Is Crypto Legal in Puerto Rico?

Cryptocurrency is legal in Puerto Rico and operates under U.S. federal regulations, as Puerto Rico is a U.S. territory. The Office of the Commissioner of Financial Institutions (OCIF), Puerto Rico's financial regulatory body, has approved certain entities to provide digital asset custody services, including bitcoin, ether, EOS, XRP, and many ERC-20 standard tokens (1). All laws for banking and insurance in Puerto Rico are based on U.S. laws, such as the Bank Secrecy Act, and Puerto Rico is part of the U.S. banking system (1).

The recently enacted GENIUS Act establishes a comprehensive federal framework for payment stablecoins in the U.S., including Puerto Rico. Under the Act, only Permitted Payment Stablecoin Issuers may issue payment stablecoins, which must be formed in the United States including territories (2). The Act creates legal ambiguity for Puerto Rico entities, as they are designated as foreign issuers under Section 2(12), yet Section 2(28) defines "State" to include U.S. territories (2).

"If Puerto Rico's financial regulator, likely the Office of the Commissioner of Financial Institutions, obtains certification from the Stablecoin Certification Review Committee that its regulatory regime is substantially similar to the federal framework, Puerto Rico-based issuers could qualify as state-qualified PPSIs."

Puerto Rico offers significant tax incentives for cryptocurrency investors through Act 60, which provides zero tax on capital gains, including cryptocurrency profits, for bona fide residents (1). However, these benefits require genuine relocation, living on the island for 183+ days per year, and meeting strict residency requirements (1). The GENIUS Act will take effect on the earlier of 18 months after enactment or 120 days after implementing regulations are finalized, with federal and state regulators required to issue implementing regulations within one year of enactment (2).

Source:
https://blog.fvbank.us/puerto-rico-based-fv-bank-to-offer-regulated-crypto-custody-in-the-us/
https://www.mcvpr.com/newsroom-publications-GENIUS-Act-PR

Last updated: 19-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.