Luxembourg vs São Tomé and Príncipe
Crypto regulation comparison
Luxembourg
São Tomé and Príncipe
Luxembourg is a major European hub for crypto and blockchain financial services. The CSSF regulates VASPs and crypto-related investment funds. Crypto held for more than 6 months is generally exempt from capital gains tax for individuals, making it attractive for long-term holders. Luxembourg hosts several prominent crypto exchanges and fund administrators.
São Tomé and Príncipe has no specific cryptocurrency regulation.
Key Points
- CSSF oversees VASPs under the Luxembourg AML/CFT framework
- Individuals holding crypto for 6+ months are generally exempt from capital gains tax
- Short-term gains taxed at progressive income tax rates up to 42%
- Major hub for crypto investment funds and blockchain companies
- MiCA framework fully applicable from December 2024
Key Points
- No specific cryptocurrency legislation
- Central bank has not addressed crypto
- Very limited financial infrastructure
- Minimal crypto adoption
- No licensing framework for crypto services