Head of International Corporate Law and Fintech Practice
Expert in fintech, crypto, and international corporate law with over 20 years of experience. Specializes in crypto licensing (VASP/CASP), iGaming business support, and international structuring, asset protection, and OSINT analytics for risk assessment and due diligence.
CRYPTOCURRENCY SETTLEMENTS IN BULGARIA
Bulgaria has created one of the most progressive regulatory frameworks for digital assets in the EU.
In June 2025, the parliament adopted the revolutionary Crypto Asset Markets Act, which transposes the European MiCA regulation into national law and creates an innovative ecosystem for crypto businesses.
Cryptocurrencies are not legal tender in Bulgaria, but they are not prohibited either. According to the law, they are considered financial instruments regulated by the Financial Supervision Commission. This position creates a favorable environment without unnecessary restrictions.
Cryptoasset classification
The legislation establishes three categories of cryptoassets:
- Asset-Backed Tokens (ART) – stabilized by being pegged to fiat currencies or commodities
- Electronic Money Tokens (EMT) – stabilize against a single fiat currency
- Other crypto assets – including utility tokens for access to goods or services
Regulatory architecture
Supervision is divided between three bodies:
- Financial Supervision Commission (FSC) – the main regulator, responsible for licensing crypto asset service providers, market oversight, sanctions, and investor protection.
- Bulgarian National Bank (BNB) – supervises issuers of electronic money tokens and credit institutions with crypto services.
- National Revenue Agency (NRA) – carries out registration of virtual asset providers and supervision of compliance with AML/CFT requirements.
Transition
The law provides for a transition period until July 1, 2026 for companies registered as virtual asset providers as of December 30, 2024.
Licensing system
Three classes of licenses have been established:
- Class 1 (€5,000) – order execution, placement of crypto assets, consultations, portfolio management
- Class 2 (€10,000) – storage of crypto assets, exchange for fiat currencies, exchange between crypto assets
- Class 3 (€30,000) – cryptocurrency exchange management
Capital requirements
Companies wishing to work with crypto assets must have a minimum authorized capital of 200,000 leva, which is approximately 100,000 euros.
In addition, at least five years of experience in the field of financial services is required, as well as the implementation of a risk management and internal control system for accounting for client assets.
AML/KYC requirements
Mandatory anti-money laundering procedures include comprehensive customer identification, monitoring of all transactions over €1,000, immediate notification of suspicious transactions to regulators, and maintaining detailed records of all financial transactions for a legally required period.
Taxation system
Individuals pay a 10% tax on income from cryptocurrency transactions, with an additional 10% automatic deduction for expenses, which reduces the effective rate to 9%. Legal entities are subject to a 10% corporate tax, which is one of the the lowest rates in the European Union.
Professional trading, i.e. systematic activity three or more times a year, is taxed at a rate of 15%. Cryptocurrency mining is also subject to a 15% tax as a business activity with the possibility of taking into account all operating expenses.
Practical use
Cryptocurrencies are actively accepted as a means of payment in restaurants, hotels, and e-commerce businesses throughout Bulgaria.
The banking sector is gradually improving relations with the crypto industry, with Postbank in particular establishing partnerships with leading crypto platforms, offering special banking packages.
Sanctions and legal consequences
The system of sanctions for violating cryptocurrency legislation is extremely strict and includes fines of up to 15 million euros or 15% of the company’s annual turnover, temporary or permanent bans on activities, as well as suspension or complete revocation of licenses.
The Financial Supervision Commission has received special powers to block websites, mobile applications, and domains without a prior court order.
Advantages of doing crypto business
- Low corporate tax (10%)
- Stable economy and currency peg to the euro
- Lack of currency controls
- Remote company registration
- Automatic access to the EU market through the principle of mutual recognition of MiCA licenses
Practical recommendations
Businesses planning to conduct cryptocurrency activities in Bulgaria must obtain an appropriate license by July 2026, implement effective anti-money laundering and customer identification procedures, ensure an appropriate level of cybersecurity, and establish a reliable internal control system.
Private investors are advised to keep detailed records of all cryptocurrency transactions, calculate tax liabilities from each transaction in a timely manner, file annual tax returns with complete information on income from digital assets, and regularly consult with qualified experts on complex tax and regulatory issues.
Legal support
In the context of a complex regulatory environment, professional legal support is critically important.
Prikhodko & Partners provides comprehensive services in the field of cryptocurrencies: from obtaining licenses to ensuring ongoing compliance, developing AML/KYC policies, consulting on taxation, and representing clients’ interests before regulators.
Our experts will help with all legal issues of conducting crypto business in Bulgaria.
Bulgaria has created an advanced regulatory framework that strikes a balance between innovation and consumer protection.
Low taxes, access to the EU, and legal certainty make the country attractive for crypto businesses, but successful operations require a deep understanding of the requirements and professional legal support.
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during the day
Compensation for moral, material damage
Protection of honour, dignity, and business reputationContract Development for Business and Legal Entities
Licensing of business activities
Compensation for moral, material damage
Legal services in the field of cryptocurrency and blockchain
REGISTRATION OF COMPANIES AND OPENING OF BANK ACCOUNTS
Sale and purchase of ready-made firms
Grants and attracting investment
Business registration and support in Great Britain
Business registration and support in Switzerland
Business registration and support in the EU
Business Registration and Support in the Gulf Countries (GCC)
Business registration and support in Turkey
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Lawyer for administrative cases
Legal services for medical businesses and doctors
Protection of honour, dignity, and business reputation
Real estate transaction support
Escort of the tender participant
Trial lawyer: support and defense in court
European Court of Human Rights (ECHR)

