Is Crypto Legal in San Marino?

Cryptocurrency is legal in San Marino, with the country establishing itself as a progressive blockchain hub through comprehensive regulatory frameworks. San Marino began its path toward blockchain regulation in 2015, with the foundation of its crypto legislation being Delegated Decree No. 37 of February 27, 2019 (1). The decree categorizes blockchain tokens into three types—utility tokens, security tokens, and payment tokens—based on their functionality and the rights they confer, with utility and security tokens regulated on specific terms (1).

The regulatory framework is overseen by three core blockchain regulators: the Central Bank, San Marino Innovation, and the AIF (Agenzia di Informazione Finanziaria), the Financial Crimes Enforcement Agency (2). San Marino Innovation serves as the local regulator and registrar for Innovation and Blockchain entities, with absolute powers to act as the Blockchain Regulatory Authority (2). Decree 111/2021 and 088/2021 outline provisions for custody and administration services of virtual assets, delegating VASP functions to authorized and regulated banks until a specific CASP/VASP regulation is put in place (2).

"The Regulation will be adopted once the primary regulatory framework is established. Its main goal is to introduce a specific supervisory framework into the San Marino legal system, based on the principles established at the European level by EU Regulation No. 2023/1114 (known as MICAR)."

San Marino offers favorable tax treatment for cryptocurrency activities, with individuals subject to an 8% substitute tax on proceeds from crypto-asset transfers or realization, with a €2,000 annual exemption effectively providing tax relief for smaller investors (1). The country has also introduced tax exemptions for general income tax purposes for income realized through token transactions regulated by the decree (1). Despite not being an EU member, San Marino aligns its crypto regulations with European standards, particularly MiCA, ensuring cross-border compatibility and investor confidence while attracting international blockchain businesses (1).

Source:
https://blog.upay.best/crypto-adoption/san-marino/
https://smsetup.sm/en/blog/san-marino-legislation-regulations/

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