Crypto in Spain

Spain regulates crypto assets under a patchwork of existing financial laws and specific anti-money laundering (AML) mandates. The Comisión Nacional del Mercado de Valores (CNMV) and the Bank of Spain serve as the primary regulators. In February 2023, the CNMV issued Circular 1/2023, requiring all crypto asset service providers (CASPs) to register with the Bank of Spain under Law 10/2010 on AML prevention. As of October 2024, over 85 CASPs have completed registration, including major exchanges like Binance and Coinbase. The Securities Market Law (Law 6/2023) classifies certain crypto assets as transferable securities if they grant rights akin to shares or bonds, subjecting them to prospectus requirements under the EU’s Markets in Crypto-Assets Regulation (MiCA), which Spain transposed into national law via Royal Decree-Law 5/2024 in June 2024. The CNMV has also issued warnings against unregistered platforms, with 12 enforcement actions in 2024 alone. Notably, the Spanish Supreme Court ruled in July 2023 that crypto mining operations must comply with local zoning laws, setting a precedent for decentralized infrastructure.

Spain taxes crypto gains as savings income under the Personal Income Tax Law (IRPF), with progressive rates ranging from 19% to 26% in 2024. Gains up to €6,000 are taxed at 19%; €6,001–€50,000 at 21%; €50,001–€200,000 at 23%; and above €200,000 at 26%. Losses can offset gains within the same tax year but cannot carry forward beyond four years. The tax year aligns with the calendar year, and filings occur via Modelo 100 by June 30. Since January 2024, the Spanish Tax Agency (AEAT) mandates annual declaration of all crypto holdings exceeding €50,000 via Modelo 721, a form introduced under Law 11/2021. This applies to both resident individuals and entities, covering wallets, exchanges, and DeFi positions. The AEAT also requires CASPs to report all transactions over €3,000 to the tax authority under Order HFP/115/2023. Staking rewards and airdrops are taxed as income at the marginal rate, while NFT sales incur a 21% VAT if the seller is a business. Non-residents face a flat 19% withholding on gains from Spanish-based exchanges.

Spain has 2.1 million crypto users as of Q3 2024, up 18% year-over-year, according to the CNMV’s 2024 Crypto Adoption Survey. Retail adoption is concentrated in Madrid, Barcelona, and Valencia, where 65% of users hold Bitcoin or Ethereum. Institutional activity is accelerating: Banco Santander launched a Bitcoin and Ether trading service for private banking clients in March 2024, while BBVA expanded its crypto custody offering to corporate clients in June 2024. The Spanish fintech ecosystem includes 120+ crypto-native startups, with Bit2Me raising €15 million in Series B funding in September 2024. Use cases are diversifying: 35% of users trade, 28% hold as savings, and 12% use crypto for remittances, per the Bank of Spain’s 2024 Financial Stability Report. The Spanish government’s ‘Digital Spain 2026’ plan allocated €500 million for blockchain infrastructure, including a pilot for tokenized real estate titles in Catalonia. However, cash remains dominant for daily payments, with only 5% of merchants accepting crypto, per a September 2024 INE survey.