and from "assets" located in the same territory are considered to be produced in Italy.

Income earned by non-residents is therefore regulated if it relates to crypto-assets held in our country with service providers or intermediaries resident in Italy or at their permanent establishment if non-residents.

In cases where the crypto-assets (i.e. the keys that give access to them) are held "directly" by the subject via storage media such as a Hard Wallet, without the intervention of the intermediaries or service providers mentioned, the income is considered produced in Italy if the storage medium is located in the territory of the State and it is presumed that the income is produced in Italy if the person who holds the storage medium is resident there in the tax period of production of the income.

It remains mandatory for the taxpayer to certify the actual location of his Hard Wallet.

Are taxes paid on cryptocurrencies active in the UK? Yes, they are paid. Regardless of whether you have earnings or income from cryptocurrencies, you will need to submit them to HMRC by the deadline using the Government Gateway service via SA108 and SA100 forms or forms, otherwise you will face severe penalties imposed by HMRC. If you are a UK taxpayer whether a citizen or resident foreigner and have traded cryptocurrencies, you must accurately report your cryptocurrency earnings and any income. But because most UK residents are taxed at source through their tax code, many investors have never needed to complete a self-assessment tax return. But it is mandatory for everyone, including foreign residents. Before you can report your cryptocurrency taxes to the English HMRC , you need to do the math. This means you will need to calculate your cryptocurrency totals for:

• Capital gains from cryptocurrencies
• Capital losses from cryptocurrencies
• Income from cryptocurrency
• Any eligible expenses relating to your investments

This can leave UK cryptocurrency investors with lots of questions, such as how do you report money earned from cryptocurrencies to HMRC? Or what is the HMRC tax form for cryptocurrencies and what information does HMRC need about crypto assets?

The rules for reporting capital gains from cryptocurrencies in the UK are clear and simple:

• Report cryptocurrency capital gains and losses on: SA100 and SA108 Capital Gains Summary.
• Report cryptocurrency income in box 17 of your self-assessment tax return (SA100).

You can do all of this online through the Government Gateway service or you can complete your self-assessment tax return with paper forms by mail. Please note that the deadline for postal self-assessment tax returns is 31 October 2023. In the Spring Budget 2023, the Chancellor announced that the Government would introduce changes to self-assessment tax return forms and that investors would had to report crypto assets separately. These new reporting requirements will not be introduced until the 2024-2025 fiscal year. Cryptocurrency trading in the UK is taxed. So, if you trade Bitcoin for Ether or any other cryptocurrency, you will pay capital gains tax. HMRC considers these two transactions to be separate. Trading your asset, so trading in it is a transfer, just like selling it or spending it. HMRC isn't interested that you're using it to buy another asset, just that you're giving one away. So it is on the asset you own that you will pay capital gains tax if you have made a profit. Buying crypto with Stable Coins is also considered buying crypto with crypto without distinction between one asset and the other.

Taxes are paid on cryptocurrencies in India. At Studio Panama Italia, we receive a huge amount of clients from India and requests from new users from India. Cryptocurrencies and India don't go well together. India has passed one of the world's toughest laws on cryptocurrency taxation. The India Financial Bill 2022 comes in the wake of gambling regulation. The Finance Bill has amended the tax rules to impose a 30% crypto tax on holdings and transfers of digital assets. On top of that, traders cannot offset their losses with profits and each trading pair will be considered independently for tax deductions. A 1% withholding tax deduction is also introduced on every single trade. This is why so many citizens of India are in Panama and why they do everything possible to take up residence in Panama and open an account in Panama in a specific crypto friendly bank where we can open accounts for new residents of Panama who come from India. We therefore recommend future customers from India to contact us and start the residency procedures in Panama to benefit from free cryptocurrency cash out and zero taxes in Panama.

The largest cryptocurrency market in the world remains the United States. The United States is particularly strict when it comes to cryptocurrencies. Cryptocurrencies in the United States are heavily regulated and are subject to the greatest due diligence and AML scrutiny. Trading cryptocurrencies in the United States or owning cryptocurrencies in the United States requires a lot of intelligence and seriousness to then deal with the IRS rules.

Yes, you pay taxes in the United States on holding and trading cryptocurrencies. The United States classifies cryptocurrencies as capital assets. Taxes are paid when you sell, buy, dispose and obtain capital gains from cryptocurrencies. Simply owning them forces you to pay taxes in the United States. The IRS has taken steps to ensure that cryptocurrency investors pay taxes. Crypto consumers, crypto holders, and crypto traders must answer a question on Form 1040 about whether they received or sold a digital asset during the year. Exchanges are required to file a 1099-K for customers with more than 200 transactions and more than $20,000 in trades during the year. In principle in the United States it is valid that whatever transaction is carried out during the tax year must be declared and taxes are paid on when the value of the same cryptocurrencies, held and never exchanged or sold, or exchanged for other cryptocurrencies or sold for FIAT currency or used to purchase an asset, whether tangible or intangible, that has generated a capital gain. If you are American or are a resident of the United States and have a green card, or a residence or have an SSN or an ITIN, you must by law every time you trade write down the transactions, losses and gains related to them and report them faithfully to the IRS.

