Is Crypto Legal in Sweden? Understanding Regulatory Framework, Oversight, and Taxation Requirements

Cryptocurrencies are fully legal in Sweden, though they are not recognized as legal tender. Instead, they are treated as digital assets and regulated under existing financial legislation. The Swedish Tax Agency requires individuals to report any gains or losses from cryptocurrency transactions, and trade in cryptocurrencies is exempt from Swedish VAT but subject to oversight by the Financial Supervisory Authority (Finansinspektionen) (1).

Sweden’s government has undertaken inquiries to ensure that crypto-assets fall within an appropriate regulatory framework. Service providers must comply with anti-money laundering and counter-terrorism financing rules, and in line with the EU’s Markets in Crypto-Assets Regulation (MiCAR), Sweden is updating its laws to proportionately manage the specific risks posed by digital assets (2).

"The Inquiry assesses that it is important that crypto-assets are subject to an appropriate regulatory framework proportionate to the specific risks that crypto-assets entail. This applies in particular to global ‘stablecoins’. Because consumer protections covering crypto-assets are weak, they entail a high risk for consumers investing in them."

Individuals earning income from mining or staking cryptocurrency must declare these earnings and pay income tax accordingly. Capital gains from sales are taxed as income from capital, while losses may be partially offset, ensuring that cryptocurrency holders face similar tax obligations as those holding traditional securities (1).

Source:
https://skatteverket.se/privat/skatter/vardepapper/andratillgangar/kryptovalutor.4.15532c7b1442f256bae11b60.html
https://www.regeringen.se/49b0f1/contentassets/c01377cf65424cf0b12addf64c04374a/english-summary-the-state-and-the-payments.pdf

Last updated: 15-05-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.