Bhutan vs Switzerland
Crypto regulation comparison
Bhutan
Switzerland
Legal
Legal
Bhutan has quietly become a significant Bitcoin miner through its government investment arm, Druk Holding & Investments, leveraging hydroelectric power. No tax on crypto.
Switzerland is one of the world's most crypto-friendly jurisdictions. The Canton of Zug is known as 'Crypto Valley' and hosts the Ethereum Foundation and hundreds of blockchain companies. FINMA provides clear regulatory guidance, and the DLT Act (2021) created a legal framework for tokenized securities and crypto exchanges. Individual investors pay no capital gains tax on crypto, though it is included in the cantonal wealth tax base. Professional traders may be subject to income tax.
Tax Type
No tax
Tax Type
Wealth
Tax Rate
0%
Tax Rate
0% capital gains (individuals); wealth tax varies by canton
Exchanges
Yes
Exchanges
Yes
Mining
Yes
Mining
Yes
Regulator
Royal Monetary Authority of Bhutan
Regulator
FINMA (Swiss Financial Market Supervisory Authority)
Stablecoin Rules
No specific stablecoin regulation
Stablecoin Rules
Regulated under FINMA framework; fiat-pegged stablecoin issuers must hold a banking or fintech licence (reserves treated as public deposits), or a payment system licence under FMIA if structured as financial market infrastructure
Key Points
- Government entity Druk Holding & Investments mines Bitcoin
- Hydroelectric power used for mining operations
- No income or capital gains tax in Bhutan
- Royal Monetary Authority provides oversight
- One of the few countries with state-level crypto mining operations
Key Points
- No capital gains tax on crypto for individual investors (private wealth management)
- Crypto included in cantonal wealth tax base (rates vary by canton, typically 0.1-1%)
- Professional/frequent traders may be classified as self-employed and taxed on income
- FINMA regulates crypto under existing financial market laws and the 2021 DLT Act
- DLT Act (2021) introduced DLT trading facility license and legal framework for tokenized assets