Crypto Regulations in Greece
The Greeks frantically turned to online trading platforms in search of Bitcoin during the doldrums of debt crisis in 2015, when banks began shutting down and capital controls were put in place. This could explain why in May of this year, Bitcoin.com reported that the interest in cryptocurrency from Greek women had grown 163.67 percent. The Bank of Greece has adopted the EBA warnings regarding virtual currencies. Greece joined the European Blockchain Partnership (EBP), which was established by 22 founding countries on April 10, 2018. The goals of the EBP are to establish a European Blockchain Services Infrastructure (EBSI) to support the delivery of cross-border digital public services while adhering to established standards for security and privacy.
Source: Freeman Law
Individuals and companies interested in developing crypto-related activities in Greece must know that this sector is mostly unregulated, although some rules of law do apply to crypto users. According to the views of the Hellenic Capital Market Commission, cryptocurrencies are not currency, but rather portfolio assets.
Source: Company Formation Greece
Greece has not adopted a specific regulatory regime applicable to crypto-currencies and they do not currently qualify as either a MiFID financial instrument or a financial product subject to any requirements.
Source: Amazon Aws
Despite this dynamic, the Greek government has yet to implement particular regulatory measures, nor has it “modernized” one of the existing regimes applicable to market participants that use blockchain technology or cryptocurrencies. As a consequence, digital asset markets are completely unregulated.
Source: Manimama
There are no regulations applicable to the cryptocurrency market recommended by international authorities such as the Financial Action Task Force (hereinafter:-“FATF”) or the Bank for International Settlements (hereinafter:-“BIS”) have been implemented. To date, there hasn’t been any relevant judicial decision in Greece that has interpreted (or established) the legal framework for the use of blockchain technology. There are no special restrictions for financial intermediaries dealing with digital assets.
Source: Manimama
There is no dedicated tax regime for blockchain or cryptocurrencies, although taxation for mining is considered income from commercial enterprises and the profits that will arise after deducting the operating expenses are taxed according to the general provisions and the applicable tax rates. Holders of cryptocurrencies are taxed at a rate of 15% plus a progressive increase as income from capital gains.
Source: Thomson Reuters
Greece has not yet issued any specific legal provisions regarding the taxation of cryptocurrency income (either from mining or transactions), however, the Independent Public Revenues Authority (IPRA) in its 2019 strategic plan declared its intention to propose the taxation of income that results from cryptocurrency transactions as income from portfolio investments. It is to be noted that the IPRA has been radio-silent ever since and has not mentioned anything regarding the taxation of such income in its 2020 and 2021 strategic plans.
Source: Amazon Aws
Following the aforementioned Law, the HCMC issued its Decision No. 5/898/3.12.2020 on the “Establishment of a register of providers of exchange services between virtual currencies and fiat currencies and a register of custodian wallet providers”. According to Article 1 of the Decision, providers of exchange services between virtual currencies and fiat currencies and custodian wallet providers who intend to provide their Services in Greece or from Greece to other countries, must submit an application, before the commencement of their activity, to be registered in the relevant registers kept by the HCMC. Article 3 provides for a list of documents that must be submitted to the HCMC, while pursuant to Article 5 (1) the latter informs in writing the Provider, who applies to be registered in the relevant register, within two (2) months from the submission of the complete application (complete submission of the necessary information and documents), whether the registration took place or not. In case their application to be registered is not accepted, the HCMC imposes a ban on the services provided by them.
Source: Amazon Aws
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Greek Police Arrest Man Who Laundered $4 bln in Bitcoin Over 6 Years Money laundering worth $4 bln is the latest case of Bitcoin fraud to make international headlines. The largest Russian-language cryptocurrency exchange BTC-e was closed on “unscheduled technical work.” The owners of BTC-e diligently kept anonymity. However, our source from qugla.com ICO marketing agency has revealed to Cointelegraph that Alexander Vinnik is one of the owners and administrators of the exchange. Earlier today, Greek police arrested Alexander Vinnik accused of heading a group that laundered $4 bln in Bitcoin over six years. “There was practically no KYC on the exchange, and, as a result, the cash flows were unregulated,” the source explains.
Source: Coin Telegraph
Greece’s justice minister has signed an order for bitcoin fraud suspect Alexander Vinnik to be extradited to France — concluding an international legal battle surrounding the Russian cryptocurrency trading platform operator. Government officials said Friday that Justice Minister Konstantinos Tsiaras has signed the order, but no extradition date has been set. Vinnik, 39, was arrested in northern Greece while on vacation in 2017 at the request of U.S. authorities, where he is accused of laundering billions of dollars using virtual currency.
Source: ABC News
Law enforcement in Greece has recently tried to locate Ruja Ignatova, founder of the infamous Onecoin pyramid scheme. According to a leading Greek daily, investigators acted on intelligence suggesting she was still in the country. Also known as ‘Cryptoqueen,’ Ignatova was last seen boarding a plane to Greece several years ago.
Source: Bitcoin
Greek authorities have reportedly managed to uncover a murder plot targeting Russian national Alexander Vinnik, which was arrested in the country earlier this year, suspected of laundering $4 billion in bitcoin through cryptocurrency exchange BTC-e. According to news source Sputnik, Greek police received information about the murder plot earlier this year, but decided not to make it public to assist investigators. Per Sputnik’s
Source: Yahoo
Greece’s central bank has launched a regulatory sandbox as it looks to encourage fintech initiatives. Sandboxes allow fintech start-ups and other innovative initiatives to conduct ‘live’ experiments under regulatory supervision. They are becoming increasingly popular worldwide as financial authorities look to encourage start-ups and competition. Greece’s sandbox has been funded by the European Union (EU) via its Directorate-General for Structural Reform Support (DG Reform) and implemented in collaboration with the London-headquartered European Bank for Reconstruction and Development (EBRD). The sandbox is – for now – for use only by entities and services already authorized by the Bank of Greece. But the aim is to expand its scope to enable also non-authorized financial firms to test their innovative solutions. It could also be expanded to institutions headquartered in other EU member states and operating branches in Greece ‘in co-operation with the supervisory authority of the home member state’.
Source: Global Goverment FinTech
