Crypto Regulations in Bulgaria
It should be noted that cryptocurrencies are not regulated by any financial supervisory body in Bulgaria and are not considered electronic money or financial instruments. In this way, cryptocurrency transactions do not need to be licensed or authorized by the Bulgarian supervisory authorities.
Source: Manimama
The Financial Supervision Commission (‘FSC’) in Bulgaria has not issued explicit legal guidance.
Source: Freeman Law
The analysis of Bulgaria’s regulation of cryptocurrency illustrates a regulatory model similar to that of other EU member states, with expected minor particularities. Comparison with Argentina’s cryptocurrency regulation shows different practices by institutions in the two countries to address similar regulatory challenges.
Source: Crypto In Law
Bitcoin and other cryptocurrencies do not represent a legally defined payment instrument in Bulgaria. Thus, the Bulgarian legislation does not regulate Bitcoin and other cryptocurrencies, nor ICOs and token sales. There is no specific registration or license regime in this regard.
Source: Legal Link
Like other EU countries, Bulgaria does not regulate the acquisition, trade, and payments with cryptocurrencies in its national legislation. The possession of cryptocurrencies is not illegal in Bulgaria, and, although cryptocurrencies are not considered legal tender, their use is not forbidden.
Source: Crypto In Law
Bulgaria could become one of the few countries globally that officially recognizes digital currencies as legal tender, a new report has revealed. The country’s finance minister has announced that the government is exploring digital currency payment options in partnership with industry stakeholders and the central bank.
Source: Coingeek
A legal definition of virtual currencies has been provided, namely “any digital representation of value that is not issued or guaranteed by a central bank or a public authority, is not necessarily attached to a legally established currency and does not possess a legal status of currency or money, but is accepted by natural or legal persons as a means of exchange and which can be transferred, stored and traded electronically.
Source: 1 Legal
Income derived from trading with cryptocurrency is considered to be taxable income under the general rules of taxation of physical persons and legal entities, including VAT registration.
Source: Legal Link
Profits realized by physical persons and corporations are both subject to a tax of 10% in line with the Personal income tax law and the Corporate income tax law. Trade with cryptocurrencies is not subject to Value Added Tax (VAT) in Bulgaria, however, if the turnover for a period of 12 months surpasses 50,000 BGN (approx. 25,000 EUR), an obligation for VAT registration arises.
Source: Crypto In Law
Activities connected to the acquisition, exchange, sale, etc. of Bitcoin and ICOs are not legally regulated by Bulgarian legislation.
Source: Legal Link
Bulgarians can now invest in crypto assets through their country’s stock market. The Bulgarian Stock Exchange has recently launched eight ETNs based on two digital currencies, bitcoin, and Ethereum, following the example set by leading European platforms that support such products.
Source: News Bitcoin
A Bulgarian woman dubbed the “Crypto Queen” after she raised billions of dollars in a fraudulent virtual currency scheme was placed on the FBI’s 10 most wanted list Thursday.
Source: France 24
The whereabouts of Alexander Altunbashev, a Bulgarian entrepreneur and crypto trader, are unknown since Monday. Law enforcement officials are now investigating his possible abduction while some in the local crypto community speculate he might be hiding from disgruntled investors.
Source: News Bitcoin
The Sofia RegTech Sandbox is expected to provide a better understanding of the regulatory mechanism needed to improve the competitive engagement between Bulgarian businesses. One of the main aims of the new project is to provide a forum for exchanging ideas, conducting analyses and discussing innovations among financial, technological, and start-up players.
Source: CMS Law Now
