Micronesia vs Paraguay
Crypto regulation comparison
Micronesia
Paraguay
No Regulation
Legal
Micronesia has no specific cryptocurrency regulation. Uses the US dollar as its official currency.
Paraguay has no specific comprehensive crypto law. President Abdo vetoed a crypto regulation bill in 2022. The BCP does not recognize crypto as legal tender. VASPs must register with SEPRELAD for AML compliance since 2020. Paraguay is a significant crypto mining hub due to cheap hydroelectric power from the Itaipu Dam, though bills to restrict mining due to energy theft have been debated.
Tax Type
None
Tax Type
Income
Tax Rate
N/A
Tax Rate
8-10%
Exchanges
Yes
Exchanges
Yes
Mining
Yes
Mining
Yes
Regulator
Department of Finance and Administration
Regulator
BCP (Banco Central del Paraguay), SEPRELAD
Stablecoin Rules
No stablecoin regulation
Stablecoin Rules
No specific stablecoin regulation
Key Points
- No specific cryptocurrency legislation
- Uses the US dollar as official currency
- Very limited financial infrastructure
- Minimal crypto adoption
- No licensing framework for crypto services
Key Points
- No comprehensive crypto law enacted; 2022 bill was vetoed by President Abdo
- Major crypto mining hub thanks to cheap hydroelectric power (Itaipu Dam)
- VASPs must register with SEPRELAD (anti-money laundering secretariat)
- Income from crypto activities subject to 8-10% tax rates
- ANDE (national electricity authority) regulates power consumption for mining operations