Greece Faces Cryptocurrency Challenges Amid Growing Adoption

Greece is witnessing a significant rise in cryptocurrency adoption, particularly among adults under 30. However, the absence of a clear regulatory and tax framework for digital assets is causing issues for both investors and tax authorities. Currently, Greece does not officially recognize cryptocurrencies, creating a legislative gap that some investors exploit by not declaring their cryptocurrency income. Tax officials suspect that many, especially those with significant assets but low declared income, are underreporting their earnings.
To address these challenges, a dedicated committee is finalizing recommendations for the Ministry of National Economy and Finance, expected by September. These recommendations will propose ways to define, record, tax, and monitor cryptocurrencies. Starting January 2025, Greece plans to classify cryptocurrency income as capital gains from securities sales, subjecting them to a 15% tax rate. This move aims to regulate the growing cryptocurrency market, providing clarity for investors and enabling authorities to effectively tax digital asset transactions, thus closing the current tax gap.