In the United States, income from cryptocurrencies is taxed as ordinary income at its fair market value on the date the taxpayer receives it. Here are the most common examples of what is considered cryptocurrency income in the United States:

Receiving cryptocurrencies as payment for providing a service
Mining cryptocurrencies and earning rewards
Stacking cryptocurrencies and earning interest on exchanges and any other platform
Lending cryptocurrencies and receiving interest payments (so-called crypto lending)

The declaration of cryptocurrencies depends first of all on their real geographical location. For example, if they are stored in a Hard Wallet, where is this hard wallet kept geographically speaking? The same if, for example, they are present in a digital wallet or on an exchange. If they are on an exchange, it is necessary to know whether or not the exchange is licensed in the country of tax residence of the taxpayer and where the hard wallets where the cryptocurrencies of the customers of this exchange are stored are located. To know where and how to declare and which form to fill in for the correct declaration of cryptocurrencies to your tax authorities, you need to know at what values ​​those cryptocurrencies must be declared and whether only capital gains or transactions or both must be declared. The tax aspects associated with crypto-assets also make the panorama even more complex. The taxman could define his activity as a natural person a crypto-activity or just set a rate based on a scale of values ​​on his capital gains. All this must be evaluated on a case-by-case basis. You can contact us for appropriate advice.

When each cycle approaches the ATH (All Time High) of a specific crypto value, we tend to plan well in advance and therefore prepare a series of organized and precise movements aimed at mitigating the problems inevitably linked to cash out from crypto .

It is necessary to cash out when you have a specific suitable tax residence (for example Panama or Paraguay)

It is necessary to cash out when you have suitable digital tools (software for crypto support)

It is necessary to cash out when you have suitable physical instruments (hard wallet)

It is necessary to cash out crypto when the result is financially positive and not vice versa.

It is therefore necessary to organize a Crypto Cash Out Strategy aimed at allowing earnings while remaining in a safe haven on the tax and residence side.

Therefore, considering that all those who now make crypto cash out at this level all have a tax residence in Panama or Paraguay, through which to move completely tax free with the realization of capital gains, how should the capital earned be managed?

The Cash Out Crypto most used by our customers, considering around a thousand customers who have now optimized and secured their residence in Panama, is to cash out only in USD and not in Stable Coin. In fact, customers prefer to make cash out in USD as USD, not being a stable / crypto, cannot be transferred to any bank account that is not in the name and surname of the real beneficiary of that account which previously has already registered a support account where to deposit the USD. The cash out also becomes partial, a part in USD is withdrawn from your account to cover everyday expenses, another is stacked on the same exchange, thanks to the high interests offered and thanks to the security that USD is not a stable coin that can be withdrawn by anyone who has hacked the account (in fact, a generic crypto address is enough since crypto addresses are not nominative to steal any stablecoin).

When you have to make crypto cash out, always do it in USD, never in stable coins.

Digital security for the protection of digital assets is an important point in managing your digital assets. Digital security is used to protect personal data online and on electronic devices. Digital security also serves to protect your digital assets online and on electronic devices. Therefore, digital security means all the methods and means used to protect any intangible asset, be it personal data or money, private messaging, crypto and other digital assets from theft, hacking, illegal copying, unlicensed use of proprietary software. The field relating to digital security ranges from the protection of assets such as cryptocurrencies, to the protection of your PayPal account, or bank account as well as the protection of your account on forex or crypto exchanges. Digital security concerns your communication, such as use one messaging app rather than another (Telegram vs Whatsapp for example, who would you prefer to be spied on by Russians or Americans?). Digital security enters the field of emails, to date the most secure in the world is protonmail. Being protected in terms of digital security also means browsing using a qualified VPN, and using DNS such as Open DNS or DNSdecrypt. Digital security involves the active protection of your website, which hosting you place it on, whether it uses a CDN like Cloudflare, whether you manage the WordPress plugin update, etc. So when the topic becomes important and substantial in relation to your digital security, it is necessary to take multiple aspects into consideration and evaluate them by considering the pros and cons. An example are also the traditional approaches aimed at protecting physical assets which once again fall within digital security. For example, if you want to purchase a domain or a hosting service, or even create an online business, digital protection of these assets such as:

• Web domain
• Website
• Website hosting
• Any digital payment methods (Paypal, Stripe, Payoneer, Venmo, Apple Pay, Google Pay), third-party services such as Cloudflare

passes through the creation of a traditional method of protection of classic and tangible/intangible assets such as an offshore company or private foundation which eliminates the risk of owning or opening such digital services in your name and surname.

If you are looking for definitive advice on the taxes to be paid on cryptocurrencies, on the taxes to be paid on previous crypto activities up to 10 years ago to today, if you want to be sure of what you need to do to get back into compliance and what the future next steps are for ordering , protect, profit and arbitrate your crypto assets, if you want to know clearly the names of the banks in the world where your cryptos are welcome, and the names of the banks in Panama and Mexico where your cryptos are safe and how bypass European laws and cash out crypto in Panama and abroad, contact us and request specialized paid consultancy.