🇱🇻 Latvia

Cryptocurrency activities are legal in Latvia with regulatory oversight by Latvijas Banka. The country maintains a financial market participant registry and issues licenses for financial services, including payment institutions.

Overview

StatusLegal
Risk Score33/100 (Moderate Risk)
Regioneurope
CurrencyEUR
Adoption Rank#45

Tax

Capital Gains (Personal)20% personal income tax on crypto gains
Capital Gains (Corporate)20% on distributed profits (0% on retained)
VAT on CryptoNo
Staking TaxTaxed as capital income at 20%
Airdrop TaxTaxed as income at 20%

Latvia taxes individual crypto gains at 20% personal income tax rate. Like Estonia, corporate tax applies only to distributed profits at 20%, making it attractive for companies reinvesting earnings.

Licensing

RequiredNo
RegulatorFKTK
Easemedium
Cost$15,000 - $80,000

Latvijas Banka issues licenses for financial service providers such as payment institutions. No specific crypto licensing framework mentioned on this page.

DeFi

Status: Unclear

No specific DeFi regulation

Stablecoins

Status: no_rules

No specific stablecoin framework

NFTs

Status: no_rules

No specific NFT regulation

Mining

LegalYes
Electricity$0.15/kWh
Renewable30%
Infrastructuregood

Mining is legal with moderate electricity costs and a decent share of renewables. Infrastructure supports mining operations adequately.

Geopolitics

Stabilitystable
SanctionsNo
Corruption Index59/100
Banking Accessmoderate

Last reviewed: 2026-04-13 · Data source: Soken Crypto Legal Map

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