Crypto-to-fiat Exchange

EN

By 2025, Georgia has firmly established itself as one of the most crypto-friendly countries in the world. Licensed exchanges and VASPs (Virtual Asset Service Providers) are officially regulated, VAT does not apply to crypto transactions, and tax rules are simple and transparent.

For individual residents, Georgia offers a unique benefit: income from cryptocurrency trading is classified as foreign-source income and is fully exempt from taxation. For businesses and miners, standard corporate taxes apply, but the actual tax burden remains lower than in most neighboring jurisdictions.

For Georgian tax residents, buying and selling cryptocurrency is completely tax-free. This rule also applies to capital gains: even if you bought Bitcoin at a lower price and sold it at a higher price, no tax is charged. This makes Georgia one of the few countries where crypto capital gains are fully exempt.

There is also no VAT on cryptocurrency operations. Residents can legally buy and sell digital assets through licensed exchanges without the risk of additional tax obligations.

Note: If you are not a Georgian tax resident (typically if you spend fewer than 183 days per year in the country), your crypto income may be subject to the tax rules of your country of residence.

Companies engaged in crypto activities in Georgia are subject to the standard corporate tax system:
Corporate profit tax:

• 15% — but only when profits are distributed (for example, as dividends).
• Dividend tax: 5%.
• VAT on crypto transactions: 0%.

As long as profits remain within the company and are reinvested, no tax is actually paid. This “Estonian model” of taxation makes Georgia highly attractive for crypto businesses.

Cryptocurrency mining in Georgia is treated as a professional activity. To operate legally, miners must register a business, either as a company or as an individual entrepreneur (sole proprietor).

For such entities, the same rules apply as for other legal entities:

• 15% corporate tax (on distributed profits),
• 5% dividend tax,
• 0% VAT on crypto operations.

Since 2023, Georgia has introduced VASP regulation, allowing crypto to be bought and sold legally through licensed providers. This approach is far safer than relying on P2P platforms or unlicensed exchangers, where users often face frozen bank accounts and compliance questions.

We cover these risks in more detail in our blog article: “Can Your Account Be Blocked for Cryptocurrency Transactions in Georgian Banks)?”

If you want to buy or sell cryptocurrency in Georgia or abroad, it’s essential to use licensed services. GeCrypto is a licensed cryptocurrency exchange operating under the rules of the National Bank of Georgia and international AML/KYC standards.

Our advantages:

• Fees lower than major exchanges (0–1.5%);
• Ability to handle both everyday transactions and large operations — from salary payments to multimillion-dollar transfers;
• Full legality and transparency: all transactions can safely be reported to banks and tax authorities

Learn more in our Blog