Which countries have clear legislation to support or prohibit Bitcoin?

Since the story of Bitcoin began to appear on the Internet, the battle for the legalization of cryptocurrencies has never stopped. Bitcoin (BTC) may be the first and currently the only cryptocurrency to be recognized, but other cryptocurrencies may follow in the future, such as Ethereum (ETH), Litecoin (TCC), Dash, Ripple, etc.

The problem with cryptocurrencies is that they don’t have a clear regulatory system in many countries and regions. Of course, in fact, crypto tokens are not meant to be regulated. This is why it is usually difficult for governments (or countries) to legalize these currencies.

Currently, there are some countries around the world that have clear legislation to support cryptocurrencies, some that have no clear regulations or are ambiguous, and some that have clear legislation to ban cryptocurrencies. Let's take a look at which countries Bitcoin is legal and which countries have explicitly banned it.

Countries that have legalized Bitcoin:

1. Japan

As one of the fastest growing technology markets in the world, Japan should be the first country to legalize cryptocurrencies. The government has established a specific framework based on the PSA (Payment Services Act) to allow some cryptocurrencies and some exchanges to be used for payment and trading purposes. Japan is now widely regarded as the center of cryptocurrency trading/exchanges in Asia.

2. United States

In 2013, the U.S. government accepted Bitcoin as a decentralized virtual currency that could be used for transactions, and in September 2015, it was classified as a commodity by the CFTC.

Bitcoin can also be taxed as property. In summary, Bitcoin is legal in the United States, however, only Bitcoin is recognized, and the legalization of other cryptocurrencies is not recognized.

3. Germany

Germany is one of the few countries in Europe that not only allows cryptocurrencies but is also actively involved in the development of blockchain solutions.

Germany has fully legalized Bitcoin, allowing citizens to use this currency for transactions. The German government's recognition of Bitcoin has also increased the value of Bitcoin in the global market.

4. France

Through a regulatory note issued on July 11, 2014, the country has legalized the operation of virtual currencies such as Bitcoin, cryptocurrency exchanges, taxation, etc., and provided permissions for those involved in the transactions and use of such currencies.

5. Malta

Malta has finally become one of the countries to accept Bitcoin and other cryptocurrencies as a legal mode of digital transactions.

The Maltese cabinet recently approved a bill regarding the regulation of cryptocurrencies and ICOs in the country, officially making the country a fully-fledged crypto-legal nation.

6. Canada

In August 2017, the Canadian government accepted Impak Coin as its first legal cryptocurrency, after the Quebec regulation authority had legalized Bitcoin for use in some limited business models such as ATMs and exchanges.

However, the Bank of Montreal and some other Canadian states do not allow their customers to use their bank cards for cryptocurrency transactions.

7. Belarus

Cryptocurrency will be legalized in Belarus from March 28, 2019, according to a recent government decree.

In addition to cryptocurrencies, many exchanges, ICOs and smart contracts will also be legal in the country. The purpose of taking this measure is to promote the development of the digital economy. According to news reports, cryptocurrency activities will be completely tax-free.

8. Netherlands

It is one of the countries in the world that has shown the most positive attitude towards virtual currencies such as Bitcoin. There is a special area in the Netherlands called "Bitcoin City" where all Bitcoin transactions, including retail purchases, trading and commerce, are completely legal.

However, the Dutch government has yet to regulate or officially legalize the use of any cryptocurrency.

9. Vietnam

The trading and purchase of cryptocurrencies is legal in Vietnam, but the Vietnamese government does not allow its citizens to use any virtual currency as a means of payment.

This means that it is completely legal to create new cryptocurrencies and launch ICOs in Vietnam, and cryptocurrencies can also be traded on popular exchanges. The government is also reportedly working on legalizing Bitcoin as a payment method by the end of 2019.

10. Singapore

The use and trading of Bitcoin and other popular virtual currencies is legal in Singapore, but the government does not control their operations or prices. Cryptocurrencies are essentially supposed to be unregulated.

Therefore, it should not be a problem for merchants and consumers in Singapore to freely use cryptocurrencies. In some cases, the use of Bitcoin in Singapore is taxable.

11. Thailand

In 2017, the Bank of Thailand has legalized the use of Bitcoin in the country. The exchange and trading of digital currencies is allowed as long as proper care is taken. In Thailand, only licensed Bitcoin exchanges can convert cryptocurrencies into Thai baht.

However, the Bank of Thailand does not allow its users and related financial institutions to engage in any type of cryptocurrency-related business.

12. India

India has finally decided to use cryptocurrencies, and the first one will be Bitcoin.

To keep up with the trend, the country has made some special regulations and recently decided to impose taxes on virtual currency transactions. It’s only a matter of time before the Indian government regulates cryptocurrencies in the country with some special rules, laws, and regulations.

13. Russia

In a statement in November 2016, the Federal Tax Service of Russia declared Bitcoin “not illegal.” Although it did not say that Bitcoin or any other cryptocurrency was legal or illegal in the country, people can buy, sell or trade virtual currencies at their own risk.

The government does not regulate, support or control the trading of cryptocurrencies, but it does not prohibit these transactions.

There are also some countries that have clearly legislated against cryptocurrencies. The following countries have declared cryptocurrencies to be illegal:

1. Algeria

2. Bolivia

3. Ecuador

4. Bangladesh

5. Nepal

6. Macedonia

As you can see, most countries in the world, especially the larger countries with stronger economies, have begun to accept cryptocurrencies for various purposes.