The use of virtual currency is allowed in Croatia, without specific legislation, and those interested can open a cryptocurrency company in Croatia in a simple manner. Find out from the following lines some formalities in this regard and get in touch with our company formation agents in Croatia for more details. Our experts can help you obtain a virtual Asset Service Provider (VASP) license in Croatia.
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Applying for a crypto license in Croatia
Normally, a crypto license is required to open a cryptocurrency company in Croatia. Here are some of the formalities for getting a VASP license in Croatia:
- The process starts with the registration of a company, and the limited liability company in Croatia is the most popular structure.
- The company must have a legal address in Croatia.
- A minimum capital deposit of approximately EUR 2,500 is required.
- The authorization issued by the Croatian Financial Services Supervision or HANFA in Croatia is needed.
- The applicants or owners of the new company must present a clear criminal record that certifies that they have not been involved in money laundering crimes.
- Normally, a crypto license in Croatia can be issued within a maximum of 3 months from the date of application.
International investors who want to open a company in Croatia and operate in the cryptocurrency sector can benefit from guidance and expertise provided by our local team. Our specialists have experience in company incorporation in Croatia and can attentively manage the procedures involved for businesses established in the above-mentioned field of interest.
Tax regime for transactions with crypto assets in Croatia
In Croatia, there is no tax base threshold for crypto transactions at the moment. On the other hand, the tax authorities consider that people whose primary profession is crypto-assets activities can be taxed considering the regime imposed for sole traders. In this case, here is how the taxation is done:
- Taxes ranging from 15% to 23.6% for the annual threshold that does not exceed EUR 50,400.
- Taxes ranging from 25% to 35.40% for income exceeding EUR 50,400 per year.
Moreover, cryptocurrency companies in Croatia can be subject to a corporate income tax of 10% for annual incomes lower than EUR 1 million or 18% for revenue exceeding this amount. Individuals who want to exchange one virtual currency for another are not charged. However, the taxation occurs when virtual money is exchanged for local currency. We invite you to discuss more with our team about the digital currency taxation in Croatia.
Obtaining digital money for personal property sale in Croatia
People who make transactions in digital money following the sale of personal goods are not subject to taxation. Here we can talk about goods of small and medium value such as personal items.
Cryptocurrencies from incentives in Croatia
People who earn digital money from incentives are subject to taxation. In this case, 24% is the tax imposed for earnings up to EUR 50,4000 per year or 36% if this amount is exceeded. In Croatia, specific incentives can be received in cryptocurrency by people involved in online surveys, advertising/promotion, or other activities carried out on the Internet.
The advantages of a cryptocurrency company in Croatia
Once a crypto license is issued in Croatia, you can carry out activities related to digital currency. This license comes with several advantages:
- Cryptocurrency can be stored, sold, or transferred by holders.
- A cryptocurrency exchange is allowed on various platforms in Croatia.
- A cryptocurrency company in Croatia is not prohibited from carrying out its activities on the territory of the European Union.
- It is allowed to collaborate both with people interested in virtual currency, but also with financial entities from this sector.
- Anti-money laundering legislation protects businesses of this kind against these types of crimes.
If you want to apply for a crypto license in Croatia, we invite you to contact our specialists. Our experts in company formation in Croatia are at your disposal with help and assistance in obtaining a virtual Asset Service Provider (VASP) license in Croatia.
Statistics on cryptocurrency in Croatia
Here are some interesting facts about the cryptocurrency sector in Croatia:
- Project revenue in the crypto market in Croatia is estimated at approximately USD 6.1 million until the end of 2024.
- Around USD 36.1 is the average revenue of digital money users in Croatia.
- The number of cryptocurrency users in Croatia is expected to grow to around 170,000.
Besides support for getting a Virtual Asset Service Provider (VASP) license in Croatia, our team can provide other services too. Investors can enjoy a proper start on the market by also collaborating with our accountants in Croatia and getting more information about payroll in Croatia. As such, we invite anyone interested in doing business in Croatia to contact us. Our team of company formation agents can answer all your questions and take care of the formalities of setting up a company in Croatia.