---
type: free_zone
domain: crypto-regulation
status: stable
tags: ["crypto-regulation", "caribbean", "cfatf", "crypto_friendly"]
aliases: ["CAYMANEC", "CYM-EC"]
created: 2026-04-13
updated: 2026-04-02
compile_into: ["[[country--cayman-islands]]"]
sources:
  - name: "CIMA / CEC Authority"
    url: "https://www.cima.ky"
    type: "official"
  - name: "VASP Act 2020"
    url: "https://www.cima.ky"
    type: "framework"
---

# 🇰🇾 [[free-zone--cayman-enterprise-city|Cayman Enterprise City]] (CAYMANEC) — Crypto Regulation

> The Cayman Islands Monetary Authority oversees a well-regulated financial services system including virtual assets, indicating a crypto-friendly environment with established regulatory oversight.

## Overview

| Field | Value |
|-------|-------|
| Status | crypto_friendly |
| Sub-jurisdiction of | [[country--cayman-islands|Cayman Islands]] |
| Risk Score | 15/100 (Low Risk) |
| Enforcement Level | Low |
| Region | [[domain--caribbean|caribbean]] |
| Currency | [[entity--kyd|KYD]] |

## Tax

| Type | Rate |
|------|------|
| Capital Gains (Personal) | 0% |
| Capital Gains (Corporate) | 0% |
| VAT on Crypto | No |
| Mining Tax | No specific guidance |
| Staking Tax | No specific guidance |
| Airdrop Tax | No specific guidance |

No crypto-specific tax guidance available.

## Licensing

| Field | Value |
|-------|-------|
| Required | Yes |
| Regulator | [[entity--cima|CIMA]] / CEC Authority |
| Framework | VASP Act 2020 |
| Ease | medium |
| Cost | N/A |
| Timeline | N/A months |

Licensing is governed under the VASP Act 2020, requiring virtual asset service providers to obtain a license from CIMA.

## AML / KYC

| Field | Value |
|-------|-------|
| KYC Required | Yes |
| Travel Rule | Yes |
| FATF Member | No |
| FATF Status | fsrb_only |

## DeFi

**Status:** unregulated

No explicit regulatory framework for DeFi; generally unregulated but operating under existing virtual asset regulations.

## Stablecoins

**Status:** regulated

Stablecoins fall under the general virtual asset regulatory framework overseen by CIMA.

## NFTs

**Status:** no_rules

No specific NFT regulation; generally permitted

## Mining

| Field | Value |
|-------|-------|
| Legal | Yes |
| Electricity Cost | $0.28/kWh |
| Renewable Energy | 10% |
| Climate | tropical |
| Infrastructure | good |

Mining is legal with moderate electricity costs and limited renewable energy. Infrastructure is good for data centers and internet connectivity.

## Geopolitics

| Field | Value |
|-------|-------|
| Stability | stable |
| Sanctions | No |
| Corruption Index | 70/100 |
| Ease of Business | easy |
| Internet Freedom | free |
| Banking Access | open |

## Enforcement

No significant enforcement actions reported; jurisdiction actively encourages crypto business

## CBDC Status: unknown

---

*Data source: [Soken Crypto Legal Map](https://soken.io/crypto-map/). Last reviewed: 2026-04-13.*

**Sources:**
- [CIMA / CEC Authority](https://www.cima.ky)
- [VASP Act 2020](https://www.cima.ky)